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As the third anniversary of the Sept. 11 terrorist attacks approaches, insurers are urging Congress to renew the Terrorism Risk Insurance Act (TRIA), which is now slated to expire at the end of 2005. When TRIA was enacted in 2002, insurance companies were expected to use the three years of government-backed terrorism coverage to come up with a private sector alternative for providing companies’ policies. So far, no industry program has emerged, and the proposed TRIA renewal raises the prospect that the U.S. government may play a long-term or even permanent role in terrorism coverage.

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