NOTICE OF TERRORISM INSURANCE COVERAGE
You are hereby notified that under the Terrorism Risk Insurance Act of 2002, as amended ("TRIA"),
that you now have a right to purchase insurance coverage for losses arising out of acts of
terrorism, as defined in Section 102(1) of the Act, as amended: The term "act of terrorism"
means any act that is certified by the Secretary of the Treasury, in consultation with the Secretary
of Homeland Security and the Attorney General of the United States, to be an act of terrorism; to be
a violent act or an act that is dangerous to human life, property, or infrastructure; to have
resulted in damage within the United States, or outside the United States in the case of an air
carrier or vessel or the premises of a United States mission; and to have been committed by an
individual or individuals, as part of an effort to coerce the civilian population of the United
States or to influence the policy or affect the conduct of the United States Government by coercion.
Any coverage you purchase for "acts of terrorism" shall expire at 12:00 midnight December 31, 2020,
the date on which the TRIA Program is scheduled to terminate, or the expiry date of the policy
whichever occurs first, and shall not cover any losses or events which arise after the earlier of
YOU SHOULD KNOW THAT COVERAGE PROVIDED BY THIS POLICY FOR LOSSES CAUSED BY CERTIFIED ACTS OF
TERRORISM IS PARTIALLY REIMBURSED BY THE UNITED STATES UNDER A FORMULA ESTABLISHED BY FEDERAL LAW.
HOWEVER, YOUR POLICY MAY CONTAIN OTHER EXCLUSIONS WHICH MIGHT AFFECT YOUR COVERAGE, SUCH AS AN
EXCLUSION FOR NUCLEAR EVENTS. UNDER THIS FORMULA, THE UNITED STATES PAYS 85% THROUGH 2015; 84%
BEGINNING ON JANUARY 1, 2016 83% BEGINNING ON JANUARY 1, 2017; 82% BEGINNING ON JANUARY 1,2018; 81%
BEGINNING ON JANUARY 1, 2019 AND 80% BEGINNING ON JANUARY 1, 2020; OF COVERED TERRORISM LOSSES
EXCEEDING THE STATUTORILY ESTABLISHED DEDUCTIBLE PAID BY THE INSURER(S) PROVIDING THE COVERAGE. YOU
SHOULD ALSO KNOW THAT THE TERRORISM RISK INSURANCE ACT, AS AMENDED, CONTAINS A USD100 BILLION CAP
THAT LIMITS U.S. GOVERNMENT REIMBURSEMENT AS WELL AS INSURERS LIABILITY FOR LOSSES RESULTING FROM
CERTIFIED ACTS OF TERRORISM WHEN THE AMOUNT OF SUCH LOSSES IN ANY ONE CALENDAR YEAR EXCEEDS USD100
BILLION. IF THE AGGREGATE INSURED LOSSES FOR ALL INSURERS EXCEED USD100 BILLION, YOUR COVERAGE
MAY BE REDUCED.
THE PREMIUM CHARGED FOR THIS COVERAGE IS PROVIDED BELOW AND DOES NOT INCLUDE ANY CHARGES FOR THE
PORTION OF LOSS COVERED BY THE FEDERAL GOVERNMENT UNDER THE ACT.