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To: marginmike who wrote (13478)	9/13/2001 3:09:55 PM
From: KyrosL	Read Replies (1) \| Respond to of 209892

If Iraq is behind this, I tend to agree with you on that, but we must persuade Saudi Arabia, because without their cooperation there is no way we can do it. Doing it through a hostile Jordan, even with Israel's cooperation, is impossible, IMO.

To: marginmike who wrote (13478)	9/13/2001 7:32:02 PM
From: patron_anejo_por_favor	Read Replies (2) \| Respond to of 209892

Insurers to dispute WTC claims on basis of it being "an act of war": quote.bloomberg.com 09/13 18:40 Insurers May Dispute World Trade Center Attack Claims (Update1) By Dan Lonkevich New York, Sept. 13 (Bloomberg) -- Was the attack that destroyed the World Trade Center and killed thousands two days ago an act of war or terrorism? For insurers, the answer may be worth billions of dollars. Policies issued by insurers such as St. Paul Cos. and Chubb Corp. typically contain exclusions for expected events and acts of war. That may lead to disputes over some claims, which are likely to top $19 billion, by tenants in the twin towers. President George W. Bush called the disaster an ``act of war.'' ``There's going to be some real fighting on this because of the size of the loss,'' said Mitchell Lathrop, an attorney in the San Diego office of Luce Forward Hamilton & Scripps, who has represented insurers including Ace Ltd. and St. Paul. A spokesman for St. Paul declined to comment. Spokesmen for Ace, American International Group Inc., Chubb, Citigroup Inc., Lloyd's of London, and XL Capital Ltd. didn't return calls seeking comment. It took seven years -- in addition to litigation and the intervention of state regulators -- to resolve the $14 billion in claims from the earthquake that struck Northridge, California, in January 1994. The 1993 World Trade Center bombing, which caused $510 million in claims, also spawned lawsuits. Damage Estimates Damage from Tuesday's attack is likely to top the $19 billion caused by Hurricane Andrew, said the Insurance Information Institute, an industry group, making it the costliest catastrophe. J. Paul Newsome, a Lehman Brothers Holdings Inc. analyst, estimated claims may reach $30 billion. ``It will take years before these policies are fully paid,'' said Michael Paisan, an analyst at Williams Capital, who follows insurance stocks. ``Most claims will get paid in a timely manner, but there might be exclusionary language for acts of war and terrorism.'' While firms such as AIG have begun to tally their potential exposure, company officials such as Berkshire Hathaway Inc.'s Warren Buffett said it's too early to estimate the total costs. AIG today said its pretax loss may reach $500 million. In a statement on its Web site, Chubb said, ``We want to assure our policyholders that their claims will be handled as promptly and efficiently as possible.'' Still, the Wall Street Journal reported a Chubb spokesman said the company may invoke an exclusion, citing the attack as an act of war. ``We'd be sued by our shareholders if we paid and no one else did,'' the spokesman told the Journal. Tenants Morgan Stanley Dean Witter & Co., which was the biggest tenant in the twin towers, expects its insurance to cover terrorism, according to spokesman Raymond O'Rourke. He declined to comment further on whether Morgan Stanley was concerned about its insurers denying claims. Morgan Stanley said fewer than 15 of its 3,700 employees at the complex in lower Manhattan, were missing. Marsh & McLennan Cos. and Aon Corp., two insurance brokers that housed 1,700 and 1,100 employees, respectively in the twin towers, couldn't be reached for comment. A spokeswoman for another tenant, Bank of America Corp., declined to comment. Industry Capital Analysts say the U.S. insurance industry has sufficient capital -- about $318 billion -- to handle the losses even if they reach $30 billion. That doesn't include the capital of foreign insurers and reinsurers, who will absorb some of the liability. ``I wouldn't be surprised if they opt to be conservative with their reserves and leave this behind in 2001,'' said Michael Lewis, an insurance analyst at UBS Warburg. ``The industry could limit its liability by invoking exclusions. The industry will probably think about that either way.'' For businesses seeking payment for their losses, the government may step in if insurers can avoid paying some of the claims. The Democratic leader of the House of Representatives, Richard Gephardt of Missouri, said ``that's a question we are either now or eventually obviously going to have to deal with.'' You heard it here first! Government already trying to bail out insurers indirectly by paying the claim.... siliconinvestor.com