WASHINGTON DC, March 19- 
Lloyd’s, the famed London
underwriter, has an interesting
new way for average Americans to
prepare themselves for the
dangerous world we now live in.

They call it "terror insurance." 
  
Lloyd’s new product, rolled out
for the first time here today in
the nation's capitol, is aimed at
those Americans "facing the risks
of a future clouded with terror,"
said company Spokesperson
Kenneth Trunk-Jones.   

The new policies are available as
of today.
 
"They will be comprehensive and
flexible," Trunk-Jones said. "No 
American need worry any longer that
he or she faces the future
unprotected."
 
The company's new plan will provide
coverage for any and all loss of
life or injury resulting from a
terrorist act committed inside the
contiguous 48 states of the USA.

"No matter where you are, no matter
what you’re doing, so long as you
are in the Lower 48 when the act
occurs, you’ll be covered," the
spokesperson said.

Lloyd’s is world famous for its
unusual policies.
  
"From show girls legs to nuclear
materials, we’ve insured just about
everything," Trunk-Jones said. "In
particular, we have a long history
in counter-terror coverage."

"For instance, we’ve been covering
corporate executives against 
kidnappers' ransoms for years in
Latin America," he said.
 
Determining the premium for this
terror coverage created no "truly
unusual issues," according to plan
actuary Neil Talbot.

"No, this is not that different
from other coverages," Talbot said. 

The plan's introduction comes as
the US braces for war in the
Persian Gulf- a conflict the current
administration directly connects to
the country’s terror risks.
  
According to Trunk-Jones, however, 
the timing of the plan's 
introduction had "nothing to do with
the Iraq war."

"Lloyd’s is hardly in the
headline-grabbing business," he said.
  
When asked about a $90 billion cost
estimate for the impending Iraq war
(or about 300 dollars per American),
Talbot said, "I guess one could
weigh the cost of our plan against
the cost of a war with Iraq."

"The war looks a bit steep from that
angle," Talbot added playfully.

As to any difference the war itself
might make in future terror risks,
Talbot said the difference would be
"negligible," and that, "we actually
considered this quite extensively."

According to the actuary, the
company concluded that there would
be no reduction in risk if the US
"took out Saddam Hussein."

"Not even an easy go over there
seems to us likely to change the
threat outlook at home much, I’m
afraid," Talbot said. "On balance,
if anything, the war over there might
increase risks."

The new plan's rates are for one
year’s coverage.
 
"As is our usual procedure in such
things, these rates are always
subject to change," said Trunk-Jones.
"Lloyds constantly reviews its rates
in the light of experience."

Asked if the nation as a whole could
be insured, Trunk-Jones answered, 
"Yes, if the US gov applied for a
blanket policy, one covering all
Americans, certainly we’d take it."
   
"And the rates would be considerably
lower," Talbot added.

Asked what it would cost America to
cover itself, Talbot said, "A quick
guess would be 5-7 billion dollars,
but if you read this, don’t hold me
to it, Mr. Bush.

I could be off by a few billion."