Search
 

GlobeSt.com UPDATE: Senate Forms TRIA Extension Bill

WASHINGTON, DC-The US Senate agrees on legislation to extend the Terrorism Risk Insurance Act of 2002, which is scheduled to expire at the end of the year. The bill, which includes alterations to the original legislation, calls TRIA's expiration date to be pushed back to Dec. 31, 2007.

By Barbra Murray | Updated on November 16, 2005

(To read more on the debt and equity markets, click here.)

WASHINGTON, DC-During a mark-up session yesterday, members of the US Senate Committee on Banking, Housing and Urban Affairs from both sides of the aisle came to an agreement on legislation that would extend the Terrorism Risk Insurance Act of 2002 beyond it’s scheduled expiration date of Dec. 31, 2005. TRIA was passed following the Sept. 11 terror attacks and put in place a federal backstop stipulating that the government cover payouts exceeding $100 billion of insurers’ annual liability in the event of future terrorist attacks. The Terrorism Risk Insurance Extension Act of 2005, or S 467, contains new provisions that give the private sector insurance industry more responsibility. The extension would keep TRIA in place in its altered form through 2007, allowing Congress time to craft a long-term solution. For previous TRIA coverage, click here.

“This is a common-sense proposal,” says Sen. Christopher Dodd, who sponsored the legislation. “It reaffirms that we need to continue to remain vigilant in protecting our country’s economic foundation from any possible future terrorist attack or threat. This legislation provides a vital financial backstop that can help inoculate our economy from any potential future terrorist threat and protect jobs and our economy.” The TRIA Extension Act would cap the aggregate amount for all insurers of insured losses during 2006 at $17.5 million, with that figure increasing to $20 million for 2007.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.