,,ii ,cal5d> ,no4 #dch #aac? ,,congress 
#b;d ,session  ,s4 #bbdd  ,,9 ,,!       
,,s5ate ,,( ,,! ,,unit$ ,,/ates  ,april 
#aj1 #bjad,mr4 ,s*um] 7= himself1 ,mr4  
,kirk1 ,mr4 ,re$1 ,mr4 ,hell]1 ,mr4     
,murphy1 ,mr4 ,johanns1 ,mr4 ,w>n]1 ,mr4
 ,blunt1 ,mr4 ,m55dez1 ,mr4 ,crapo1 ,mr4
 ,johnson ( ,s\? ,dakota1 ,mrs4         
,gillibr&1 ,mr4 ,isakson1 ,mr4 ,te/]1   
,mr4 ,m]kley1 ,mr4 ,blum5?al1 ,mr4      
,book]1 ,ms4 ,mikulski1 ,mr4 ,donnelly1 
,mr4 ,*ambliss1 ,mr4 ,m>key1 ,ms4       
,klobu*>1 ,mr4 ,c>d91 ,mr4 ,durb91 &    
,mr4 ,frank57 introduc$ ! foll[+ bill2  
:i* 0 read twice & ref]r$ to !          
,committee on ,bank+1 ,h\s+1 & ,urban   
,affairs  ,june #bc1 #bjad,report$ by   
,mr4 ,johnson ( ,s\? ,dakota1 )         
amendments,omit ! "p /ruck ?r\gh & ins]t
 ! "p pr9t$ 9 italic  ,a ,,bill  ,to    
ext5d ! t]m9ation date ( ! ,t]rorism    
,insurance ,program e/abli%$ "u !       
,t]rorism ,risk ,insurance ,act ( #bjjb1
 & = o!r purposes4  #a4 ,%ort ,title    
,?is ,act may be cit$ z ! ,t]rorism     

,risk ,insurance ,program               
,reau?orization ,act ( #bjad4  #b4      
,ext5sion ( ,t]rorism ,insurance        
,program ,section #ajh7;a7 ( ! ,t]rorism
 ,risk ,insurance ,act ( #bjjb 7#ae     
,u4,s4,c4 #fgja note7 is am5d$ by /rik+ 
,decemb] #ca1 #bjad & ins]t+ ,decemb]   
#ca1 #bjba4  #c4 ,f$]al %>e ,section    
#ajc7;e77#a77;,a7 ( ! ,t]rorism ,risk   
,insurance ,act ( #bjjb 7#ae ,u4,s4,c4  
#fgja note7 is am5d$ by ins]t+ & beg9n+ 
9 ! cal5d> ye> t foll[s ! date (        
enactm5t ( ! ,t]rorism ,risk ,insurance 
,program ,reau?orization ,act ( #bjadon 
,janu>y #a1 #bjaf1 %all decrease by #a  
p]c5t#a p]c5tage po9t p] cal5d> ye>     
until equal to #hj p]c5t aft] #he p]c5t4
  #d4 ,rec\pm5t ( ,f$]al %>e (          
comp5sation "u ! program ,section       
#ajc7;e7 ( ! ,t]rorism ,risk ,insurance 
,act ( #bjjb 7#ae ,u4,s4,c4 #fgja note7 
is am5d$-- 7#a7 9 p>agraph 7#f71 9 !    
matt] prec$+ subp>agraph 7,a71 by /rik+ 
%all be & all t foll[s ?r\gh subp>agraph
 7,e7 & ins]t+ %all be #bg1ejj1jjj1jjj &

 beg9n+ 9 ! cal5d> ye> t foll[s ! date (
 enactm5t ( ! ,t]rorism ,risk ,insurance
 ,program ,reau?orization ,act ( #bjad  
%all increase by #b1jjj1jjj1jjj p]      
cal5d> ye> until equal to               
#cg1ejj1jjj1jjj42 & 8%all be ! less] (--
  7,a7 #bg1ejj1jjj1jjj1 z su* am\nt is  
adju/$ pursuant to ?is p>agraph2 &  7,b7
 ! aggregate am\nt1 = all insur]s1 (    
insur$ losses dur+ su* cal5d> ye>1      
provid$ t beg9n+ 9 ! cal5d> ye> t foll[s
 ! date ( enactm5t ( ! ,t]rorism ,risk  
,insurance ,program ,reau?orization ,act
 ( #bjad1 ! am\nt set =? "u subp>agraph 
7,a7 %all increase by #b1jjj1jjj1jjj p] 
cal5d> ye> until equal to               
#cg1ejj1jjj1jjj4 2  7#b7 9 p>agraph     
7#g7-- 7,a7 9 subp>agraph 7,a7-- 7i7 9 !
 matt] prec$+ clause 7i71 by /rik+ = ea*
 ( ! p]iods ref]r$ to 9 subp>agraphs    
7,a7 ?r\gh 7,e7 ( p>agraph #f7f72 &     
7ii7 9 clause 7i71 by /rik+ = su* p]iod2
  7,b7 9 subp>agraph 7,b7-- 7i7 by /rik+
 = any p]iod ref]r$ to 9 any (          
subp>agraphs 7,a7 ?r\gh 7,e7 ( p>agraph 

