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IPFS News Link • Economy - Economics USA

Lobbyists: No Money , No Super Bowl

• http://jonathanturley.org, by jonathanturley

Now however, lobbyists are threatening to cancel the Super Bowl unless Congress renews the TRIA—the Terrorism Risk Insurance Act to cover insurers so that they will not have to actually pay out for any costs associated with terrorism. There may be good reasons for the bill coverage but there are also some unanswered questions. Do not expect too many answers however.

TRIA was enacted in 2002 the 9/11 terrorist attacks. The insurance companies secured a promise to cover costs for insurance policies that payments related to terrorism. It was renewed in 2005 and in 2007, but was set to expire on December 31st. With the 9-11 attacks over a decade old, some have argued for a return to market control and an end of the subsidy. However, the lobbyists have an ace in the hole. They have the Super Bowl. It does not matter that a few years ago, FIFA was able to work out a special financial arrangement with insurers to hold the World Cup.

With both the insurance industry and the NFL joined, this could be over before it starts. The NFL has proven the champion at acquiring special deals from both the government and private companies. The "non-for-profit" NFL is aiming at a goal of $25 billion in annual revenues. The NFL has organized with 80 business groups nationwide to form the Coalition to Insure Against Terrorism (CIAT) to urge Congress to fund reauthorization of the TRIA legislation.


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