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December 20, 2004

After TRIA Goes Away: With The Terrorism Risk Insurance Act Due To Expire In 2005, Insurers And Policyholders Must Develop Long-Term Solutions That Deliver Financial Stability And Accountability

Key Points

* The Terrorism Risk Insurance Act will expire on Dec. 31, 2005.

* Insurers must create and support a new, long-term back-stop solution.

* An alternative to TRIA is to require terrorism coverage as part of all property/casualty policies.

The debate over whether the Terrorism Risk Insurance Act will expire on Dec. 31, 2005, or be extended only postpones the inevitable--what comes after and will the markets and policyholders be ready?

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Posted by Tom Troceen