Industry Trade Groups Promote Progress on Asbestos

April 16, 2004

The National Association of Mutual Insurance Companies (NAMIC), the Property Casualty Insurers Association of America (PCI), and the Reinsurance Association of America (RAA) late Thursday issued a joint statement in response to "The Fairness in Asbestos Injury and Resolution Act of 2004," introduced April 7.

NAMIC, PCI, and RAA commended Majority Leader Bill Frist (R-Tenn.) and Senators Orrin Hatch (R-Utah) and Arlen Specter (R-Pa.) for their efforts in negotiating positive and significant changes to the legislation. The associations are pleased that the legislation honors the agreement made last fall to hold insurer contributions to $46 billion over the 27-year program. It is essential to insurers that the Senate resist any and all attempts to bid up the insurance share as the bill progresses through the legislative process.

The associations are committed to continue to work with Congress to resolve the remaining issues including the leakage in the legislation resulting in a lack of finality, strengthening the accountability of non-U.S. entities and working to reach agreement on an equitable funding allocation for insurers.

NAMIC, PCI and RAA have worked hard with their colleagues in the insurance industry and with interested legislators to develop an acceptable legislative solution to ensure fair and adequate compensation for victims injured by asbestos.