REBNY President Steve Spinola welcomed the U.S. Senate’s decision to extend the Terrorism Risk Insurance Act.
“Today’s overwhelming 93-4 vote in the United States Senate to extend the Terrorism Risk Insurance Act is a testament to the stellar leadership of New York’s Senior Senator Charles Schumer,” he said in a press statement. “This action sends a clear message that protecting our nation and providing our industry with stability is of paramount importance.”
The law, first implemented in the wake of 9/11, is designed to keep a lid on commercial building owners’ insurance costs, mandating that the government take over most of the costs above $100 million incurred as a result of a terrorist attack. The law was a response to insurers’ reluctance to cover skyscrapers following the attack.
“The Senate’s actions bring us one step closer to ensuring that the public and private sectors are in position to provide shared compensation for insured losses, protect our economy, and allow for continued investment and job creation,” Spinola added. “Members of the Real Estate Board of New York and countless others owe a debt of gratitude to both Senator Schumer and Senator Kirsten Gillibrand who never lost sight of this critical issue and its importance to New York City and the country.”