NEY NAMED CONFEREE ON TERRORISM INSURANCE BILL
Bill Will Ensure the Availability and Affordability of Terrorism Insurance

July 30, 2002
Washington, D.C.-Congressman Bob Ney of Ohio’s 18th District has been named conferee on legislation to ensure the availability and affordability of terrorism insurance in the post-September 11th market, while protecting taxpayers and policyholders.
“Since this country was attacked on September 11th, many business owners can’t afford insurance if they want to protect themselves against future attacks,” said Rep. Ney. “This legislation is important for several reasons. Not only do we need to be able to financially protect our businesses in the future, we also need to protect business owners from fraud or unnecessary rate hikes.”
The House passed legislation, last year, in response to signals that uncertainty in the insurance market was hindering the economy. The Terrorism Risk Protection Act (H.R. 3210) will limit immediate market disruptions, encourage economic stabilization and facilitate the transition to a viable private market for terrorism risk insurance.
H.R. 3210 establishes a temporary risk-spreading program to shore up the insurance market and provide it with needed confidence and certainty. The bill requires little in the way of government regulation, which would only go into effect if a terrorist attack occurred.
The bill is based on insurance guarantee funds that are in place in almost every single state to ensure that policyholders are paid in the event of insurer insolvencies.