Terrorism Certification Lag Time Creates Confusion for Victims and Insurers
NEW YORK (March 17, 2015) – An official comment letter submitted by RIMS, the risk management society™, to and at the request of the U.S. Department of the Treasury provided recommendations for expediting the process for certifying acts terror. The full letter can be read here.
RIMS President Rick Roberts states: “Unnecessary complications or delays in the Government’s decision–making process regarding terrorism certification only leads to greater uncertainty in the insurance marketplace. Our hope is that these revisions to the TRIA program will enable them to more efficiently assess these tragic events and communicate their findings faster to the organizations that have suffered losses. RIMS sincerely appreciates the Department of the Treasury’s efforts to further study the TRIA program and we look forward to supporting them throughout the process.”
Key recommendations in RIMS letter include:
- A 60 to 90 day deadline from the date of an event for the Secretary of Treasury to make a formal decision on its certification.
- Allowing insurers to quickly assess the total loss projected from the event and use this projection as the “insured loss” until additional information is collected. This would expedite the process for determining whether the event meets the required TRIA trigger.
For more information about RIMS External Affairs initiatives, visit www.RIMS.org.