Reinsurance News

Mass shooting insurance spikes 10% in the US

29th June 2022 - Author: Pete Carvill

The cost of insurance in the US related to mass shooting has gone up more than 10% this year, according to Reuters.

rate increasesThe news service reported that even though mass shootings fell from 309 in the same period last year to 293 in the same period this year, the price of active shooter insurance has gone up. This type of insurance covers victim lawsuits, building repairs, legal fees, medical expenses, and trauma counselling.

Chris Parker, head of political violence and deadly weapons protection at Beazley, told Reuters that the insurer had had seen a 25% jump in revenue so far this year for its deadly weapon policy, with a 30-35% jump in inquiries and a 10%-15% increase in rates, driven by the rising number and severity of gun attacks. He said clients were now buying insurance to cover themselves for $5-10 million in losses, compared to $1-3 million four years ago.

According to Reuters, there has been an uptick in violent attacks at hospitals and healthcare institutions as families of people who lost their lives to the pandemic look for someone to blame, insurers said. Inflation is also seen as a driver of violent acts as the cost of living rises.

Church Mutual, a leading insurer of religious organizations in the United States, said it had seen a 10-15% rise in inquiries around armed intruder and mass shootings and an increase in requests for services.

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Church Mutual told Reuters it has seen more demand for its “Pull for police device,” which allows a customer to pull a tab, triggering a signal to law enforcement that there’s an armed intruder event.

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