7#f72 &  7ii7 by /rik+ = su* p]iod2     
7,b7 by /rik+ subp>agraph 7,b7 & ins]t+ 
! foll[+3  7,b7 ,res]v$4  2  7,c7 9     
subp>agraph 7,c71 by /rik+ occurr+ dur+ 
any ( ! p]iods ref]r$ to 9 any (        
subp>agraphs 7,a7 ?r\gh 7,e7 ( p>agraph 
7#f72 &  7,c7 9 subp>agraph 7,c7-- 7i7  
by /rik+ occurr+ dur+ any ( ! p]iods    
ref]r$ to 9 any ( subp>agraphs 7,a7     
?r\gh 7,e7 ( p>agraph 7#f71 t]rorism    
loss risk-spread+ premiums 9 an am\nt   
equal to #acc p]c5t & ins]t+ 1 t]rorism 
loss risk-spread+ premiums 9 an am\nt   
equal to #ace4e p]c5t2 &  7ii7 by ins]t+
 z calculat$ "u subp>agraph 7,a7 aft]   
m&atory rec\pm5t am\nt2 &  7,d7 9       
subp>agraph 7,e77i7-- 7i7 9 subclause   
7,i7-- 7,i7 by /rik+ #bjaj & ins]t+     
#bjag2 &  7,,ii7 by /rik+ #bjab & ins]t+
 #bjai2  7ii7 9 subclause 7,,ii7-- 7,i7 
by /rik+ #bjaa & ins]t+ #bjah2  7,,ii7  
by /rik+ #bjab & ins]t+ #bjai2 &        
7,,iii7 by /rik+ #bjag & ins]t+ #bjbd2 &
  7iii7 9 subclause 7,,iii7-- 7,i7 by   
/rik+ #bjab & ins]t+ #bjai2 &  7,,ii7 by

 /rik+ #bjag & ins]t+ #bjbd4  #e4       
,te*nical am5dm5ts ,! ,t]rorism ,risk   
,insurance ,act ( #bjjb 7#ae ,u4,s4,c4  
#fgja note7 is am5d$-- 7#a7 9 section   
#ajb-- 7,a7 9 p>agraph 7#c7-- 7i7 by    
r$esignat+ subp>agraphs 7,a71 7,b71 &   
7,c7 z clauses 7i71 7ii71 & 7iii71      
respectively2  7ii7 9 ! matt] prec$+    
clause 7i7 7z s r$esignat$71 by /rik+   
,an entity has & ins]t+ ! foll[+3  7,a7 
,9 g5]al ,an entity has  2 &  7iii7 by  
add+ at ! end ! foll[+ new subp>agraph3 
7,b7 ,rule ( con/ruction ,an entity1    
includ+ any affiliate !re(1 does n h    
control ov] ano!r entity1 if1 z ( ! date
 ( enactm5t ( ! ,t]rorism ,risk         
,insurance ,program ,reau?orization ,act
 ( #bjad1 ! entity is act+ z an         
attorney-9-fact1 z def9$ by ! ,secret>y1
 = ! o!r entity & su* o!r entity is a   
reciprocal insur]1 provid$ t ! entity is
 n1 = reasons o!r ?an ! attorney-9-fact 
relation%ip1 def9$ z hav+ control "u    
subp>agraph 7,a74  2  7,,ab7 9 p>agraph 
7#g7-- 7i7 by /rik+ subp>agraphs 7,a7   

