House to vote on terrorism insurance act this week

Measure would extend the backstop for six years
January 06, 2015 08:30AM

The House is planning on reauthorizing the federal Terrorism Risk Insurance Act after it expired on December 31.

Lawmakers failed to reach a deal on keeping the program in place, much to the dismay of the real estate industry. Now, a vote is likely to happen as early as Wednesday.

The act provides a backstop for property insurers in case of a terrorist attack and is widely supported by the real estate industry. In December, retiring Senator Tom Coburn held up the passage of the bill — which would extend TRIA by six years — over a states’ rights issue unrelated to terrorism insurance. New York Senator Charles Schumer is a staunch supporter of the program.

Republicans put the reauthorization of TRIA on a fast-track procedure, which means that a two-thirds majority is necessary for it to pass, according to The Hill.

Republican Jeb Hensarling, the House financial services committee chairman, reached an agreement ensuring the vote would take place this week, the website reported. [The Hill] — Claire Moses