Tunka
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Payments to 9/11 Victims Exceed $38 Billion, Study Shows
An extensive study released by the RAND Corporation, a nonprofit research organization based in Santa Monica, California, finds that victims and businesses affected by the 9/11 terrorist attacks have so far received at least $38.1 billion — an economic response "of a scope and scale never before seen."
Designed to be the most comprehensive accounting of how much victims and businesses have been compensated, Compensation for Losses from the 9/11 Attacks differs from earlier studies in that it looks at the financial aftermath of 9/11 from the perspective of the recipients, not the organizations handing out the money. According to the report, families of civilians received an average $3.1 million in government and charitable awards, while families of those who died in uniform received an average compensation award in excess of $4.2 million; some $210 million was distributed to people who were traumatized by the attacks, while roughly $660 million was distributed to people who were exposed to dust and other potential health hazards near ground zero; and insurance payments to businesses for property damage totaled $7.5 billion. Some of the figures exceed earlier estimates, while others have never before been captured.
The study showed that insurance companies accounted for the single greatest share of payments, roughly $19.6 billion, while government compensation, including payments to individual families as well as loans to small businesses near ground zero, totaled nearly $16 billion. Payments by charitable groups comprised 7 percent of the total, or $2.7 billion.
"The compensation paid to the victims of the attacks on the World Trade Center, the Pentagon, and in Pennsylvania was unprecedented both in its scope and in the mix of programs used to make payments," said Lloyd Dixon, a RAND senior economist and lead author of the report. "The system has raised many questions about equity and fairness that have no obvious answers. Addressing these issues now will help the nation be better prepared for future terrorist attacks."
To download the complete report (213 pages, PDF), visit: http://www.rand.org/publications/MG/MG264/.
“Rand Study Shows Compensation for 9/11 Terror Attacks Tops $38 Billion.” Rand Corporation Press Release 11/08/04.
Primary Subject: 9/11 Response
Location(s): Ground Zero, New York, New York City, Pennsylvania, Shanksville, Washington, D.C. |
mbrcatz
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WHICH insurance? Yes, for the most part. Each tenant had a business policy and workers comp in place. Those policies paid contents loss and business interruption coverage to the business owners, and death benefits to next of kin for the deaths. The lessors of the WTC had building coverage in place, that paid out. The only thing being disputed in court was if it was one incident (terrorism) or two (planes hitting). I don't remember if it's settled or not.
The public workers (police, firemen, etc) had coverage on their lives through workers comp, and the equipment covered under commercial auto & package policies.
I heard somewhere (sorry, can't cite reference) that the biggest losses paid out were under the Business Interruption coverage. Hard to imagine that the claims there were smaller than the workers compensation (assume around $400,000,000 paid out in workers comp benefits). The SMALLEST part of the claim was the building damage. |
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