The Senate was expected to begin formal deliberations on S. 2600 as this edition went to press. However, at presstime there was still no agreement on the number of amendments that could be offered, with the amendments likely to address tort reform issues.

Industry representatives said the Senate probably would not complete work on S. 2600 until this week at the earliest. (For details on the bill and updates on the debate, check the NU Online News Service at NationalUnderwriter.com.)

Meanwhile, Bush Administration officials pressed Republican leaders to support terrorism insurance legislation, but stopped short of endorsing S. 2600 (which would set up a quota-share reinsurance system) due to tort reform concerns–the primary reason that Senate action has been delayed up to now.

“We would recommend that the President not sign any legislation that leaves the American economy and victims of terrorist acts subject to predatory lawsuits and punitive damages,” administration officials said in a letter to Senate Minority Leader Trent Lott, R-Miss.

Reproduced from National Underwriter Property & Casualty/Risk & Benefits Management Edition, June 17, 2002. Copyright 2002 by The National Underwriter Company in the serial publication. All rights reserved.Copyright in this article as an independent work may be held by the author.