The Constitutional issue is contained in two of the functions of the federal government. Making war and interstate commerce. Since we are at war with terrorists and the USA has declared such a state of war exists the federal government must take on itself all elements of war related loss, whether foreign or domestic injuries or damage. Secondly, under the interstate commerce clause, the federal government allowed the states to regulate insurance contracts. Unless the federal government preempts the state regulation of form and rate even the revised TRIA extension will not solve our difficulties in New York, Georgia, and Florida where excluding terrorism losses over certain thresholds are not possible.
While many characterize this as another corporate subsidy, they forget the United States is at War and war losses have always been federal losses.
We spend millions of tax dollars rebuilding other countries after a war but we have to pay insurance premiums to get our country fixed. Why is that? Who is more important here…them or us?
The Constitutional issue is contained in two of the functions of the federal government. Making war and interstate commerce. Since we are at war with terrorists and the USA has declared such a state of war exists the federal government must take on itself all elements of war related loss, whether foreign or domestic injuries or damage. Secondly, under the interstate commerce clause, the federal government allowed the states to regulate insurance contracts. Unless the federal government preempts the state regulation of form and rate even the revised TRIA extension will not solve our difficulties in New York, Georgia, and Florida where excluding terrorism losses over certain thresholds are not possible.
While many characterize this as another corporate subsidy, they forget the United States is at War and war losses have always been federal losses.
We spend millions of tax dollars rebuilding other countries after a war but we have to pay insurance premiums to get our country fixed. Why is that? Who is more important here…them or us?