You are here:HomeNews CenterPIA Press Releases2007PIA Praises Senate Banking Committee for Seven-year TRIA Extension, Vows to Continue Efforts to Add NBCR Coverage, Lower 'Trigger Level'

PIA Praises Senate Banking Committee for Seven-year TRIA Extension, Vows to Continue Efforts to Add NBCR Coverage, Lower 'Trigger Level'

WASHINGTON, October 17, 2007 - The National Association of Professional Insurance Agents (PIA) today commended the Senate Banking Committee for passing a bill...
October 17, 2007

WASHINGTON, October 17, 2007  - The National Association of Professional Insurance Agents (PIA) today commended the Senate Banking Committee for passing a bill to extend the Terrorism Risk Insurance Act (TRIA) for seven years, while at the same time vowing to continue efforts to restore certain provisions stripped from the legislation.

"Extending TRIA for a full seven years is a start toward providing the kind of certainty that the insurance marketplace needs," said PIA National Senior Vice President Patricia A. Borowski. "We commend lawmakers for realizing that there is an ongoing need for a more permanent solution to insuring against terrorist attacks."

While many of the elements contained in the Senate version of TRIA renewal are decidedly positive, PIA emphasized that some provisions from the House version should be incorporated into the final bill that emerges from a conference.

PIA also said that coverage for nuclear, biological, chemical and radiological (NBCR) events, contained in the House version but absent from the Senate version, should be restored and that a lower deductible for NBCR events is critical, especially for workers compensation. "An adequate backup needs to be provided for these most catastrophic potential events that represent the greatest degree of uninsurable risk," Borowski said.

PIA will continue to work to reduce the "trigger level" for federal participation from the $100 million in the Senate bill, back to the $50 million in the House version. "The lower trigger level will ensure that America's many regional insurance companies -- vital to the success of America's insurance industry -- will remain in good financial standing should terrorists again strike our homeland," Borowski said.

"The availability of affordable terrorism insurance coverage is not solely a concern for trophy properties in major urban areas," she added. "That's why this legislation must not bypass the small and midsize communities of America or the small and midsize insurance companies that serve them."

"The vote by the Senate Banking Committee demonstrates how far we've come in the debate over providing a terrorism insurance backstop," Borowski said. "Congress is no longer considering short-term extensions, and those who oppose TRIA as unnecessary are now decidedly in the minority. It's now up to the full Senate and the conferees to continue to craft legislation that makes TRIA everything it needs to be."

Founded in 1931, PIA is a national trade association that represents member insurance agents and their employees who sell and service all kinds of insurance, but specialize in coverage of automobiles, homes and businesses. PIA members are Local Agents Serving Main Street America(SM). PIA's web address is www.pianet.com.

Filed under: