U.S. Chamber Applauds Senate Passage of Terrorism Insurance Bill

Praises President for Leadership in Helping Flagging Economy

WASHINGTON, D.C. - The United States Chamber of Commerce applauds Senate passage of a terrorism insurance bill that will help restore billions of dollars to the flagging U.S. economy from stalled construction projects.

"The business community now has the insurance backstop it needs to cover office buildings, shopping malls, hotels, and other investments in the event of another terrorist attack," said Bruce Josten, Chamber executive vice president. "The business community can resume thousands of construction projects and put thousands of Americans back to work across the country."

A significant and growing number of facilities have been forced to operate without terrorism coverage, leaving business owners, employees and their families economically vulnerable, according to the Chamber. Others are now forced to pay astronomical prices for coverage, tying up productive capital that could be used for job creation and growth.

Under the bill, the federal government would pay 90% of claims arising from terrorist acts after the total amount of claims exceeded $10 billion in 2003, $12.5 billion in 2004, and $15 billion in 2005, until claims exceeded $100 billion.

Although the measure does not include a ban on punitive damages, which would have prevented trial lawyers from going after business owners who are victimized by terrorist attacks, the Chamber still supports the final legislation and urges the President to sign it expeditiously.

"The Chamber praises the President for making terrorism insurance a priority," continued Josten. "This measure will pump billions of dollars into our flagging economy."

The U.S. Chamber of Commerce is the world's largest business federation representing more than three million businesses and organizations of every size, sector and region.

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