Your answer to question must be based on the text below:
How to Manage Extreme Event Exposures
Source: www.towersperrin.com
(With adaptations)
(With adaptations)
In the wake of 9/11 and other man-made disasters, insurers know they need to improve their catastrophe exposure databases. But how?
In the 20 years prior to 9/11, the world experienced many man-made catastrophes. Domestic or international terrorists were responsible for the Federal Building bombing in Oklahoma City, the World Trade Center garage bombing and the nerve gas attack in the Tokyo subway. Such IT (Information Technology) - related events as the “Love Bug” e-mail virus and the “CodeRed” worm caused serious economic losses. Among the worst industrial disasters were the gas leak at Union Carbide’s pesticide plant in Bhopal, India and the nuclear accident at Chernobyl, Ukraine.
In light of these events, many companies have:
- prepared emergency evacuation plans to save employee lives;
- developed risk management procedures to avoid concentrating top executives in the same location;
- created backup systems to retrieve lost computer data and duplicate IT services.
According to the text, numerous companies
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