ISC backs terrorism insurance bill

The Florida based corporation lobbied senators throughout the USA prior to the Congress vote last Tuesday of 84-14 in favour of a terrorism insurance bill. If made legal, the government would 'reinsure' insurance companies following a major terrorist attack, by paying 90% of future claims after the first $10 billion.

Dave Holcombe, ISC's director of Risk Management, told Autosport Professional: "If the bill does get signed, it will have a very positive effect. It is almost impossible at the moment to get terrorism insurance."

Holcombe described the reaction of insurance companies to the terrorist attacks in New York and Washington (working layer premiums rose by 1000%) as "shocking". ISC covers its 12 circuits within a single portfolio, with Daytona the prize asset. Holcombe is anxious that the bill is made law before the current insurance contract expires in six months' time.

However, the Coalition to Insure against Terrorism, which has representation from the major sports in the USA including the NFL, NBA, NCAA and NHL, said it had not received support from NASCAR, CART, the IRL or any motorsport speedways.

Jay Hyde, a spokesman for the CIAT told Autosport Professional: "Terrorism insurance is an increasing problem that affects any public or private venue with a sizeable concentration of spectators. It may well be that they [US speedways] are covered at the moment, but they may find they are unable to acquire an affordable rate in the future."

Hyde said sports venues and bodies are often unwilling to disclose details of insurance, as these can affect the confidence of shareholders.

The House of Representatives has already voted on its own version of the bill. CIAT spokesman Darren McKinney said he hoped the House-Senate conference committee would submit the final draft to President George W. Bush before the August recess.