Fitch - Terror Bill May Signal Increased Risk

Fitch Ratings commented Friday that while the passage of a much anticipated terrorism insurance bill is overall a favorable development for the U.S. economy, and benefits the insurance industry, the passage of the bill will likely have a greater impact on industries other than property/casualty insurance, such as real estate and construction. Further, the timing of the passage of the bill may be indicative of a period of increased risk for the insurance market. The bill, known as The Terrorism Risk Insurance Act of 2002, awaits the President's signature for enactment after receiving Senate a...