WASHINGTON — The U.S. House of Representatives has overwhelmingly approved legislation to extend the nation’s federal terrorism insurance backstop through 2034, advancing a bipartisan measure aimed at maintaining stability in the commercial insurance market.
Lawmakers passed H.R. 7128, the TRIA Program Reauthorization Act of 2026, by a vote of 373-15. The legislation, sponsored by Rep. Mike Flood, R-Neb., would extend the Terrorism Risk Insurance Program for seven additional years beyond its current expiration in 2027.
🏢 A Federal Backstop After 9/11
Congress created TRIA following the September 11, 2001, terrorist attacks after terrorism coverage became more difficult and expensive to obtain. The program established a public-private framework under which private insurers provide coverage while the federal government serves as a backstop for exceptionally large losses from a certified act of terrorism.
Supporters say the program is designed to give businesses and insurers greater certainty when covering properties and projects that could face catastrophic losses.
House Financial Services Committee Chairman French Hill, R-Ark., argued that maintaining the program helps ensure businesses can continue obtaining terrorism coverage and provides greater confidence for major investments, including commercial buildings and public venues.
🔎 Proposed Changes to the Program
The legislation would not simply extend TRIA. It would also modify parts of the program, including the threshold for an incident to qualify for federal terrorism insurance protections.
Under the proposal, the minimum insured-loss threshold would increase from $5 million to $10 million beginning in 2029. The bill would also establish additional transparency requirements surrounding the Treasury Department’s process for certifying an event as an act of terrorism.
Flood has pointed to the program’s record as a reason to update its structure while keeping the federal backstop available. According to the House Financial Services Committee, TRIA has never had a claim paid since its creation.
🏦 What Comes Next
The program plays an important role in the commercial property and casualty insurance market. Congressional researchers note that terrorism coverage remains widely connected to the federal program, particularly for large commercial properties and other high-value projects.
With the House vote complete, H.R. 7128 now moves to the Senate for consideration. The current authorization is scheduled to expire at the end of 2027, giving lawmakers additional time to consider the legislation.
The Senate’s response will determine whether the proposed seven-year extension and program changes become law, potentially shaping the federal government’s role in terrorism insurance through the end of 2034.
