House Passes Bill Extending Terrorism Risk Insurance Act

     Last week, we reported Congress was considering extending the Terrorism Risk Insurance Act of 2002, set to expire on December 31, 2007.   Today, the House approved a bill 303-116 to extend the Act and expand coverage despite the threat of a presidential veto.  While the Senate bill merely extends the existing program for seven years, the House bill adds group life insurance and a reset provision.  The reset would provide lower deductibles for insurers who agree to write terrorism coverage for areas that have experienced terrorist attacks, and would lower the levels at which the government would step in to assist insurers.