Insurance commissioners of several states will hold a summit in the middle of this month to develop a National Catastrophe Insurance Program. The commissioners hope to more effectively spread insurance risk and help survivors cope with the tremendous financial damage caused by natural catastrophes and acts of terrorism.

"The ultimate toll of Hurricane Katrina will be unimaginable in both loss of human life and financial ruin," said John Garamendi, California's insurance commissioner. "This tragedy makes our work at the summit even more urgent. As insurers begin to sort through a deluge of claims, and as survivors confront the fact that some losses won't be covered, it will become painfully clear that a single, national policy is the only answer."

Some states, such as California and Florida, have insurance pools to deal with catastrophes particular to their regions, such as earthquakes and hurricanes, respectively. A national policy would help insure more people by lowering costs through greater risk sharing, the summit's organizers believe. To that end, insurance company executives, members of Congress, insurance regulators, and other experts have been invited to San Francisco to debate the pros and cons of creating a National Catastrophe Insurance Program.