TRIA extension won't be easy, reps. warn: coverage could be broadened, but Congress might have to hike carrier retentions.(Terrorism Risk Insurance Act of 2002)

National Underwriter Property & Casualty-Risk & Benefits Management, February, 2005 by Postal, Arthur D.

CONGRESS MIGHT BE WILLING TO expand the Terrorism Risk Insurance Act to cover nuclear, biological, chemical and radiological risks, but renewing the federal reinsurance program will be a hard slog in any case, key House members warned insurance industry representatives. The price the industry may have to pay for including nuclear and other risks in federal coverage may be beyond what some insurers are willing to bear, one industry official with knowledge of the meetings said.

Rep. Richard Baker, R-Louisiana, who chairs the Capital Markets Subcommittee of the House Financial Services Committee, said adding such coverage--perhaps in exchange for an increase in the deductible paid by insurers before federal reinsurance coverage kicks in--is an option. "There is...

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