According to a Jan. 7, Los Angeles Times article, California has refused to allow insurers to adopt terrorism exclusion language, a move which has already been adopted by approximately 20 other states in the wake of Sept. 11.The LA Times quoted California Department of Insurance Deputy Commissioner Scott Edelen as stating that such terrorism exclusion language runs the risk of being too broadly interpreted and could possibly permit insurers to disallow coverage for hate crimes. A number of states began to adopt terrorism exclusion language after Congress failed to pass federal terrorism reinsurance legislation in 2001.
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