A bipartisan group of members of Congress have introduced a measure to extend the federal government's terrorism insurance program through the end of 2019.

The terrorism insurance backstop, which would respond to truly catastrophic terrorist attacks, was reauthorized in 2007 but is slated to expire on Dec. 31, 2014. The TRIA Reauthorization Act, introduced Tuesday afternoon, would extend the program — first created by the Terrorism Risk Insurance Act of 2002 — through Dec. 31, 2019.

“New York City remains the No. 1 terror target in the country, which is why it is imperative to be prepared should we face another tragic attack,” said Rep. Michael Grimm, R-N.Y., one the bill's sponsors, in a statement. “TRIA establishes a critical public-private partnership whereby the federal government creates a backstop for private insurers on terrorism-related losses. If TRIA expires, not only will we expose our nation to great financial risk, we could see the availability of terrorism insurance diminish. It would be irresponsible to allow TRIA to lapse, which is why I introduced the TRIA Reauthorization Act to extend this vital program for another five years.”

The property/casualty insurance industry and risk managers have long supported the backstop.

Leigh Ann Pusey, president and CEO of the Washington-based American Insurance Association, praised the bill's sponsors in a statement.

“Terrorism does not meet the core characteristics of a privately 'insurable peril,'” said Ms. Pusey in a statement. “TRIA provides a much-needed backstop to insurance companies for large certified terrorism events, above a $100 million loss, while requiring insurers to offer terrorism insurance to commercial policyholders. As a result, insurers are able to offer terrorism coverage to commercial policyholders while TRIA provides all-important market stability.

“The program's triggers and recoupment mechanism protect taxpayers and greatly mitigate its costs,” she added. “TRIA and its successor programs have worked at little to no taxpayer expense and continue to make terrorism coverage widely available.”