U.S. Federal Insurance Office requests voluntary data from insurers on participation in Terrorism Risk Insurance Program

The U.S. Department of the Treasury’s Federal Insurance Office (FIO) has published a notice in the Federal Register requesting that insurers voluntarily submit certain insurance data and information regarding their participation in the Terrorism Risk Insurance Program (TRIP).

Section 111 of the Terrorism Risk Insurance Program Reauthorization Act of 2015 requires the Secretary of the Treasury to require insurers to submit information about their participation in TRIP and to submit a report to Congress addressing the overall effectiveness of TRIP, the U.S. Department of the Treasury said in a statement Friday.

For this first collection of information under the law, FIO is requesting, and not requiring, that insurers submit certain insurance data in order to assist with the development of the report.

The data relates to the following: (1) lines of insurance with exposure to such losses; (2) premiums earned on such coverage; (3) geographical location of exposures; (4) pricing of such coverage; (5) the take-up rate for such coverage; (6) the amount of private reinsurance for acts of terrorism purchased; and (7) “such other matters as the Secretary considers appropriate.”

Data must be submitted no later than April 30. Participating insurers may submit the requested data and information after registration at a Web portal that has been established for this data collection.

“Since it was first established in 2003, the Terrorism Risk Insurance Program has worked to ensure that American businesses have access to affordable terrorism insurance, ultimately helping to promote economic growth and employment opportunities for American workers,” Michael McRaith, director of the FIO, said in the statement.

“Input from our many stakeholders has been critical to implementing TRIA in an efficient and effective manner that meets the statutory objectives and this Federal Register notice will further that objective.”

FIO, which was established within Treasury by the Dodd-Frank Wall Street Reform and Consumer Protection Act, monitors all aspects of the insurance sector, and assists the Secretary in administering TRIP.