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What are the differences between The Terrorism Risk Insurance Act (TRIA) and its extension (TRIEA), and the SAFETY Act?

April 26, 2017ACT differences extension Insurance risk safety terrorism tria

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What are the differences between The Terrorism Risk Insurance Act (TRIA) and its extension (TRIEA), and the SAFETY Act?

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TRIA, now TRIEA, is a federal reinsurance plan that is triggered when insured losses from terrorism exceed a predetermined amount. The program shares losses between the insurance industry and federal government, according to a preset formula, when either a domestic or foreign act of terrorism occurs. The SAFETY Act provides liability protection for developers of anti-terrorism technologies. In addition, the two pieces of legislation have somewhat different definitions of an act of terrorism. For example, TRIEA requires the Secretary of the Treasury to recognize an event as an act of terrorism, while the SAFETY Act places this responsibility on the Secretary of Homeland Security.