insurers: nuclear risks not covered

today, there is a statement issued by the general insurance association of singapore:

GIA MEDIA STATEMENT ON TRAVEL INSURANCE
Singapore, March 15, 2011
Release: Immediate

The General Insurance Association of Singapore (GIA) notes that there
have been instances of consumers purchasing travel insurance to locations
where natural disasters such as earthquakes and tsunamis have occurred.
In view of this, the Association wishes to advise members of the public to
fully understand their travel policy's terms and conditions, including the
scope of the cover and the list of exclusions where applicable. More than 25
insurers offer travel insurance products in Singapore, making it highly
affordable and accessible, with varying benefits being available from one
insurer to another.

As a result of the recent earthquake and tsunami in Japan, consumers
deciding on a travel policy should check carefully if it covers losses, bodily
injury, flight delays as well as trip cancellation, flight postponement and / or
diversion due to natural disasters. Consumers should examine their policy
terms and conditions to find out if an administrative charge is imposed
should they wish to cancel their travel policy and seek a refund of premiums
paid.

Consumers should also note that all travel insurance policies carry a total
exclusion on nuclear risks and the cover excludes any loss, damage, illness
directly or indirectly arising from the existence or escape of nuclear, ionizing
radiation, contamination by radioactivity from nuclear fuel.
GIA encourages all consumers to seek clarification directly with their
insurance company if they have any doubts on their existing travel
insurance plans and policies. They are advised to contact or approach the
insurers who stand ready to address customer queries and concerns on
their travel cover as a result of the recent events.

my comments:

in taking up travel policies, some of my clients may have been confused with the benefit of terrorism coverage which may include nuclear, biological and chemical events. but this is only applicable to any acts of terrorism and i quote from one insurer's policy document:

“Act of Terrorism” shall mean an act, including but not limited to the use of force or violence and/or threat thereof, of any person or group(s) of persons, whether acting alone or on behalf of or in connection with any organization(s) or government(s), committed for political, religious, ideological or similar purposes or reasons including the intention to influence any government and/or to put the public or any section of the public in fear.
“Any One Event” shall include all insured losses which arise directly from the same cause and which occur during the same period of time and in the same area. Such cause is understood to be the Act of Terrorism which directly occasions the losses or triggered the chain of causation where there are several perils, which in an unbroken chain of causation, have occasioned the losses."

i hope the above clarifies but i suspect there will be many claims put-in through trip cancellations and curtailment for Japan since the disaster struck.

and because the unexpected can happen anytime, anywhere, everyone should never leave on any trip without a travel insurance policy.