Federal Reinsurance for Terrorism Risks
Abstract
The September 11 attack on the World Trade Center had three important effects on property and casualty insurance. It imposed severe losses on insurers; it indicated heightened risks from terrorism; and it created substantial uncertainty about those risks. Although the financial losses are unprecedented, most insurers are able to absorb those charges and pay insured claims. And, in a few years, the industry is likely to recover fully. This Congressional Budget Office (CBO) paper analyzes proposals for federal reinsurance of risks from terrorism.
Document Details
- Document Type
- Technical Report
- Publication Date
- Oct 01, 2001
- Accession Number
- ADA400031
Entities
People
- David Torregrosa
- Marvin Phaup
Organizations
- Congressional Budget Office