The Office of General Counsel issued the following opinion on November 21, 2003, representing the position of the New York State Insurance Department.

Re: Terrorism Exclusions in New York Insurance Policies

Question Presented:

Does New York permit terrorism exclusions in non-special risk insurance (Free Trade Zone) policies?


New York permits terrorism exclusions in both special risk insurance (Free Trade Zone) and non-special risk insurance policies subject to the guidelines contained in Circular Letter No. 25 (Dec. 23, 2002).


No facts are specified.


Circular Letter No. 25 (Dec. 23, 2002) provides guidelines for the use of terrorism exclusions regardless of whether a policy is issued on a special risk insurance (Free Trade Zone) or non-special risk insurance basis. A copy of Circular Letter No. 25 may be found on the Department's website at

For further information you may contact Principal Attorney Paul A. Zuckerman at the New York City Office.