Contact: Emily Christensen, 202-224-5444

FOR IMMEDIATE RELEASE      October 17, 2007

Bennett Says 7-Year Extension for the Terrorism Risk Insurance Program is Recognition of Its Importance and Need

Senator signs on as a cosponsor, says Congress should extend it soon

WASHINGTON, D.C. – Today the Senate Banking Committee agreed to extend the current Terrorism Risk Insurance Program for seven years, which will provide more certainty for a program that is still critical to the security and soundness of the U.S. economy.

“In the months following September 11, 2001, it was clear that Congress needed to do something to protect American businesses from failures in the insurance markets as a result of the uncertainty of terrorist attacks. We passed TRIA in 2002 and extended it once again in 2005. This seven-year extension approved by the committee today is a clear sign this is a vital program that is still needed,” said Senator Bob Bennett (R-Utah), a member of the committee and an original cosponsor of the legislation.

Bennett worked with Chairman Chris Dodd (D-Conn.), Senator Richard Shelby (R-Ala), and former Senator Paul Sarbanes (D-Md.) on the original Terrorism Risk Insurance Act of 2002 (TRIA), and a two-year extension of the program in 2005. TRIA provides for a transparent system of shared public and private compensation for insured losses resulting from acts of terrorism. In addition to the seven-year extension, the proposal will also include provisions to cover domestic terrorism acts.

The committee plans to release the details of the legislation shortly. Congress will need to pass the extension before the current December 31, 2007, expiration.

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http://bennett.senate.gov/