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View Full Version : Republican Congress completes Democrats' corporate welfare agenda




NACBA
01-07-2015, 07:33 AM
The first week of the new Republican-controlled Congress reminds us of some perennial Washington truths.

For one, “Nothing is so permanent as a temporary government program,” as Milton Friedman wisely said. Also, whenever you hear of “bipartisan consensus” and “broad-based industry support,” you should reach for your wallet.

Republicans promised this week, as one of the first actions of the new Congress, to extend the Terrorism Risk Insurance Act, a taxpayer backstop for insurance companies.

The Sept. 11, 2001, terrorist attacks roiled insurance markets. Insurers began excluding terrorist acts from coverage. In the NFL, the New York Giants and Miami Dolphins said they couldn’t get liability coverage for their stadiums. Amtrak had to go without terrorism insurance.

So Congress in 2002 passed the Terrorism Risk Insurance Act, or TRIA. The law provides a taxpayer backstop to insurance companies that cover terrorism risk. This obviously was good news for insurance companies — who wouldn’t want a federal bailout written into law?

http://www.washingtonexaminer.com/republican-congress-completes-democrats-corporate-welfare-agenda/article/2558283