§ Miss HoeyTo ask the President of the Board of Trade if he will make a statement about the Government's reasons for not providing compensation for victims of terrorism in England. [1342]
§ Mr. NelsonI refer the hon. Lady to the reply I gave to the hon. Member for Manchester, Blackley (Mr. Eastham) on 27 June 1996,Official Report, column 202.
§ Miss HoeyTo ask the President of the Board of Trade what estimate he has made of the cost of providing, in each of the three years before the commencement of the IRA ceasefire and in 1996 to date, compensation for losses caused by terrorism in England, Scotland and Wales on a similar basis to that provided in Northern Ireland. [1419]
276W
§ Mr. NelsonThere is no justification for a compensation scheme because, unlike Northern Ireland, insurance cover is readily available elsewhere in the United Kingdom. No estimate of the cost of such a scheme has therefore been made.
§ Miss HoeyTo ask the President of the Board of Trade if he will make a statement on the regulation of the premiums for terrorism insurance levied on people living or working in inner London. [1354]
§ Mr. NelsonIndividuals living or working in Inner London will normally be covered for any losses caused by acts of terrorism by their personal domestic household policies and/or comprehensive motor policies, as appropriate. Premiums are determined by normal competition between insurers.
Insurance policies for businesses or other non-personal policyholders will normally have a limit on the level of claims payable, unless the policyholder has bought full terrorism cover. Were insurance is provided by a member of the scheme established in accordance with the Reinsurance (Acts of Terrorism) Act 1993, the additional terrorism premium is set by the Pool Reinsurance Company Ltd. in the light of advice of consultant actuaries and after consultation with my Department.