Federal Plot in California Highlights New Year’s Eve Terror Risk for Insurers

For insurers, several elements of the case are notable. New Year’s Eve is one of the most concentrated dates for public gatherings, hospitality revenue and event activity, so even a disrupted plot can trigger event cancellations, heightened security costs and localized business interruption. That can implicate event cancellation insurance, terrorism or political violence policies, and, in some instances, non‑damage business interruption or civil authority extensions, depending on wording.