Notice2023-06422
2023 Terrorism Risk Insurance Program Data Call
Primary source
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Published
March 29, 2023
Issuing agencies
Treasury Department
Abstract
Pursuant to the Terrorism Risk Insurance Act of 2002, as amended (TRIA), insurers that participate in the Terrorism Risk Insurance Program (TRIP or Program) are directed to submit information for the 2023 TRIP Data Call, which covers the reporting period from January 1, 2022 to December 31, 2022. Participating insurers are required to register and report information in a series of forms approved by the Office of Management and Budget (OMB). All insurers writing commercial property and casualty insurance in lines subject to TRIP, subject to certain exceptions identified in this notice, must respond to this data call no later than May 15, 2023.
Full Text
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<title>Federal Register, Volume 88 Issue 60 (Wednesday, March 29, 2023)</title>
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[Federal Register Volume 88, Number 60 (Wednesday, March 29, 2023)]
[Notices]
[Pages 18632-18634]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2023-06422]
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DEPARTMENT OF THE TREASURY
2023 Terrorism Risk Insurance Program Data Call
AGENCY: Departmental Offices, U.S. Department of the Treasury.
ACTION: Data collection.
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SUMMARY: Pursuant to the Terrorism Risk Insurance Act of 2002, as
amended (TRIA), insurers that participate in the Terrorism Risk
Insurance Program (TRIP or Program) are directed to submit information
for the 2023 TRIP Data Call, which covers the reporting period from
January 1, 2022 to December 31, 2022. Participating insurers are
required to register and report information in a series of forms
approved by the Office of Management and Budget (OMB). All insurers
writing commercial property and casualty insurance in lines subject to
TRIP, subject to certain exceptions identified in this notice, must
respond to this data call no later than May 15, 2023.
DATES: Participating insurers must register and submit data no later
than May 15, 2023.
ADDRESSES: Participating insurers will register through a website that
has been established for this data call. After registration, insurers
will receive data collection forms through a secure file transfer
portal, and they will submit the requested data through the same secure
portal. Participating insurers can register for the 2023 TRIP Data Call
at <a href="https://tripsection111data.com">https://tripsection111data.com</a>. Additional information about the
data call, including sample data collection forms and instructions, can
be found on the TRIP website at <a href="https://home.treasury.gov/policy-issues/financial-markets-financial-institutions-and-fiscal-service/federal-insurance-office/terrorism-risk-insurance-program/annual-data-collection">https://home.treasury.gov/policy-issues/financial-markets-financial-institutions-and-fiscal-service/federal-insurance-office/terrorism-risk-insurance-program/annual-data-collection</a>.
FOR FURTHER INFORMATION CONTACT: Richard Ifft, Senior Insurance
Regulatory Policy Analyst, Federal Insurance Office, Room 1410,
Department of the Treasury, 1500 Pennsylvania Avenue NW, Washington, DC
20220, (202) 622-2922; or Sherry Rowlett, Program Analyst, Federal
Insurance Office, Room 1410, Department of the Treasury, 1500
Pennsylvania Avenue NW, Washington, DC 20220, (202) 622-1890. Persons
who have difficulty hearing or speaking may access these numbers via
TTY by calling the toll-free Federal Relay Service at (800) 877-8339.
SUPPLEMENTARY INFORMATION:
I. Background
TRIA \1\ created the Program within the U.S. Department of the
Treasury (Treasury) to address disruptions in the market for terrorism
risk insurance, to help ensure the continued availability and
affordability of commercial property and casualty insurance for
terrorism risk, and to allow for the private market to stabilize and
build insurance capacity to absorb any future losses for terrorism
events. The Program has been reauthorized on a number of occasions, and
was most recently extended until December 31, 2027.\2\ TRIA requires
the Secretary of the Treasury (Secretary) to collect certain insurance
data and information from insurers on an annual basis regarding their
participation in the Program.\3\ TRIA also requires the Secretary to
prepare a biennial study on the competitiveness of small insurers in
the terrorism risk insurance marketplace (Small Insurer Study).\4\ The
next Small Insurer Study must be submitted to Congress by June 30,
2023. The Federal Insurance Office (FIO) is authorized to assist the
Secretary in the administration of the Program,\5\ including conducting
the annual data call and preparing reports and studies required under
TRIA.
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\1\ Public Law 107-297, 116 Stat. 2322, codified at 15 U.S.C.
6701, note. Because the provisions of TRIA (as amended) appear in a
note, instead of particular sections, of the United States Code, the
provisions of TRIA are identified by the sections of the law.
\2\ Terrorism Risk Insurance Program Reauthorization Act of
2019, Public Law 116-94, 133 Stat. 2534.
\3\ TRIA, section 104(h)(1). Treasury regulations also address
the annual data collection requirement. See 31 CFR 50.51, 50.54.
\4\ TRIA, section 108(h).
\5\ 31 U.S.C. 313(c)(1)(D).
