war exclusion
A provision found in nearly all insurance policies that excludes loss arising
out of war or warlike actions. The loss can result from either declared or undeclared
war, but must be related to actions of a military force directed by a sovereign
power. Prior to the September 11, 2001 terrorist attacks, the war exclusions
in most liability insurance policies applied only with respect to contractually
assumed liability, on the theory that private persons and organizations could
not otherwise incur liability in connection with war. Following the September
11, 2001, terrorist attacks, "war and terrorism" exclusions that broadened the
war portion of the exclusion beyond contractually assumed liability were quickly
added to liability policies. That broadened war exclusion is now standard, regardless
of whether terrorism is insured or excluded in the policy.
Links for IRMI Online Subscribers Only:
CLI V.D;
CAI VIII.D;
CPI V.W;
PRMI 5.E,
5.G,
10.F,
11.C