The specifics of the current program are as follows: (1) a terrorist act must cause $5 million in insured losses to be certified for TRIA coverage, (2) the aggregate insured losses from certified acts of terrorism must be $200 million in a year for the government coverage to begin, and (3) an individual insurer must meet a deductible of 20% of its annual premiums for the government coverage to begin. Once these thresholds are met, the government covers 80% of insured losses due to terrorism
Am I reading that correctly, that for the gov to start covering individual damages of over 5 million the OVERALL terrorism damages in that year have to be greater than 200 billion?
Million, not billion. But the 20% deductible probably means that insurers can’t get that money, because the way it’s stated they’d have to pay out more than 20% of their (total) premiums for coverage to begin.
Am I reading that correctly, that for the gov to start covering individual damages of over 5 million the OVERALL terrorism damages in that year have to be greater than 200 billion?
Million, not billion. But the 20% deductible probably means that insurers can’t get that money, because the way it’s stated they’d have to pay out more than 20% of their (total) premiums for coverage to begin.
Ah, yeah. Misread, that makes way more sense.