New York, NY – With great disappointment, RIMS, the risk management society™, expressed its concern for Congresses’ inability to extend the Terrorism Risk Insurance Act (TRIA) before its deadline on December 31, 2014.
RIMS President Carolyn Snow offered this statement regarding the bill’s expiration:
“We are extremely disappointed that Congress failed to pass an extension of TRIA, despite strong bipartisan support. The program’s expiration will have many negative repercussions for commercial insurance consumers, the countless organizations they represent and the U.S. economy as a whole.
“Congress allowed a program to expire that has proven to be a success. Since its inception, TRIA has stabilized the marketplace by providing adequate capacity at affordable rates. Its expiration will almost certainly cause rates to rise, placing many lending agreements in jeopardy and forcing some organizations to self-insure or simply go without.
“RIMS and many other organizations have been pushing Congress to pass an extension for the past two years but Congress senselessly ignored those concerns and waited until the very last moment. This delay has ultimately led to the worst possible outcome.
“We urge both the House and Senate to act swiftly on this issue as soon as they convene in January. The longer this lapse in coverage is allowed to continue, the more the U.S. economy will suffer.”
RIMS External Affairs Committee and its members will continue to promote the value of TRIA to Congress upon its return on January 6, 2015.