U.S. SENATORS TINA SMITH, DAVE MCCORMICK, RUBEN GALLEGO AND THOM TILLIS INTRODUCE BIPARTISAN LEGISLATION TO EXTEND THE TERRORISM RISK INSURANCE PROGRAM FOR SEVEN YEARS

The following information was released by the office of Minnesota Sen. Tina Smith:

Today, U.S. Senators Tina Smith(D-MN), Dave McCormick (R-PA), Ruben Gallego (D-AZ), and Thom Tillis (R-NC) introduced the bipartisan Terrorism Risk Insurance Program Reauthorization Act of 2026, whichis essential to economic security bysafeguardingthe availability of terrorism risk coverage.This legislation is also cosponsored bySenatorsBritt (R-AL),Van Hollen (D-MD), Crapo (R-ID), Cortez Masto (D-NV), Kennedy (R-LA), Schumer (D-NY), Moreno (R-OH), Kim (D-NJ), Ricketts (R-NE), Alsobrooks (D-MD),Warnock (D-GA) and Blunt-Rochester (D-DE).

Following the attacksonSeptember 11, 2001, most statesbegan allowing terrorism risk to be excluded fromcommercialinsurancepolicies, leaving businesses and industrieswithout access tocoverage.Since insurance is a precondition for commercial lending and real estate transactions, this gap in coveragethreatened broad economic damage across real estate, construction, energy, transportation, and related industries.Congress responded by passing the Terrorism Risk Insurance Act of 2002 (TRIA), creating afederalreinsurance backstop to stabilize the private market and ensurethat commercial policyholders could continue to obtainterrorismriskcoverage.

Theprivateinsurance markethas relied on theTRIAbackstopever since. WhenTRIAbriefly lapsed in December 2014, terrorism exclusions that insurers had pre-filed with state regulatorstook effect automatically, makingterrorism coverage effectively unavailable across commercial policies nationwide. As a result, terrorism risk coverage was removed from policyholdersimmediatelyand without notice.Given that thecurrent threat landscaperemainselevated,allowing a similarlapse in terrorism coverage wouldexposepolicy holders tounnecessary financial risk and uncertainty.

"The Terrorism Risk Insurance Program is critical to keeping insurance available and affordable to businesses in Minnesota and across the country so they can grow and create jobs,"said Senator Smith."Without this bill, a potential terrorism event would mean a financial catastrophe for many businesses and would be extremely costly to taxpayers. I've worked to make sure this bipartisan measure stays in place since I came to the Senate, and I'm glad to be introducing myTRIAbill again to ensure this vital program doesn't lapse."

"State sponsors of terrorpose apersistentthreat tothe United States, andwemustbe prepared," said Senator McCormick."ReauthorizingTRIAensuresbusinessesand workers in Pennsylvania will be supported in the event of a terror attack."

"We have to make sure we're prepared for the worst,"said Senator Gallego."I'm proud to co-lead the bipartisan reauthorization of the Terrorism Risk Insurance Act. This long-term reauthorization will ensure Arizona businesses can invest in their assets and create jobs with confidence and that they have the resources they need to recover in the event of a major terrorist attack."

"For more than two decades, Congress has recognized the need for the Terrorism Risk Insurance Program. While making sure American businesses have access to this protection is an unfortunate necessity in today's world,it'scritical that Congress extend the program,"said Senator Britt.

"In this dangerous momentwhen America faces growing threats from around the world, our communitiesneed to know thattheir property is insured in the event of a major terror attack. RenewingTRIAwith bipartisan supportis an essential precautionarystepwe must take to ensure Americans have access to insurance andavoid economic peril by allowingthem to recover and rebuild in the wake of an unimaginable tragedy,"said Senator Van Hollen.

"Lack of insurance coverage had a destabilizing effect on the U.S. economy in the wake of the September 11, 2001, terrorist attacks. TRIAhas made coverage for terrorism risk insurance more available and affordable in Idaho and across the nation. This reauthorization ensures continued private-sector responsibility and safeguards our economy against potential future threats,"said Senator Crapo.

"From the Super Bowl to the World Series of Poker to F1 races, the Silver State regularly hosts large gatherings,"said Senator Cortez Masto."While these events are critically important to Nevada's tourism industry, they also create unique risks. Extending the Terrorism Risk Insurance program would help Nevada's economy recover should a debilitating terrorist attack occur and ensures the continued availability of terrorism insurance for our businesses."

"In the wake of the September 11thattacks, Congress created the Terrorism Risk Insurance Program to support Americans during crises. As America continues to deal with heightened terrorism threats, this programremainsas relevant as ever.I'mproud to join my colleagues in introducing a bill to get ahead of the Terrorism Risk Insurance Act'sexpirationdate, pass an extension and prevent any lapse in coverage,"said Sen. John Kennedy.

"After the horrendous September 11th attacks, we learned that failing to insure against losses from terrorism doesn't just threaten individual businesses, it also undermines our entire economy. I am proud to have helped pass the original Terrorism Risk Insurance Act, which has been critical to safeguarding our real estate, construction, energy, transportation, and other vital industries against losses due to terrorist attacks,"said Leader Schumer."Reauthorizing this program for seven years is common sense to provide certainty, stability, and protection for jobs, businesses, and our economy in the face of evolving threats."

"Congress cannot let local communities foot the bill for possible terrorist attacks,"said Senator Moreno."It is critical that we protect American jobs and ensure that businesses across the country have the tools they need to respond to and recover from these catastrophic events."

"The threat of terror attacksdoesn'tjustimpact lives, itimpactslivelihoods. New Jerseyans saw that in the aftermath of 9/11, and we know that in the same wayit'simportant to invest in efforts to protect our country,it'simportant that we reauthorize the Terrorism Risk Insurance Program,"said Senator Kim.

"The Terrorism Risk Insurance Act will provide certainty for insurers, businesses, and large community events that bring Nebraskans together," saidSenatorRicketts. "We must reauthorize this program and ensure we are protected and prepared for any potential future threat. I encourage my colleagues toquickly sendTRIAReauthorization to the President's desk."

"It is critical for the national and financial security of our nation that Congress pass the Terrorism Risk Insurance Act of 2026 let's act before this policy lapses to provide certainty for businesses,"said Senator Alsobrooks.

The Terrorism Risk Insurance Program Reauthorization Act of 2026 would extendTRIAby seven years. Acting before the programexpirationdate of December 31, 2027,provides long-term market certainty and would prevent policyholders from facing a gap in coverage.

The Terrorism Risk Insurance Act is also backed by the following stakeholders:American Property Casualty Insurance Association, Council of Insurance Agents and Brokers, Independent Insurance, Agents and Brokers of America, National Association of Mutual Insurance Companies, Reinsurance Association of America, Coalition to Insure Against Terrorism,Nareit, Real Estate Roundtable, Commercial Real Estate Finance Council.