Big “I” Praises House Committee Action on Terrorism Insurance Bill & NARAB II
Legislation would extend TRIA program for five years and includes agent licensing reform.
WASHINGTON, D.C., June 20, 2014 — The Independent Insurance Agents & Brokers of America (IIABA or the Big “I”) today praised the U.S. House Committee on Financial Services for reporting H.R. 4871, the “TRIA Reform Act of 2014,” for consideration by the full House.
“H.R. 4871 further demonstrates the House Financial Services Committee’s commitment to reauthorizing the TRIA program, as it is critically important to the U.S. economy, and the Big ‘I’ is grateful for today’s action,” says Charles Symington, Big “I” senior vice president of external and government affairs. “We particularly want to thank House Financial Services Committee Chairman Jeb Hensarling (R-Texas) and Insurance Subcommittee Chair Randy Neugebauer (R-Texas) for introducing this bill and moving it through the committee process.”
In addition to reauthorizing the TRIA program for five years, the bill would also separate nuclear, biological, chemical and radiological events (NBCR) from conventional events. For conventional events the bill would gradually raise the trigger amount needed in total losses before the TRIA program kicks in from the current $100 million to $500 million and the co-pay for private industry’s insured losses to 20% from the current 15%. For NBCR events the current trigger and copay amounts would remain in place. For all events the bill would raise the private industry recoupment total from the current 133% of covered losses to 150% of covered losses.
“The Big ‘I’ is also grateful to the committee for accepting an amendment to the House TRIA bill to include the National Association of Registered Agents and Brokers legislation (NARAB II),” continues Symington. “We especially want to thank Insurance Subcommittee Chairman Randy Neugebauer (R-Texas) for offering the NARAB II amendment during today's committee consideration. We look forward to working with both the Senate and House on final passage to send this crucial legislation to the president’s desk as soon as possible.”
NARAB II would achieve much needed reciprocity in producer licensing and help policyholders by permitting greater competition among agents and brokers. This legislation would build upon regulatory experience at the state level, promote greater consistency in agent and agency licensing, and ease the burden that many agents face in doing business across state lines.
Founded in 1896, the Big “I” is the nation’s oldest and largest national association of independent insurance agents and brokers, representing a network of approximately a quarter of a million agents, brokers and their employees nationally. Its members are businesses that offer customers a choice of policies from a variety of insurance companies. Independent agents and brokers offer all lines of insurance—property, casualty, life, health, employee benefit plans and retirement products. Web address: www.independentagent.com.