Terrorism risk on the rise: Aon

Terrorism risk is on the rise around the world, with increased exposure seen in many countries, according to the “2005 Terrorism Risk Map” released by Aon.In total, 31 countries have received higher terrorism threat rankings than last year, with 48% of these in Western Europe. This includes the Netherlands, Germany, Belgium and Denmark, where increased Islamic extremist activity poses a threat, as evidenced by the November 2004 murder of filmmaker Theo Van Gogh by a Dutch Moroccan Islamic extremist.The threat remains elevated in the U.S., with 27 “minor” terrorist incidents taking place there last year. And the U.K.’s threat rating has increased as a result of the potential for terrorist events surrounding the upcoming general election in May. Similarly, Australia, Poland and Estonia all face increased risk as a result of their participation in the U.S.-led coalition which invaded Iraq. “There is concern that Al-Qaida and other international terrorist organizations could take advantage of anti-western sentiment and launch terrorist attacks in these countries in the future,” an Aon statement notes. Incidents such as the terrorist attack on the Australian embassy in Indonesia and the thwarted attack on the Italian embassy in London highlight this risk.”Although companies do need to be aware of the global picutre, the 2005 map highlights the need for vigilance in so called ‘safer’ European countries,” says Paul Bassett, executive director in Aon crisis management division.Aon also used the map’s release as a chance to urge clients to join the lobby effort to have the U.S. Terrorism Risk Act (TRIA) extended past its December 31, 2005 sunset. Aaron Davis, vice president of Aon’s property syndication group in the U.S. says, “if TRIA does expire at the end of this year the aggregate capacity of the stand-alone terrorism market is going to come under severe strain. Businesses need to explore alternative options for mitigating and transfering their terrorism risks now,” he adds.