This book presents OECD policy conclusions and leading academic analysis on the financial management of terrorism risk nearly four years after the World Trade Centre attacks. It examines how the insurance market reacted after the 9/11 attacks, financial market solutions for terrorism risk, and possible roles for governments in the coverage of terrorism risk. It includes a table comparing terrorism insurance schemes in various OECD countries as well as an analysis of terrorism coverage in South Africa, Israel, and India.

Part I. Summary of Conclusions and Policy Options
1. The New Terrorism Threat: A Major Challenge to the Insurance World
2. Towards Sustainable Policy Options to Cover Unpredictable Terrorism Risks
Part II. Policy Issues
Chapter 1. Insurability of Terrorism Risk
Chapter 2. Financial Market Solutions for Terrorism Risk
Chapter 3. Possible Role of Government In the Coverage of Terrorism Risk.
Chapter 4. Compensation of Mega-Terrorism Risk
Chapter 5. Terrorism Insurance Schemes in OECD Countries (2005): Comparative Tables
-Terrorism Insurance Schemes in OECD Countries (2005)
-Definitions of Terrorism Acts for the Purpose of Compensation in OECD Countries.
Part III. Reports by the Exports to the OECD Task Force on Terrorism Insurance
Chapter 6. Insurability of (Mega-) Terrorism Risk: Challenges and Perspectives by H. Kunreuther and E. Michel-Kerjan
Chapter 7. International Financing Solutions to Terrorism Risk Exposures by T.J. Andersen
Chapter 8. The Role of Government in the Coverage of Terrorism Risks by D. Jaffee
Chapter 9. The Coverage of Terrorism Risks at National Level by J. Cooke.
ANNEX. Terrorism Coverage in Selected Non-Member Countries by A. Monti
-1. The South African Experience: SASRIA
-2. The Israeli Compensation System.
-3. The Indian Terrorism Risk Insurance Pool.