Although gun control has been tightened in Australia since the Port Arthur massacre gun ownership remains relatively common and the list of recent incidents and foiled plans to attack schools and infrastructure suggests that Active Shooter/Assailant attacks represent an increasingly common threat.

A recent study highlighted that of active shooter events in Australia, between 1975 and 2015, the majority (64 percent) occurred outdoors. The study also indicated that 14 percent of active shooter incidents took place on business premises and the 14 occurred on university property. Recent high profile events include:

• 21 October 2002 – A student opened fire on students and teachers at Monash University in Melbourne. Two people were killed two and five injured. 
• 15-16 December 2014 - A lone gunman entered a Lindt chocolate café in Sydney, taking 10 customers and eight employees hostage. The siege lasted 16 hours and culminated in the police storming the building with two hostages being killed, including the gunman, with a further four injured. 
• 20 January 2017 – Vehicle Attack. Dimitrious Gargasoulas drove into Bourke St Mall, resulting in the deaths of 6 people and injuring 30+ others
  
  

The insurance market is responding positively

Following the realisation that most general policies purchased by organisations anywhere in the world – including terrorism, workers compensation, general liability insurance and business interruption - were failing to provide effective coverage in the event of an active shooter/assailant incident, the insurance market began to develop and offer a plethora of insurance products to respond. 

We are confident as a broker that the movements within the market to refine and broaden coverage offerings have been sufficient to now meet almost all clients’ needs and that the market will continue to evolve positively as an increasing number of policies are refined and purchased.

Determining and addressing exposure concerns and responses

Whilst the concepts of duty of care and business contingency are at the forefront of organisations’ minds, many are still at the stage of determining what exposures they should be prioritising and mitigating, and what part insurance might play. The latter being partly a factor of insufficient clarity around which risk transfer options could meet their needs.

As intermediaries, our role is to assist clients on fully understanding the policies available, including variances, how coverage relates to the policies they may already have in place and how to check there are no gaps in coverage.

Policies remain different in scope and focus but it is now possible to sweep up exposures and reflect the uncertain nature of an active shooter/assailant attack, including lack of physical damage occurring to trigger a policy and how an attack can quickly develop into a hostage scenario. 

Enhanced policies are now also supported by risk mitigation programmes, including crisis support and response provider coordination, bespoke training programmes and access to security assessment providers.