London, UK, April 18, 2011 – Companies operating inpolitically volatile regions of the world may soon find they areunable to retain sufficient insurance coverage to protect theirassets and staff, according to a new report by global insurancebroker, Willis Group (NYSE: WSH). These companies also run the riskof discovering that their existing policies may not necessarilycover the type of political unrest that is occurring in the MiddleEast, North Africa and Asia.

The report, entitled “Mind the Gap“, observes that insurers that currentlyoffer protection against political risk and terrorism arere-evaluating the terms and prices of their policies to reflect theongoing turmoil in the Middle East and heightened civil unrestunfolding in other regions of the world. Willis says that it is asyet unclear whether insurer appetites or abilities going forwardwill become more restricted by the application of country orterritory limits.

Commenting on the need for companies to get the right coveragein place in case insurers close the door, the report's lead authorBob Peilow, Managing Director, Willis Global Solutions(International) said: “What shocks a lot of people about the latestwave of political unrest is the unpredictability around where itwill happen next, and the fact that today's stable or 'investorfriendly' regime can very easily become tomorrow's hot spot. Thisis why it is so important that companies have the right coverage inplace should the unthinkable happen.”

Comparing the three main types of insurance against politicalunrest – Strikes, Riots and Civil Commotion (SRCC), Terrorism andPolitical Violence cover – the Willis report concludes that fullPolitical Violence insurance will provide the most comprehensivecoverage in response to the type of unrest currently sweepingthrough the Northern hemisphere.

Much broader than traditional terrorism insurance, politicalviolence insurance protects against financial loss as theconsequence of insurrection, civil unrest, politically motivatedsabotage, strikes, riots and civil commotion, armed uprising, coupd'?tat, and civil war.

Willis says that in the past companies operating in hostileterritories have generally purchased SRCC or Terrorism cover asextensions to their Property insurance and other policies. However,the broker warns that the populous violence aimed at overthrowingunpopular regimes witnessed this year would not be covered by astand-alone Terrorism insurance policy.

Willis advises that companies concerned with supply chain riskcould consider alternative options to Political Violence coverincluding Trade Disruption Insurance, which can cover importers'loss of profits or revenue resulting from an import embargo, war,port blockage, supplier insolvency, or confiscation of goods. Insome instances, Marine Cargo insurance can also be extended tocover the risks of strikes, riots and other acts of civilunrest.

Coverage is also available for the evacuation of staff undermost corporate Kidnap & Ransom insurance policies which includea little-known Emergency Political Evacuation and Relocationextension. Some coverage for this type of risk is also affordedunder group Personal Accident and Business Travel policies, thoughthe scope of coverage varies considerably and is typically focusedon business travellers versus expatriate staff, said Willis.

Commenting on the report, Willis Group President, GrahameMillwater said: “Exposure to political unrest will only grow asglobal business continues to expand into new and often hostileterritories where the threat of resource nationalism, creepingexpropriation and supply chain vulnerability is increasing. Ourmessage to companies around the world is to use their brokers tonavigate the insurance options available for these risks and toidentify any potential gaps in their coverage.”

Click here to read the full Willis Political Risk Report.

Willis Group Holdings plcis a leading global insurance broker. Through its subsidiaries,Willis develops and delivers professional insurance, reinsurance,risk management, financial and human resource consulting andactuarial services to corporations, public entities andinstitutions around the world. Willis has more than 400 offices innearly 120 countries, with a global team of approximately 17,000employees serving clients in virtually every part of the world.Additional information on Willis may be found at www.willis.com.