The Treasury Department is asking the public to comment on thelong-term availability and affordability of terrorism riskinsurance.

The new request for data on behalf of the President's WorkingGroup on Financial Markets is coming as insurance and alliedindustries are ramping up their efforts to persuade Congress to actpromptly on renewal of the existing Terrorism Risk Insurance Act,which expires at the end of next year.

Comments are due by Aug. 2. The Working Group is composed of thetop members of most of the federal financial services regulatoryagencies.

The Property Casualty Insurers Association of America, theAmerican Insurance Association and the National Association ofMutual Insurance Companies all hailed the Treasury decision as animportant step in getting TRIA extended for a substantive period oftime.

The National Council of Insurance Legislators passed aresolution at its weekend summer meeting in Philadelphia notingthat the trade group “recognizes that TRIA has provided for aviable and stable terrorism risk insurance market which is vital toour nation's economy.”

The Risk and Insurance Management Society scheduled a webinairon the issue for Thursday, and the American Insurance Associationhas scheduled a meeting with reporters the same day to brief themon the importance on renewal of the legislation.

Several bills have been introduced in the House on the issue,with two calling for extending the program for 10 years, and athird seeking to extend the program for 5 years.

The input will be used by the President's Working Group onFinancial Markets to prepare a report.

“The 2013 report will be the last of three PWG reports expectedbefore the December 2014 expiration of the Terrorism Risk InsuranceProgram,” said Eileen Gilligan, PCI's senior director, publicaffairs.

“PCI strongly supports a long-term reauthorization of TerrorismRisk Insurance,” Gilligan said, noting that “The economic falloutfrom a terrorist attack could be significant.”

Gilligan said that, “It is important to have a plan in place toprotect the economy and provide rapid assistance to impactedbusinesses. Terrorism risk insurance is fiscally responsible andnecessary for the economy and job creation.”

Jimi Grande, senior vice president of federal and politicalaffairs for NAMIC, added that, “With just under 18 months until theexpiration date for the TRIA program, now is the time for theadministration and Congress to work toward passage ofreauthorization legislation to ensure that our communities and theeconomy will be protected from terrorism, and to preventdisruptions in the marketplace.”

Grande said that, “NAMIC looks forward to working with thePresident's Working Group, the administration, and Congress towarda swift reauthorization of this vital program.”

Wil Rijksen, a spokesman for the AIA, said that, “Theunpredictable nature of terrorism –an intentional act – makes it arisk that insurers can cover only through a public-privatepartnership like TRIA.”

Rijksen said that, “Since its inception more than a decade ago,TRIA has stabilized the market and made terrorism coverage widelyavailable.”

He said TRIA “provides much needed predictability for an orderlyeconomic recovery after an event. Thanks to the certainty that theprogram provides, businesses are able to make decisions and free upcapital for expansion and economic growth.”

He added that, “AIA will be working in the months ahead toachieve broad bipartisan support for reauthorization of this vitalprogram.”

Currently, 49 members of the House, representing 22 statesand the District of Columbia, have voiced support for extending thecurrent TRIA program.

This latest bill is the “Terrorism Risk Insurance ProgramReauthorization Act of 2013.” It has 19 co-sponsors, most of themfrom urban districts and most of them members of the HouseFinancial Services Committee. Rep. Peter King, R-N.Y., is the onlyRepublican House member on the bill.

The bill is similar to the “Fostering Resilience to TerrorismAct of 2013,” introduced by Rep. Bennie Thompson, D-Miss. in thatit would extend the program for 10 years.

Thompson is ranking minority member of the House HomelandSecurity Committee.

However, Thompson's bill raises concern because it woulddesignate the U.S. Department of Homeland Security to become the“lead” agency in the certification process, switching control fromthe Treasury Department, and adding a provision on informationsharing for insureds.

It would also allow the House Homeland Security Committee toshare jurisdiction over the issue with the House FSC.

Bipartisan legislation introduced in the House in February, “theTRIA Reauthorization Act of 2013,” H.R. 508, would extend theprogram for 5 years. The lead sponsor is Rep. Michael Grimm,R-N.Y.”

The program was first enacted in 2002, and extended for fiveyears in 2007. It expires Dec. 31, 2014.

Sen. Mark Warner, D-Va., has also voiced interest in sponsoringlegislation extending the program.