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FIO will be using the same data collection forms that were used
during the 2022 TRIP Data Call, subject to a non-substantive change to
the collection of certain cyber insurance data that has been approved
by the Office of Management and Budget (OMB),\6\ as well certain
additional non-substantive changes (such as date changes and
instruction clarifications).\7\
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\6\ The non-substantive change to the collection methodology now
permits the reporting of the number of cyber insurance policies and
associated premium issued to small, medium, and large policyholders
as measured by either the revenue of the policyholder, or the number
of employees of the policyholder. One method or the other must be
selected; a reporting insurer may not use multiple methodologies for
policies within its portfolio. In the 2022 Data Call, the number of
employees was the only basis identified for making the allocation
for reporting purposes. See Office of Information and Regulatory
Affairs, Office of Management & Budget, OMB Control No. 1505-0257,
<a href="https://www.reginfo.gov/public/do/PRAViewICR?ref_nbr=202303-1505-001">https://www.reginfo.gov/public/do/PRAViewICR?ref_nbr=202303-1505-001</a>.
\7\ These non-substantive changes include a new modeled loss
scenario identified in the Reinsurance Worksheet that will be used
in connection with the modeled loss questions (which have not
changed from those posed in prior data collections). The modeled
loss questions must be completed by Non-Small Insurers, Alien
Surplus Lines Insurers, and Captive Insurers. As in prior years,
Small Insurers complete a separate Reinsurance Worksheet that does
not contain modeled loss questions.
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II. Elements of 2023 TRIP Data Call
For purposes of the 2023 TRIP Data Call, FIO, state insurance
regulators, and the National Association of Insurance Commissioners
(NAIC) will again use the consolidated data call mechanism first
developed for use in the 2018 TRIP Data Call. This approach relies on
four joint reporting templates, to be completed by Small Insurers, Non-
Small Insurers, Captive Insurers, and Alien Surplus Lines Insurers,
each as defined below. The use of joint reporting templates is designed
to satisfy the objectives of both Treasury and state insurance
regulators, while also reducing burden on participating insurers. State
insurance regulators or the NAIC will provide separate notification
regarding the reporting of information into the state reporting portal,
including any reporting requirements to state insurance regulators that
are distinct from the Treasury requirements. Insurers subject to the
consolidated data call that are part of a group will report on a group
basis, while those that are not part of a group will report on an
individual company basis.
A. Reporting of Workers' Compensation Information
The TRIP Data Calls request certain information relating to
workers' compensation insurance. For the 2023 TRIP Data Call, Treasury
will again work with the National Council on Compensation Insurance
(NCCI), the California Workers' Compensation Insurance Rating Bureau
(California WCIRB), and the New York Compensation Insurance Rating
Board (NYCIRB) to provide workers' compensation data relating to
premium and payroll information on behalf of participating insurers,
either directly or through other workers' compensation rating bureaus.
The data aggregator used by Treasury will provide such insurers with
reporting templates that do not require them to report this workers'
compensation data. Reporting insurers that write only workers'
compensation policies are still required to register for the 2023 TRIP
Data Call and provide general company information and data
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related to private reinsurance. The data received from NCCI, the
California WCIRB, and the NYCIRB will be merged with the information
provided by the insurers.
B. Reporting Templates
Each category of insurer is required to complete the same
worksheets that they completed in the 2023 TRIP Data Call, subject to
the changes identified above. The same reporting exceptions apply this
year as applied in the 2022 TRIP Data Call, as specified further below
in the discussions for each category of insurer.
Various worksheets used in the 2023 TRIP Data Call seek certain
information relating to workers' compensation insurance. NCCI, the
California WCIRB, and the NYCIRB will complete the workers'
compensation elements of these worksheets on behalf of reporting
insurers. Further information concerning the reporting templates for
each category of insurer, and the individual worksheets contained
within each, can be found in the instructions for the reporting
templates for each category of insurer. The individual reporting
templates and worksheets will also be addressed in the training
webinars discussed below.
For the 2023 TRIP Data Call, an insurer will qualify as a Small
Insurer if it had both 2021 policyholder surplus of less than $1
billion and 2021 direct earned premiums in TRIP-eligible lines of
insurance of less than $1 billion.\8\ Of this group, Small Insurers
with TRIP-eligible direct earned premiums of less than $10 million in
2022 will be exempt from the 2023 TRIP Data Call.\9\ Neither Captive
Insurers nor Alien Surplus Lines Insurers are eligible for this
reporting exemption. Insurers defined as Small Insurers for the 2023
TRIP Data Call will report the same information to Treasury and to
state insurance regulators (in each case on a group basis), except as
state insurance regulators may separately direct for purposes of the
state data call.
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\8\ Small Insurers are defined in 31 CFR 50.4(z) as insurers (or
an affiliated group of insurers) whose policyholder surplus for the
immediately preceding year is less than five times the Program
Trigger for the current year, and whose direct earned premiums in
TRIP-eligible lines for the preceding year are also less than five
times the Program Trigger for the current year. Accordingly, for the
2023 TRIP Data Call (covering the 2022 calendar year), an insurer
qualifies as a Small Insurer if its 2021 policyholder surplus and
2021 direct earned premiums are less than five times the 2022
Program Trigger of $200 million.
