Larson on Passage of Terrorism Risk Insurance Act

Washington – Rep. John B. Larson (CT-01) released the following statement today on passage of the Terrorism Risk Insurance Program Reauthorization Act, S. 2244, in the U.S. House of Representatives:

“Today, Congress provided needed certainty to main street businesses and communities across the country that insurance would be available to help them recover in the event of terrorist attacks.

“The losses and financial impact of September 11th devastated the economy and overwhelmed businesses struggling to rebuild with insurance policies unprepared for a terrorist attack. The loss of affordable insurance halted the construction and development of major metropolitan areas as well as recovery around ground zero. In order to help jumpstart the economy, Congress came together in 2002 to provide the federal support necessary to allow insurance companies to continue offering financial assistance to families, businesses, cities, universities, sports leagues, and the construction industry.

“While it is our hope that this kind of terrorism insurance claim never needs to be fulfilled, we cannot afford to keep businesses suspended in uncertainty and taxpayers on the hook for the total cost of an attack. Providing a government backstop to the work of private insurers in these circumstances is both necessary and fiscally responsible. By reauthorizing TRIA today, we are continuing to provide the security of insurance to developers, building owners and families in the event of a terrorist incident while drastically lowering the ability of those who wish to disrupt our economy through terrorist means.”

The Terrorism Risk Insurance Program Reauthorization Act extends TRIA for six years, providing government assistance in industry losses of over $200 million resulting from a terrorist attack.

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