The Government Accountability Office provided testimony in September providing an update on the GAO study of the impact of TRIA and its recommendations. See Terrorism Risk Insurance Act: Considerations for Reauthorization | U.S. GAO
GAO has found in part that the terrorism insurance market has been stable under the Terrorism Risk Insurance Program. Treasury reported in 2024 that the insurance is generally available and affordable.
The Cybersecurity and Infrastructure Security Agency and the Federal Insurance Office have not completed an assessment on whether cybersecurity risks warrant a specific federal insurance response. GAO’s recommendations to both agencies to conduct such an assessment remain open. If Congress were to consider legislation for a federal cyber insurance response, GAO’s framework for providing federal assistance to private market participants could help inform its design, such as taking steps to mitigate moral hazard.
There could be significant disruptions to the insurance market if no federal terrorism risk insurance program existed. The GAO analysis of insurance data and information from Treasury and industry found TRIA’s federal backstop has played a role in stabilizing the terrorism insurance market. In the absence of a loss-sharing program, insurers likely would limit coverage or exit certain markets.
Recommendations are still pending from 2022.
In its June 2022 report, GAO made two recommendations that the Department of Homeland Security and Treasury assess cyber coverage, which remain open. Both agencies agreed with GAO’s recommendations. As of May 2025, the Department of Homeland Security told GAO it planned to continue collaborating with Treasury on a joint cyber insurance assessment. In March 2024, Treasury stated it had completed its initial assessment and determined to further explore the appropriate form of a federal cyber insurance response. As of April 2025, Treasury had not provided GAO with an update on when it would conclude its overall assessment or communicate the results to Congress.
UWC supports the reauthorization of TRIA, and is monitoring further reports from GAO and federal agencies as consideration of reauthorization by Congress begins.