\9\ Individual insurers with less than $10 million in direct
earned premiums in TRIP-eligible lines that are part of a larger
group must still report as part of the group as a whole if the
group's direct earned premiums in these lines are over $10 million.
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The Non-Small Insurer template will be completed by insurance
groups (or individual insurers not affiliated with a group) that are
not subject to reporting on the Captive Insurer or Alien Surplus Lines
Insurer reporting templates and had either a 2021 policyholder surplus
equal to or greater than $1 billion or 2021 direct earned premiums in
TRIP-eligible lines of insurance equal to or greater than $1 billion.
Insurers defined as Non-Small Insurers for the 2023 TRIP Data Call will
report the same information to Treasury and to state insurance
regulators (in each case on a group basis), except as state insurance
regulators may separately direct for purposes of the state data call.
Captive Insurers are defined in 31 CFR 50.4(g) as insurers licensed
under the captive insurance laws or regulations of any state. Captive
Insurers that wrote policies in TRIP-eligible lines of insurance during
the reporting period (January 1, 2022 to December 31, 2022) are
required to register and submit data to Treasury, unless they did not
provide their insureds with any terrorism risk insurance subject to the
Program.
Alien Surplus Lines Insurers are defined in 31 CFR 50.4(o)(1)(i)(B)
as insurers not licensed or admitted to engage in the business of
providing primary or excess insurance in any state, but that are
eligible surplus line insurers listed on the NAIC Quarterly Listing of
Alien Insurers. Alien Surplus Lines Insurers that are part of a larger
group classified as a Non-Small Insurer or a Small Insurer should
report to Treasury as part of the group, using the appropriate
template. Therefore, the Alien Surplus Lines Insurer template should be
used only by an Alien Surplus Lines Insurer that is not part of a
larger group subject to the 2023 TRIP Data Call.
C. Supplemental Reference Documents
Treasury will continue to make available on the TRIP data
collection website \10\ documents providing a complete ZIP code listing
for areas subject to reporting on the Geographic Exposures (Nationwide)
Worksheet, as well as several hypothetical policy reporting scenarios.
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\10\ See <a href="https://home.treasury.gov/policy-issues/financial-markets-financial-institutions-and-fiscal-service/federal-insurance-office/terrorism-risk-insurance-program/annual-data-collection">https://home.treasury.gov/policy-issues/financial-markets-financial-institutions-and-fiscal-service/federal-insurance-office/terrorism-risk-insurance-program/annual-data-collection</a>.
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D. Training Webinars
As in prior years, Treasury will hold four separate training
sessions corresponding to the four reporting templates that will be
used by insurers (Small Insurers, Non-Small Insurers, Captive Insurers,
and Alien Surplus Lines Insurers). The webinars will be held on April
19 and April 20, 2023 to assist reporting insurers in responding to the
2023 TRIP Data Call, with each webinar focusing on a specific reporting
template. Specific times and details concerning participation in the
webinars will be made available on the TRIP data collection website,
and recordings of each webinar will be made available on the website
following each training session.
III. 2023 TRIP Data Call
Treasury, through an insurance statistical aggregator, will accept
group or insurer registration forms through <a href="https://tripsection111data.com">https://tripsection111data.com</a>. Registration is mandatory for all insurers
participating in the 2023 TRIP Data Call. Upon registration, the
aggregator will transmit individualized data collection forms (in Excel
format) to the reporting group or insurer via a secure file transfer
portal. The reporting group or insurer may transmit a complete data
submission via the same portal using either the provided Excel forms or
a .csv file.\11\
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\11\ Specifications for submission of data using a .csv file
will be provided to the insurer by the aggregator.
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Copies of the instructions and data collection forms are available
on Treasury's website in read-only format. Reporting insurers will
obtain the fillable reporting forms directly from the data aggregator
only after registering for the data collection process.
Reporting insurers are required to register and submit complete
data to Treasury no later than May 15, 2023. Because of the statutory
reporting deadline for Treasury's 2023 Small Insurer Study to Congress,
no extensions will be granted. Reporting insurers can ask the data
aggregator questions about registration, form completion, and
submission at <a href="/cdn-cgi/l/email-protection#4531372c35362026312c2a2b74747421243124052c362a6b262a28"><span class="__cf_email__" data-cfemail="1460667d64677177607d7b7a25252570756075547d677b3a777b79">[email protected]</span></a>. Reporting insurers may also
submit questions to the Treasury contacts listed above. Questions
regarding submission of data to state insurance regulators should be
directed to the appropriate state insurance regulator or the NAIC.
All data submitted to the aggregator is subject to the
confidentiality and data protection provisions of TRIA and the Program
Rules, as well as to section 552 of title 5, United States Code,
including any exceptions thereunder. In accordance with the Paperwork
Reduction Act (44 U.S.C. 3501-3521), the information collected through
the web portal has been approved by OMB
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under Control Number 1505-0257. An agency may not conduct or sponsor,
and a person is not required to respond to, a collection of information
unless it displays a valid OMB control number.
Steven E. Seitz,
Director, Federal Insurance Office.
[FR Doc. 2023-06422 Filed 3-28-23; 8:45 am]
BILLING CODE 4810-AK-P
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