It is expected that Bush will sign this legislation despite his and other Congressional conservatives' grumblings in the past about the need for the private sector to take over this role from the federal government. However the final bill that Congress has presented to Bush maps closely with his demands. It doesn't, for instance, provide a 15-year extension as an earlier House bill did. The final version does extend coverage to domestic events and calls for a US Government Accountability Office study on the availability and affordability of insurance for nuclear, chemical, biological and radiological events.

Property owners will be relieved once the bill is passed: as one measure of the importance of terrorism insurance in the commercial real estate realm, according to National Multi Housing Council 2007 Cost of Risk Survey, 87% of apartment firms surveyed purchased terrorism coverage as part of their property program.

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Erika Morphy

Erika Morphy has been writing about commercial real estate at GlobeSt.com for more than ten years, covering the capital markets, the Mid-Atlantic region and national topics. She's a nerd so favorite examples of the former include accounting standards, Basel III and what Congress is brewing.