Kidnap, Ransom Program Teams ISO, Amsec

ISO said it will provide policy forms, endorsements, manuals and related KR&E materials.

Amsec International, based in Winchester, Va., ISO said, can provide a round-the-clock, seven-day hotline in that insureds can call to report kidnap or extortion demands.

ISO said that Amsec can also provide complete claims-response services, including bilingual negotiators, access to a Web site of travel-threat alert information, and contingency planning services.

ISO said it found reliable statistics lacking for incidents of kidnap and ransom, but the firm believes kidnapping for ransom is a fast-growing crime. ISO said one report puts proceeds from kidnappings at $500 million a year.

"In these uncertain times, with growing threats against American citizens and interests in many parts of the world, ISO's kidnap, ransom and extortion coverage provides insurers a ready-made program they can offer to existing and prospective customers," said Domenick J. Yezzi, Jr., ISO's vice president for specialty commercial insurance.

D. Mark Lowers, Amsec president, said, "the combination of ISO's industry-standard policy forms and related information, with Amsec's security-management and consulting capabilities lowers insurers' barriers to enter this niche market, and makes providing a comprehensive portfolio of services easier."

The ISO KR&E policy, approved by insurance regulators in 50 jurisdictions, provides separate coverages for loss from the payment of a ransom from a kidnap or extortion threat, and expenses incurred in obtaining the release of a kidnapped victim or in resolving an extortion threat.

Additionally, it covers costs and fees paid in connection with securing the release of a detained or hijacked individual and loss of money in the care and custody of the messenger delivering the ransom payment.

Optional endorsements available to insureds under the ISO policy include coverage for payment to a kidnapped person or the person's estate, if the victim dies or loses a limb or eyesight, and product recall expenses incurred by an insured threatened with product pollution or contamination.

Also covered is loss of business income and extra expenses incurred by an insured resulting from kidnap, ransom or extortion-related incidents.

Amsec, www.amsecsolutions.com, provides crime risk mitigation services to business and insurance interests worldwide. Services include pre-employment screening; physical, financial, and e-commerce risk assessments; loss prevention; investigations; loss recovery; protective services; and seminars and training on a number of security issues.