Kidnap and Ransom Insurance

Kidnap and ransom policies typically cover the perils of kidnap, extortion, and detention against will and hijack.  They are designed to reimburse the loss incurred by the insured (often including medical expenses), not to pay ransoms on behalf of the insured. 

Typically the policies pay the fees and expenses of specialist crisis management consultants who provide advice and assistance to the insured over how best to respond to the unfortunate incident.  The policies may be written to cover families and companies/organisations and aim to provide peace of mind for those at highest risk such as those who the criminal know have the financial means to pay a ransom.

Unfortunately such crimes are getting more and more frequent and the events in countries such as Somalia and in certain waters, which have been highly publicised, are testament to this.