Egypt, where a bomb attack was launched on a seaside resort Monday was among five countries where the threat of terrorism escalated during 2005, according to an insurance brokerage.

The rating was part of Aon Limited's 2006 Terrorism Threat Map, released today in London.

Egypt's safety rating was, downgraded for the second year in succession following the attacks in Sharm al Sheikh last summer. The latest attack was in Dahab.

Aon said it gave Denmark a second consecutive safety downgrade as a result of increasing threats during the year, even before the worldwide Islamic outrage over a Danish cartoon of Mohammed. Attacks in Jordan also led to an Aon downgrade for that country.

Despite the July bombings in London last year, the city's terrorism threat rating remains unchanged, Aon said.

"London's 'elevated' rating was not affected by last July's terrorist attacks. It was not a case of 'if' but 'when' an attack would occur and that threat remains", explained Paul Bassett, executive director of Aon's Crisis Management Division, at a press briefing to launch the 2006 Terrorism Threat Map.

While the threat of terrorism worldwide is not diminishing, its nature is changing. "The war on global terrorism has severely impacted the capabilities of large groups such as Al Qaeda to mount another 9/11-style attack," Mr. Bassett added. "This has led to an increase in smaller groups who are more likely to go for softer targets."

"The London bombings highlighted the changing nature of terrorism", said Justin Priestley, director of Aon's Crisis Management Division. "The deployment of suicide bombers to launch the attacks was a complete change from the traditional terrorism methods used by the likes of the IRA with which London is only too familiar."

This change in tactics needs a corresponding change in the attitude of businesses to their risk management strategies, according to Mr. Priestley.

He said, "Businesses need to keep abreast of developments in the terrorist world.

"Ever increasing awareness of the terrorism threat makes an imperative of careful planning. Many businesses have woken up to the risk of material damage but they are still not paying enough attention to their liability to employees and visitors to their premises."

According to Mr. Priestly, businesses need to adopt a balanced approach tailored to their own particular needs and ensure that they have "robust plans and procedures in place and people competently trained to carry them through effectively."

A new feature of this year's Terrorism Threat Map is the inclusion of ratings for maritime piracy.

"Proactive government policy and subsequent action has led to a decline in incidents of maritime piracy internationally with the exception of two notable hotspots", said Mr. Bassett.

He said attacks on shipping by pirates off the coast of Somalia rose to 35 in 2005 from just two the previous year, while 10 incidents took place off the coast of Iraq.

"Neither country has the infrastructure or the inclination to take action to prevent further incidents," he added.

Besides Egypt, Denmark and Jordan the safety of Mauritania and Uzbekistan were downgraded. Upgrades were given to Bangladesh, Burundi, Colombia, Georgia, Haiti, India, Nepal and Somalia.

Aon says its map ratings are an amalgam of the various perceptions of threat in each country and are based on the views of underwriters, security analysts and Aon brokers' own experience from talking to various markets.

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