As we previously wrote about here, legislation has been introduced to further extend the Terrorism Risk Insurance Act (TRIA), currently set to expire at year’s end.
Yesterday, July 24th, the House Financial Services Committee‘s Subcommittee on Capital Markets, Insurance and Government Sponsored Enterprises approved the language of the proposed new legislation entitled the Terrorism Risk Insurance Revision and Extension Act. The entire House Financial Services Committee plans to review the bill next week.
The bill would extend the federal insurance terrorism backstop for ten years and would add group life insurance to the program’s coverage. One of the issues being discussed is an amendment proposed by Rep. Paul Kanjorski, D-Pa., the subcommittee’s chairman, under which insurers would not be required to offer coverage for nuclear, biological, chemical and radiological (“NCBR”) terrorist attacks until 2009.
We will continue to monitor developments and will provide additional updates soon.