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TDI Adds In-Force Policies to Terror Act Endorsement

The federal Terrorism Risk Insurance Program, reauthorized by Congress in 2019 to protect insurers against catastrophic losses, will now apply to existing or “in-force” workers’ compensation policies, according to an order from the Texas Department of Insurance.

The TDI order, posted Tuesday, noted that a previous TRIPRA endorsement by the National Council on Compensation Insurance was approved for new and renewal policies effective on or after Jan. 1, 2021. The amendment, Item P-1417(A), adds in-force policies that are in effect on that date.

“Because the endorsement for in-force policyholders states that TRIPRA expires Dec. 31, 2020, the revised endorsement approved in Item P-1417 needs to apply to in-force policyholders to provide information about the renewal of TRIPRA effective Jan. 1, 2021,” the order reads.

TDI published notice of the filing in November and received no comments before the Monday deadline.

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