WASHINGTON (7/18/14)--The U.S. Senate Thursday voted to extend the Terrorism Risk Insurance program, which is currently set to expire at the end of this year.
The federal insurance backdrop was created by the Terrorism Risk Insurance Act, which requires property and casualty insurers to offer coverage for foreign acts of terrorism on U.S. soil.
The program was created in the aftermath of the Sept. 11 terrorist attacks when, after suffering steep losses, insurance companies ceased terrorism coverage as part of their commercial property policies. The program has since been reauthorized by Congress twice.
The Senate voted to extend the program through 2021.
A similar bill awaiting a House vote would execute some reforms to the TRIA program.