On the recordDecember 12, 2007
The measure we will consider today contains many needed revisions to the terrorism risk insurance program to ensure our national and economic security. The terrorism risk insurance program was originally enacted as a short-term backstop for an insurance industry hard hit by the terrorist attacks that occurred on September 11 of 2001. In the years since, we have seen that the private insurance market is unable to cover the risk of both domestic and foreign acts of terrorism without assistance. Experience has shown that there is a true need for government involvement in terrorism insurance. The exposure for private companies is just too great. In the wake of September 11, 2001, many companies opted to exclude terrorism risks from private insurance policies, leaving no coverage in the event of another attack.
Source
govinfo.gov
