Oxley Supplies ‘Much-Needed Momentum’ for Terror Insurance Extension in Promising Bill by Sept. 29

September 16, 2004

  • September 17, 2004 at 4:19 am
    Brady Smith says:
    Like or Dislike:
    Thumb up 0
    Thumb down 0

    A TRIA extension should address a big problem in the original extension: the reinsurance program expires before the “sunset” of the “make available” provisions. The reinsurance program needs to cover the same dates as coverage under the “make available” provisions.

    Under current law, companies will have to process renewal policies in December 2005 that offer TRIA coverage throughout 2006. Since TRIA sunsets December 31, 2005 companies aren’t reinsured for the coverages they are required to make available on that month of annual policy renewals. Congress needs to be educated on the ‘real world’ issues so that reinsurance for the mandated coverage offering aligns with policy term expiration dates.

Add a Comment

Your email address will not be published. Required fields are marked *