Kidnap, Ransom & Extortion (KR&E) Insurance provides fast professional help in a crisis and protects against financial risks. It grants the insured person access to a crisis advisor who will take the necessary steps if necessary. This includes analysing the situation and providing on-site advice, developing strategic options and establishing the necessary communication channels.
The crisis consultant also supports cooperation with local and national authorities and the media. Last but not least, there is help with caring for the family and relatives during the crisis and with the rehabilitation of the victims.
In addition to the costs of crisis advice, the Kidnap & Ransom insurance also includes the payment of ransom. Other costs associated with an insured event are also reimbursed. These include travel expenses, costs for legal advice or informants, recovery and rehabilitation costs and capital benefits for personal injury. Some coverage concepts insure the costs for the crisis consultant in addition to the selected sum insured.
KR&E policies are purchased by companies and also by private individuals (often as family policies). Due to the need for confidentiality, there are contract management requirements in many countries. For example, codes are often used instead of clear names and only a limited number of people have access to the policy files at the insurer. The sums insured are relatively high, especially in relation to the premiums paid. Such policies are relevant for companies operating internationally in particularly endangered regions, wealthy families and public figures.