Posted on 15 May 2013 by Neilson
The Massachusetts Division of Insurance is in the process of drafting a report on the April 15 bombings of the Boston Marathon, outlining the losses caused by the incident.
The report will describe types of claims that have been filed, the total dollar amounts of claims, the range of dollar amounts for individual claims and the duration of time claims are open, division spokesman Justin Bensan told Best's News Service.
Bensan said the division typically prepares post-event reports to "provide a high level overview of the cost of the event and the overall response by the industry." He said the division is soliciting data from property/ casualty as well as health carriers. The division has not set a date for when the report will be published, he said.
The division is currently monitoring the marketplace and has received no complaints to date, Bensan said.
At this stage, it is unclear whether any losses from the bombing will be covered under terrorism insurance policies. Before terrorism coverage can apply, individual events must be certified as acts of terror by the Secretary of State, the Treasury Secretary and the U.S. Attorney General. To date, no federal agency has certified the Boston Marathon bombing as an act of terror for purposes of terrorism insurance policies.
The Boston Marathon bombings has placed renewed focus on the Terrorism Risk Insurance Program Reauthorization Act, which is set to expire at the end of 2014.
Recently, lawmakers on Capitol Hill have introduced legislation that would reauthorize the program.
The Fostering Resilience to Terrorism Act of 2013, introduced by Rep. Bennie Thompson, D-Miss., would extend the program for 10 years. It would also add a provision on information-sharing for the insureds. Thompson serves as the ranking member of the House Homeland Security Committee (Best's News Service, May 14, 2013).
In April, U.S. Sen. Mark Warner, D-Va., said he plans to back a 10-year extension to TRIPRA in the Senate, saying the Boston Marathon bombing demonstrated the need for a federal terrorism insurance program. Warner has not yet introduced a TRIPRA extension bill (Best's News Service, April 18, 2013).
Congress showed interest in extending TRIPRA even before the bombing, driven in part by substantial industry support for the legislation.