War exclusion clause

A war exclusion clause or hostile acts exclusion is a common clause in insurance policies which excludes damage arising from a warlike act between sovereign or quasi-sovereign entities.[1][2][3] Insurance companies typically won't cover damages caused by war because such an event could cause damage that would be likely to bankrupt them if they had to cover it.

Example: You are not insured for: war, civil war, revolution, rebellion, insurrection, or civil strife arising therefrom or any hostile act by or against a belligerent power, capture, seizure, arrest, restraint or detainment (piracy excepted), and the consequences thereof or any attempt thereat, derelict mines, torpedoes, bombs or other derelict weapons of war[4]

Companies and individuals faced with a significant risk of war, such as companies located in politically unstable countries, may be able to purchase a separate war risk insurance policy.[5]

In the US, the Terrorism Risk Insurance Act provides a "backstop" for insurance claims related to acts of terrorism.

Issues

There are a number of possible points of contention with such a clause - in particular whether certain acts of terrorism or cyberattacks are covered.[5][6]

gollark: IIRC they mostly have quite bad latency in doing anything ever, but make up for it by switching between a lot of threads while waiting on memory accesses etc.
gollark: They aren't really constrained by binary compatibility, so each GPU architecture can randomly change the instruction set round.
gollark: And people often prefer paying more for a GPU to no GPU.
gollark: It makes it exactly 1, since retailers are often sold out.
gollark: In a saner world retailers would just set higher prices directly and avoid giving free money to scalpers. But the same forces which make people annoyed about scalpers would make people annoyed about that.

References
  1. Massmann, Susan (30 September 2001). "War Risk Exclusion Legal History Outlined". Property Casualty 360. Retrieved 25 April 2019.
  2. Menapace, Michael (10 March 2019). "Losses From Malware May Not Be Covered Due To Your Policy's Hostile Acts Exclusion". The National Law Review. Retrieved 25 April 2019.
  3. Stock, Rob (19 March 2019). "Insurers waive terrorism exclusions for Christchurch shooting victims". Stuff. Retrieved 25 April 2019.
  4. "Policy Terms, Conditions and Exclusions" (PDF). Transit NZ. Retrieved 25 April 2019.
  5. Kagan, Julia. "War Exclusion Clause". Investopedia. Retrieved 25 April 2019.
  6. Field, Matt (18 April 2019). "Is cyberwarfare war? Insurers balk at paying for some cyberattacks". Bulletin of the Atomic Scientists. Retrieved 25 April 2019.

See also
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