TRIA Update: Committee Advances Reauthorization
January 27, 2026
On January 22, the House Financial Services Committee voted to advance H.R. 7128, a reauthorization of the Terrorism Risk Insurance Act (TRIA) through 2034.
- Two changes were included in the otherwise clean reauthorization:
- The bill raises the certification threshold from $5 million in losses to $10 million by 2029 (essentially an inflation adjustment) and
- Sets a time limit for Treasury to certify an attack.
- The committee approved the bill in a bipartisan 51-2 vote with two GOP members opposing, Rep. Ralph Norman (R-SC) and Rep. John Rose (R-TN).
- CREFC partnered with industry advocates including real estate policy holders and the insurance companies to educate Congress about TRIA ahead of the effort. We will continue to work toward a long-term reauthorization.
Why it matters: Without action, TRIA is set to expire at the end of 2027. Since its original enactment in 2002, the program has functioned as a federal backstop to the terrorism risk insurance market through a private/public risk sharing program.
What’s next: The full House and the Senate will need to act on the bill before it is sent to the President. The strong bipartisan committee vote makes the path ahead easier.
- The House could vote on the bill through regular order on a standalone basis or use the “suspension calendar” that requires a two-thirds majority to advance. The suspension calendar procedures is reserved for broad, bipartisan efforts.
- Most legislation in the Senate passes as part of a larger “must-pass” package rather than on a standalone basis due to Senate rules that can eat up limited “floor time”. In addition to making the case for reauthorization, CREFC and other advocates will work to find a legislative vehicle to advance the bill.
What they’re saying: The debate was largely supportive of reauthorization and the proposed changes, with both Chairman French Hill (R-AR) and Ranking Member Maxine Waters (D-CA) being supporters. Housing and Insurance Subcommittee Chairman Mike Flood (R-NE) and Homeland Security Committee Chairman Andrew Garbarnio (R-NY) were the lead sponsors of the bill.
- As noted above, Rep. Rose opposed the final bill and emphasized the program originally was intended to be temporary to build market capacity and time to adjust.
- Rose offered an amendment that would:
- Reset the federal government’s share of covered losses above insured deductibles to 75 percent and then reduce it by one percentage point a year until it reaches 70 percent;
- Increase the program trigger by $10 million per year until it reaches $250 million, at which point it would be indexed for inflation using a benchmark selected by the Treasury Secretary.
- The committee rejected the Rose amendment by a 2-49 vote.
- Two Democrats offered messaging amendments that would extend TRIA coverage to losses caused by ICE agents or the invocation of the Insurrection Act. The committee rejected both amendments in a 18-34 vote.
The bottom line: CREFC will continue to educate the House and Senate and work with its industry partners on a long-term reauthorization.
Contact
David McCarthy (
dmccarthy@crefc.org) with questions.