Sen. Lieberman Backs Permanent TRIA

WASHINGTON--Sen. Joe Lieberman, I-Conn., told independent agents meeting here today that he supports renewal of the Terrorism Risk Insurance Act and would like to see it made permanent.

The senator's comments came during the Independent Insurance Agents & Brokers of America's Legislative Conference and Convention, which is taking place this week.

"Another terror attack can come at any time, anywhere [in the United States], and the loss could cripple the American insurance industry," he told a packed audience.

While he supports the extension of the act, which provides supports for insurers' catastrophic terrorism losses, the senator said he felt it was time for the measure to be made permanent. He also said TRIA should be expanded to cover chemical, nuclear, biological and radiological events.

Sen. Lieberman said the act has done what it was intended to do--to provide a backstop and split the risk between the private sector and government--and it should continue.

He also noted a Department of Treasury report that said half of all insurers would stop writing terrorism risk if the program is not renewed, underscoring the continued need for the program.

"We need to do all we can to protect and deter another attack, but we also must be able to pick ourselves up after it," Sen. Lieberman noted. "Part of any recovery effort must come from a healthy and stable insurance industry."

Sen. Lieberman said he is also supportive of the creation of a commission to study legislation for a national catastrophe insurance plan, calling the study "a great idea." He added that any program that would help service policyholders more quickly with their claims would "serve the customers and the country."

Any legislation will need the cooperation of both Democrats and Republicans, he said. Sen. Lieberman condemned the extreme ideological disputes between the parties that, he said, prevent compromise and the passage of legislation.

While Democrats and Republicans battle over whose side should win, the public does not benefit, he noted. "What is lost is America's side," Sen. Lieberman commented. "It is time to start working together."

He said the recent election was a clear indication the American public wants to see an end to the partisan politicking

After losing the Democratic primary last year for his Senate seat, Sen. Lieberman won re-election as an independent. He continues to side with the Democrats on many issues.

Also addressing the agents today was House Minority Whip Roy Blunt, R-Mo., who said TRIA is an important issue and consideration should be given to extending the program to group life insurance.

He said making TRIA permanent was a good idea that needed to be discussed further, but stopped well short of endorsing the concept. He indicated that since many state regulators are involved, their views would have to be heard.

Rep. Blunt also appeared to endorse the status quo of partisanship, saying, "We don't want to be too partisan, but we do not want to be too na?ve."

He criticized current government expenditures, saying the federal government does not measure success by results but by how much is spent.

"We have to demand a better result," he said.