Government funding measure extends TRIA, NFIP and repeals the 'Cadillac tax.'
WASHINGTON, D.C., December 19, 2019— The Independent Insurance Agents & Brokers of America (the Big “I") applauds the U.S. Senate for passing legislation that would reauthorize the Terrorism Risk Insurance Act (TRIA), extend the National Flood Insurance Program (NFIP) and repeal the Affordable Care Act's “Cadillac tax," all as part of government funding legislation.
“The Big 'I' would like to thank the U.S. Senate for closing out the year with great news for independent agents," says Bob Rusbuldt, Big “I" president & CEO. “We are grateful that the passage of government funding legislation included a long-term reauthorization of TRIA, an extension of the NFIP and a repeal of the 'Cadillac tax' – three of our major priorities. We now urge President Trump to quickly sign this package into law. The Big 'I' also wants to thank Sens. Mike Rounds (R-South Dakota) and Martin Heinrich (D-New Mexico) for their tireless efforts that have finally led to Congress' repeal of the “Cadillac tax" after years of delays. Without repeal, this harmful tax would have been crippling to many of our small business members and their clients and would have only worsened over time. The damage to the employee benefits marketplace could have been devastating."
This bipartisan agreement between House and Senate leaders which passed in the House earlier this week would fund the government until September 30, 2020. It would also reauthorize several important programs including TRIA and the NFIP. TRIA was scheduled to expire at the end of 2020 and will be extended for seven additional years in this package. The NFIP was scheduled to expire tomorrow on December 20. This legislation would extend the program through September 30, 2020. Additionally, this package included a repeal of the Affordable Care Act's “Cadillac tax," which would have imposed a 40% tax in 2022 on health benefits that exceed an established annual cost.
“The Big 'I' would like to thank Chairman Mike Crapo (R-Idaho) and Ranking Member Sherrod Brown (D-Ohio) for their hard work throughout the year on the reauthorization of TRIA," says Charles Symington, Big “I" senior vice president of external, industry and government affairs. “TRIA is vitally important to maintaining the stability of the economy and the strength of the commercial property-casualty insurance market. Due to the nature of insurance contracts, we are especially grateful the program was reauthorized for seven years well in advance of its scheduled expiration at the end of next year, bringing additional confidence to the marketplace. The Big 'I' is also thankful that this bill includes funding of the NFIP through next September after a succession of short-term extensions that caused uncertainty for independent agents and consumers. We ask Congress to continue to consider a multi-year reauthorization that would modernize the program as well."
Founded in 1896, the Independent Insurance Agents & Brokers of America (the Big “I") is the nation's oldest and largest national association of independent insurance agents and brokers, representing more than 25,000 agency locations united under the Trusted Choice brand. Trusted Choice independent agents offer consumers all types of insurance—property, casualty, life, health, employee benefit plans and retirement products—from a variety of insurance companies.