State Legislators Ask U.S. Reserve Law
By Steven Brostoff, Washington Editor
NU Online News Service, Aug. 26, 11:50 a.m. EST, Washington?The National Conference of Insurance Legislators is asking Congress to consider legislation that would allow insurance companies to establish tax-deferred disaster reserves.
The legislation, H.R. 785, was introduced last year by Rep. Mark Foley, R-Fla., but has not advanced in the House Ways and Means Committee, which has jurisdiction over taxation.
Congress has instead been focusing on the insurance issues arising from the Sept. 11 terrorist attack.
But in a letter to Committee Chairman Bill Thomas, R-Calif., NCOIL said that Congress needs to consider the continued threat posed by catastrophic natural events.
Noting that Hurricane Andrew, which had a severe impact on the insurance industry, occurred 10 years ago, NCOIL said "there is a clear and pressing need for federal legislation that would make essential coverage available and would help pay claims stemming from similar natural disasters."
NCOIL noted that it adopted a resolution supporting the concept of tax-deferred disaster reserves in November of 2001.
Want to continue reading?
Become a Free PropertyCasualty360 Digital Reader
Your access to unlimited PropertyCasualty360 content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Breaking insurance news and analysis, on-site and via our newsletters and custom alerts
- Weekly Insurance Speak podcast featuring exclusive interviews with industry leaders
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical converage of the employee benefits and financial advisory markets on our other ALM sites, BenefitsPRO and ThinkAdvisor
Already have an account? Sign In Now
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
