International

Infectious disease cover

Broker Aon has highlighted the need for commercial enterprises to take out specialised infectious disease cover. Steve Allum, chairman of Aon’s Marine Global Practice Group writing the group’s recently published Marine Insurance Market Review, said that the threat of a flu pandemic and the associated economic and social costs were very real. He cited the findings of Aon’s recent pandemic survey which showed that more than eight in 10 (85.5%) companies view a possible influenza pandemic as a threat to their business, yet fewer than six in 10 (57%) have put measures in place to protect themselves against such a risk. “Companies operating in the marine sector can play an integral role in preventing the spread of a flu pandemic and therefore need to take precautions whilst carrying out their everyday business,” Mr Allum continued. Generally, property and marine policies where business interruption and extra expense are typically covered exclude losses resulting from damage due to the spread of infectious diseases. Mr Allum said that there were policies that could provide cover, and the current focus on avian flu should provide an opportunity, both for underwriters offering these solutions, and for shipping companies concerned about the issue, to protect their cash flow and reputation.