The House of Representatives voted Friday to extend the federal Terrorism Risk Insurance Program until 2034, with a strong bipartisan vote in support of stability in the commercial insurance market.
The bill, the TRIA Program Reauthorization Act of 2026 (H.R. 7128), passed 373-15.
The measure, sponsored by Rep. Mike Flood, R-Neb., chairman of the House Financial Services Subcommittee on Housing and Insurance, now goes to the Senate.
Congress created the program after the terrorist attacks of September 11, 2001, to provide a federal backstop to property and casualty insurers against catastrophic losses from certified acts of terrorism.
Private insurers are now mandated to provide terrorism coverage for policyholders and the Treasury Department shares losses that exceed certain levels after a certified event.
“The core purpose of this program,” said House Financial Services Committee Chairman Rep. French Hill, R-Ark., during floor debate.
“The intent of TRIA is in the original legislation,” Hill said.
“The law says that TRIA is intended to create a transparent system of shared public and private compensation for insured losses from acts of terrorism to protect consumers. Hill added: “That’s the goal here, to provide policyholders with the financial protection they need and the confidence they need to build skyscrapers, sports venues and malls and employ workers that drive our economy.”
“We have to update the bill with the extension,” said Rep. Mike Flood, the bill’s lead sponsor.
“This legislation would extend TRIA, the program created by Congress in the wake of the September 11, 2001 terrorist attacks, through 2034,” said Flood.
“We’re so blessed that in the entire history of the program we’ve never seen a TRIA claim and I hope we never, ever see one. “But if this program is going to continue to exist with a public backstop, we should make sure we update its charter to protect taxpayers in the case of future claims, and we should work to make sure the certification process is transparent,” Flood added.
The bill would extend the program’s authorization for seven years beyond its current expiration at the end of 2027.
It also increases the threshold for certifying an act of terrorism for program purposes, increasing the minimum insured losses required from $5 million to $10 million beginning in 2029.
It also provides clear statutory authority for the Treasury Department to issue public notices about its process for making a determination as to whether an event falls within the definition of terrorism under the program.
TRIA is a public-private partnership.
The insurers would cover the initial losses and the federal government would only pay for catastrophic events that exceed certain retention levels.
Proponents often point to the fact that no claims have been paid out under the program since its inception as proof of its deterrent effect on market disruptions, not as a frequent payout mechanism.
The reauthorization has been supported by business and industry groups such as the U.S. Chamber of Commerce and the American Bankers Association.
They say predictable terrorism coverage supports the financing of commercial real estate projects, construction activity and the operation of large venues and infrastructure that are significant parts of the national economy.
Analysts have warned that if the program isn’t reauthorized, it could cause insurers to shy away from providing terrorism coverage, either raising costs or eliminating availability for businesses in major metropolitan areas and high-profile sites.
Supporters of the bill have characterized the changes as sensible adjustments that boost taxpayer protections without undermining the program’s fundamental purpose.
For example, by raising the certification threshold, the federal government would only get involved if there were a higher bar of insured losses, thus reducing the chances that smaller events would trigger government participation.
This sector underpins millions of jobs in construction, property management, retail, hospitality and related industries across the country.
Large projects such as office towers, stadiums, shopping centers and industrial facilities generally require comprehensive insurance packages, including terrorism coverage.
But the unpredictable nature of terrorism makes it difficult to model the risk using traditional actuarial methods, lawmakers and industry representatives said.
The federal backstop has played a crucial role in keeping a functioning private market for this type of coverage in place since the immediate aftermath of the 2001 attacks, when reinsurers largely fled the space.
H.R. 7128 does not expand the scope of the program or change its essential structure as a temporary backstop.
Rather, it is about targeted reforms that strengthen the existing framework by increasing transparency and fiscal accountability.
The bill now heads to the Senate, where a companion measure also has been filed.