?r\gh 7,f7 & ins]t+ ! foll[+3  7,a7 !   
value ( an insur]'s direct e>n$ premiums
 dur+ ! imm$iately prec$+ cal5d> ye>1   
multipli$ by #bj p]c5t2 &  2  7ii7 by   
r$esignat+ subp>agraph 7,g7 z           
subp>agraph 7,b72 &  7iii7 9 subp>agraph
 7,b71 z s r$esignat$ by clause 7ii7--  
7,i7 by /rik+ not)/&+ subp>agraphs 7,a7 
?r\gh 7,f71 = ! ,transition ,p]iod or   
any ,program ,ye> & ins]t+ not)/&+      
subp>agraph 7,a71 = any cal5d> ye>2 &   
7,,ii7 by /rik+ ,p]iod or ,program ,ye> 
& ins]t+ cal5d> ye>2  7,,bc7 by /rik+   
p>agraph 7#aa72 &  7,,cd7 by r$esignat+ 
p>agraphs 7#ab7 ?r\gh 7#af7 z p>agraphs 
7#aa7 ?r\gh 7#ae71 respectively2 &  7#b7
 9 section #ajc-- 7,a7 9 subsection 7c71
 by /rik+ ,program ,ye> & ins]t+ cal5d> 
ye>2  7,b7 9 subsection 7e7-- 7i7 9     
p>agraph 7#a7-- 7,i7 9 subp>agraph 7,a71
 z previ\sly am5d$ by section #c-- 7aa7 
by /rik+ ! ,transition ,p]iod & ea*     
,program ,ye> ?r\gh ,program ,ye> #d    
%all be equal to #ij p]c5t1 & dur+      
,program ,ye> #e & ea* ,program ,ye>    

!reaft] & ins]t+ ea* cal5d> ye>2  7bb7  
by /rik+ ! comma aft] #hj p]c5t2 &  7cc7
 by /rik+ su* ,transition ,p]iod or su* 
,program ,ye> & ins]t+ su* cal5d> ye>2 &
  7,,ii7 9 subp>agraph 7,b71 by /rik+   
exce$ & all t foll[s ?r\gh clause 7ii7 &
 ins]t+ exce$ #ajj1jjj1jjj ) respect to 
su* insur$ losses occurr+ 9 ! cal5d>    
ye>42  7ii7 9 p>agraph 7#b77;,a71 by    
/rik+ ! p]iod beg9n+ on ! fir/ day ( !  
,transition ,p]iod & end+ on ! la/ day (
 ,program ,ye> #a1 or dur+ any ,program 
,ye> !reaft] & ins]t+ a cal5d> ye>2 &   
7iii7 9 p>agraph 7#c71 by /rik+ ! p]iod 
beg9n+ on ! fir/ day ( ! ,transition    
,p]iod & end+ on ! la/ day ( ,program   
,ye> #a1 or dur+ any o!r ,program ,ye> &
 ins]t+ any cal5d> ye>2 &  7,c7 9       
subsection 7g77#b7-- 7i7 by /rik+ !     
,transition ,p]iod or a ,program ,ye>   
ea* place t t]m appe>s & ins]t+ ! cal5d>
 ye>2  7ii7 by /rik+ su* p]iod & ins]t+ 
! cal5d> ye>2 &  7iii7 by /rik+ t p]iod 
& ins]t+ ! cal5d> ye>4  #f4 ,improv+ !  
c]tification process  7a7 ,def9itions ,z

 us$ 9 ?is section-- 7#a7 ! t]m act (   
t]rorism has ! same mean+ z 9 section   
#ajb7a7 ( ! ,t]rorism ,risk ,insurance  
,act ( #bjjb 7#ae ,u4,s4,c4 #fgja note72
  7#b7 ! t]m c]tification process means 
! process by :i* ! ,secret>y det]m9es   
:e!r to c]tify an act z an act (        
t]rorism "u section #ajb7a7 ( !         
,t]rorism ,risk ,insurance ,act ( #bjjb 
7#ae ,u4,s4,c4 #fgja note72 &  7#c7 !   
t]m ,secret>y means ! ,secret>y ( !     
,treasury4  7b7 ,/udy ,n lat] ?an #i    
mon?s aft] ! date ( enactm5t ( ?is ,act1
 ! ,secret>y %all conduct & complete a  
/udy on ! c]tification process4  7c7    
,requir$ cont5t ,! /udy requir$ "u      
subsection 7a7 %all include an          
exam9ation & analysis (-- 7#a7 !        
e/abli%m5t ( a reasonable timel9e by :i*
 ! ,secret>y mu/ make an accurate       
det]m9ation on :e!r to c]tify an act z  
an act ( t]rorism2  7#b7 ! impact t !   
l5g? ( any timel9e propos$ to be        
e/abli%$ "u p>agraph 7#a7 may h on !    
insurance indu/ry1 policyhold]s1        

