1. finance
2. personal finance
3. insurance

KIDNAP, RANSOM AND EXTORTION (COMMERCIAL)
BROKER FACTSHEET
Chubb offers unparalleled coverage for commercial
organisations against kidnap, ransom and extortion
threats.
Chubb’s kidnap policy is distinctive in the market and is designed to provide maximum
financial and security protection in the event of a kidnapping or extortion incident.
Why do your
clients need
kidnap, ransom
and extortion
insurance?
• According to the Foreign Policy Centre, economic kidnap is one of the fastest
growing threats worldwide
• The cost of cyber extortion in the UK in 2012 was estimated to be £2.2 billion
• An individual is 50,000 times more likely to be an extortion victim than a kidnap
victim
• Approximately 30,000 kidnappings occur each year worldwide, and about 70% are
resolved by paying a ransom
• 90% of all victims survive and the emotional impact can be traumatic
Policy Offering
Comprehensive cover for commercial companies, their employees and family members
against:
•Ransom
• Kidnapping and hijacking
•Extortion
• Legal liability (due to negligence or incompetence)
• Emergency political repatriation
• Expenses to overcome psychological and physical impact
Limits
Up to £15 million (flexible options are available)
Appetite
We like to insure
We are cautious of
4 All commercial companies and organisations
(including not-for-profit) with satisfactory security
procedures in place
4 A personal kidnap, ransom and extortion policy is
available for private individuals
• Marine vessels
• Oil and gas companies with remote or hostile
location exposure
• Not-for-profit organisations with significant
overseas operations
• Significant African, Middle Eastern and/or South
American operations, particularly where subsidiary
companies exist
• Companies with poor or no travel security
procedures
Why Choose Chubb?
4Expertise. Chubb’s specialist underwriters have in-depth kidnap, ransom and extortion experience
4 Global risk consultants. Clients receive access to the expertise of Ackerman, one of the world’s leading
security and crisis response firms
4 Broad definitions. Chubb has one of the broadest definitions of ‘who is insured’ in the market, providing
comprehensive cover for the company, its employees and family members
4 Free from warranties and basis of contract clauses
4 Award winning claims service. Chubb’s claim service is consistently acknowledged as the best in
the market
Key Selling Points
Cover/ Service Benefit No warranties and basis of contract
clauses
4 Chubb has none. This gives greater peace of mind to a client – knowing upfront
that there are no basis clauses or warranties that may trip them up whilst making a
claim.
Choice of consultant
4 The Chubb policy provides unlimited expenses for Ackerman. Ackerman is a
leading global organisation in the field of hostage recovery and security. However,
the policyholder is free to choose their own consultant if they so wish. Chubb is
the only insurer that allows this freedom of choice.
Cover for ransom payment and
interest costs
4 Unlike some insurers, Chubb’s policy also covers the interest costs for a loan
taken to pay the ransom or extortion payment.
Broad extortion cover
4 Chubb offers one of the broadest extortion covers in the market including threats
to: 
• Do bodily harm to an employee as well as his/her family (even when the threat
is politically motivated)
• Cause damage to any premises or tangible property located on the company’s
premises
• Contaminate the products manufactured or distributed by the company
• Disseminate, divulge or utilise the company’s proprietary information
• Introduce a computer virus against the company.
Cover for lost ransom
4 Chubb’s policy ensures your client is not left out of pocket for ransom money
which is lost before it reaches its target and achieves its purpose.
Cover for expenses and legal costs
4 Chubb will extend cover for expenses and legal costs incurred to achieve the safe
release of a hostage. These may include independent negotiators’ fees, interest on
loans taken out for a ransom payment, salary continuation, consequential personal
financial loss and reasonable medical expenses.
Cover for legal liability alleging
negligence or incompetence
4 Chubb protects your client from legal expenses in the event that the company is
alleged to be negligent in a hostage retrieval.
Limited excluded territories
4 Chubb rarely excludes travel to specific areas so your client will have the security
of broad cover, along with a no notification requirement for specific travel.
Access to risk analysis/travel advice
service (RISKNET ™ )
4 Unlike many other insurers, Chubb provides 24 hour access to an online risk
analysis service where your client can check local territory risks and gain advice on
secure travel options.
Case Studies
African abduction
The president of an Asian subsidiary of a Chubb insured company was kidnapped in Africa and a ransom demanded. Over several
months, consultants negotiated a ransom payment and the president’s safe release. He was treated for minor medical problems that
developed during the incident.
• Chubb paid more than $1,000,000 for the ransom, consultants’ costs and medical expenses
• Chubb paid the salary costs of the kidnap victim whilst he was being held (the limit is up to 60 months)
Threats from an anonymous source
A hotel group’s MD received an anonymous letter threatening to blow up several hotels unless £1,000,000 was paid. The letter
appeared to be from a radical political group. Risk consultants analysed the letter, advised it was to be taken seriously and provided
appropriate guidance on how to manage the situation. Security measures were increased at the hotels. A further letter was received
four months later, and then communications stopped.
• No extortion payment was made. Chubb paid £50,000 for the consultants’ expenses
Also available
Chubb has a broad package portfolio that can be combined with kidnap, ransom and extortion insurance including:
• Directors and officers liability
• Crime insurance
• Employment practices liability
• Pension scheme and benefit plan liability
• Corporate legal liability
Chubb also offers comprehensive commercial and accident and health policies.
Contact us
For more information or to obtain a quote please call your local underwriting or sales contact.
For all contacts, visit www.chubb.com/uk/marketinglibrary/contact
BEST FOR FINANCIAL STRENGTH
A++ Superior
AM Best’s highest rating for financial strength
BEST OVERALL SERVICE
Insurance Times Broker Survey
Winner: 4 times in the last 5 years
BEST QUALITY OF COVER
Insurance Times Broker Survey
Winner: 4 times in the last 5 years
BEST CLAIM SERVICE
Insurance Times Broker Survey
Winner: 4 times in the last 5 years
A quality approach
for 130 years
Chubb’s winning performance reflects the
disciplined application of a clear long-term
strategy, regardless of the business cycle:
... employ and empower top quality
underwriters;
... focus on attractive specialisms;
... offer the best niche covers in the market.
Post Magazine, 2012
The Chubb Corporation is a
Fortune 500 company
chubb.com/uk
120 offices in 26 countries
Choose certainty. Choose Chubb.
Commercial | Financial Lines | Chubb 1882 at Lloyd’s |
Accident & Health | Private Clients
This information is descriptive only. The precise cover provided is subject to the terms and conditions of the policy as issued.
For promotional purposes, ‘Chubb’ means member insurers of the Chubb Group of Insurance Companies.
For the purposes of training and monitoring our service, some telephone calls may be recorded.
CHUBB INSURANCE COMPANY OF EUROPE SE, a European company incorporated in England and Wales and registered under Company Number SE13.
CHUBB MANAGING AGENT LTD, a company incorporated in England and Wales and registered under Company Number 7116876.
Registered Offices: 106 Fenchurch Street, London EC3M 5NB, England.
Authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and Prudential Regulation Authority.
© Chubb Insurance Company of Europe SE 2013
F3 11/13