Brief Reflection on TRIA: 9/11

Thursday, September 17 2009 - workers-compensation, insurance

After the World Trade Center Attacks, there were concerns about large losses due to potential future events caused by terrorism.  Congress passed the Terrorism Risk Inusrance Act as a temporary solution which would allow private insurers and the federal government to share ceratain costs.  The act was considered temporary which was gave the market time to adjust.  Originally enacted on November 26, 2002, the act was exteneded an additional two years to expire on December 31, 2007.  Under the Terrorism Risk Insurance Program Reauthorization Act, the expiration date was extended once again until December 31, 2014.  So what once was considered temporary now has a minimum life of 12 years.