WASHINGTON (January 7, 2015) –
The following is a statement by National Association of Realtors® President Chris Polychron:
“Realtors® applaud the U.S. House of Representatives for prioritizing the reauthorization of the federal terrorism risk insurance program and quickly passing the Terrorism Risk Insurance Act, which authorizes the program for six years. The program lapsed at the end of 2014 after the U.S. Senate failed to reach agreement on the legislation, which provides a crucial framework for economic recovery in the wake of a catastrophic terrorist attack.
“TRIA allows the U.S. to maintain a stable terrorism insurance market so employers can invest in properties and create jobs without assuming the risk and liabilities of a terrorist attack. Additionally, if the program lapse continues, many property owners with existing commercial mortgage balances that require terrorism insurance could be in technical default of their mortgage terms.
“Without timely Senate action, terrorism insurance will become scarce and expensive, causing construction projects to stall, commercial property values to drop and the ongoing economic recovery to slow. Realtors® will continue to work closely with senators and their staff to swiftly reenact TRIA and provide much needed certainty to the market.”
The National Association of Realtors®, “The Voice for Real Estate,” is America’s largest trade association, representing 1 million members involved in all aspects of the residential and commercial real estate industries.