Senate committee approves TRIA extension
Tuesday, June 03, 2014 2:50 PM
The Senate Banking, Housing and Urban Affairs Committee today unanimously approved a measure that would extend the federal terrorism insurance backstop by seven years, Business Insurance reported. In addition to reauthorizing the program, which is slated to expire Dec. 31, the Terrorism Risk Insurance Reauthorization Act of 2014 would increase the deductible that insurers would pay from 15 percent to 20 percent. The increase would be phased in incrementally over five years. Under the current law, the federal government covers 85 percent of each insurer's losses until losses total $100 billion. The bill now goes to the full Senate.