consum]s1 & taxpay]s z a :ole2  7#c7 !  
factors ! ,secret>y w\ld evaluate &     
monitor dur+ ! c]tification process1    
includ+ ! ability ( ! ,secret>y to obta9
 ! requir$ in=mation reg>d+ ! am\nt (   
project$ & incurr$ losses result+ f an  
act :i* ! ,secret>y w\ld ne$ 9 det]m9+  
:e!r to c]tify ! act z an act (         
t]rorism2  7#d7 ! appropriat5ess1       
effici5cy1 & effectiv5ess ( !           
consultation process requir$ "u section 
#ajb7a77;,a7 ( ! ,t]rorism ,risk        
,insurance ,act ( #bjjb 7#ae ,u4,s4,c4  
#fgja note7 & any recomm5dations on     
*anges to ! consultation process2 &     
7#e7 ! ability ( ! ,secret>y to provide 
guidance & updates to ! public reg>d+   
any act t may reasonably be c]tifi$ z an
 act ( t]rorism4  7d7 ,report ,^u       
completion ( ! /udy requir$ "u          
subsection 7a71 ! ,secret>y %all submit 
a report on ! results ( su* /udy to !   
,committee on ,bank+1 ,h\s+1 & ,urban   
,affairs ( ! ,s5ate & ! ,committee on   
,f9ancial ,s]vices ( ! ,h\se (          

,repres5tatives4  7e7 ,rulemak+ ,section
 #ajb7a7 ( ! ,t]rorism ,risk ,insurance 
,act ( #bjjb 7#ae ,u4,s4,c4 #fgja note7 
is am5d$-- 7#a7 by r$esignat+           
subp>agraph 7,d7 z subp>agraph 7,e72 &  
7#b7 by ins]t+ aft] subp>agraph 7,c7 !  
foll[+3  7,d7 ,tim+ ( c]tification ,n   
lat] ?an #i mon?s aft] ! report requir$ 
"u section #f ( ! ,t]rorism ,risk       
,insurance ,program ,reau?orization ,act
 ( #bjad is submitt$ to ! appropriate   
committees ( ,congress1 ! ,secret>y %all
 issue f9al rules gov]n+ ! c]tification 
process1 includ+ any timel9e applicable 
to any c]tification by ! ,secret>y on   
:e!r an act is an act ( t]rorism "u ?is 
p>agraph4  4  #g4 ,,gao /udy on upfront 
premiums  7a7 ,/udy ,n lat] ?an #b ye>s 
aft] ! date ( enactm5t ( ?is ,act1 !    
,comptroll] ,g5]al ( ! ,unit$ ,/ates    
%all complete a /udy on ! viability &   
effects ( ! ,f$]al ,gov]nm5t assess+ &  
collect+ upfront premiums on insur]s t  
p>ticipate 9 ! ,t]rorism ,insurance     
,program e/abli%$ "u ! ,t]rorism ,risk  

,insurance ,act ( #bjjb 7#ae ,u4,s4,c4  
#fgja note7 7h]eaft] 9 ?is section      
ref]r$ to z ! ,program74  7b7 ,requir$  
cont5t ,! /udy requir$ "u subsection 7a7
 %all exam9e1 b %all n be limit$ to1 !  
foll[+ issues3 7#a7 ,h[ ! ,f$]al        
,gov]nm5t c\ld det]m9e ! price ( su*    
upfront premiums on insur]s t p>ticipate
 9 ! ,program4  7#b7 ,h[ ! ,f$]al       
,gov]nm5t c\ld collect & manage su*     
upfront premiums4  7#c7 ,h[ ! ,f$]al    
,gov]nm5t c\ld ensure t su* upfront     
premiums are n sp5t = purposes o!r ?an  
claims ?r\gh ! ,program4  7#d7 ,h[ !    
assessm5t & collection ( su* upfront    
premiums c\ld affect take-up rates =    
t]rorism risk cov]age 9 diff]5t regions 
& indu/ries & h[ x c\ld impact small    
bus9esses & consum]s 9 bo? metropolitan 
& non-metropolitan areas4  7#e7 ,!      
effect ( collect+ su* upfront premiums  
on insur]s bo? l>ge & small4  7#f7 ,!   
effect ( collect+ su* upfront premiums  
on ! private m>ket = t]rorism risk      
re9surance4  7#g7 ,! size ( any ,f$]al  

,gov]nm5t subsidy insur]s may receive   
?r\gh _! p>ticipation 9 ! ,program1 tak+
 into acc\nt ! ,program's curr5t        
po/-ev5t rec\pm5t /ructure4  7c7 ,report
 ,^u completion ( ! /udy requir$ "u     
subsection 7a71 ! ,comptroll] ,g5]al    
%all submit a report on ! results ( su* 
/udy to ! ,committee on ,bank+1 ,h\s+1 &
 ,urban ,affairs ( ! ,s5ate & !         
,committee on ,f9ancial ,s]vices ( !    
,h\se ( ,repres5tatives4  7d7 ,public   
availability ,! /udy & report requir$ "u
 ?is section %all be made available to !
 public 9 electronic =m & %all be       
publi%$ on ! website ( ! ,gov]nm5t      
,acc\ntability ,(fice4  ,june #bc1      
#bjad,report$ ) am5dm5ts