Federal reinsurance for terrorism risk in 2015 and beyond / David Torregrosa, Perry Beider, and Susan Willie.

Format:

Book

Government document

Author/Creator:

Torregrosa, David, author.

Beider, Perry, author.

Willie, Susan, author.

Contributor:

United States. Congressional Budget Office, issuing body.

Series:

Working paper series (United States. Congressional Budget Office) ; 2015-04.

Working paper ; 2015-04

Language:

English

Subjects (All):

Terrorism insurance--United States.

Terrorism insurance.

Risk (Insurance)--United States.

Risk (Insurance).

Financial reinsurance--United States.

Financial reinsurance.

Terrorism--Economic aspects--United States.

Terrorism.

Disaster insurance--United States.

Disaster insurance.

Reinsurance.

United States.

Physical Description:

1 online resource (approximately 41 pages) : illustrations

Place of Publication:

Washington, DC : Congressional Budget Office, 2015.

System Details:

text file

PDF

Summary:

The reauthorization of the federal government's terrorism risk insurance program in January 2015 helps ensure that private insurance for commercial property and casualty losses caused by terrorism remains widely available both before and after an attack. The Congressional Budget Office projects that the insurance program will increase federal spending by $3.1 billion and boost net revenues by about $3.5 billion over the next 10 years on an expected-value basis, but those average amounts incorporate a wide and unevenly distributed set of possibilities. Before the program's reauthorization in January 2015, CBO analyzed a variety of options for federal support of terrorism risk insurance. This paper examines in more detail some options that might be considered in the future: shift more risk to insurers by raising their deductibles and copayments or by narrowing the scope of the program; strengthen policyholders' incentives to mitigate losses by charging risk-based prices for the government's support; and improve private insurers' ability to offer coverage by changing the tax treatment of catastrophic reserves.

Contents:

Introduction.

Terrorism risk.

The Federal Terrorism Risk Insurance program.

Policy options.

Appendix: Terrorism insurance programs in other countries.

Notes:

"June 2015."

Includes bibliographical references.

Online resource, PDF version; title from cover (CBO, viewed August 30, 2015).

Other Format:

Print version: Torregrosa, David. Federal reinsurance for terrorism risk in 2015 and beyond

OCLC:

919378327