Page:United States Statutes at Large Volume 116 Part 3.djvu/736

 116 STAT. 2328 PUBLIC LAW 107-297—NOV. 26, 2002 Deadline. Regulations. (A) shall make available, in all of its property and casualty insurance policies, coverage for insured losses; and (B) shall make available property and casualty insurance coverage for insured losses that does not differ materially from the terms, amounts, and other coverage limitations applicable to losses arising from events other than acts of terrorism. (2) PROGRAM YEAR 3.— Not later than September 1, 2004, the Secretary shall, based on the factors referred to in section 108(d)(1), determine whether the provisions of subparagraphs (A) and (B) of paragraph (1) should be extended tlu-ough Program Year 3. (d) STATE RESIDUAL MARKET INSURANCE ENTITIES. — (1) IN GENERAL.— The Secretary shall issue regulations, as soon as practicable after the date of enactment of this Act, that apply the provisions of this title to State residual market insurance entities and State workers' compensation funds. (2) TREATMENT OF CERTAIN ENTITIES.— For purposes of the regulations issued pursuant to paragraph (1)— (A) a State residual market insurance entity that does not share its profits and losses with private sector insurers shall be treated as a separate insurer; and (B) a State residual market insurance entity that shares its profits and losses with private sector insurers shall not be treated as a separate insurer, and shall report to each private sector insurance participant its share of the insured losses of the entity, which shall be included in each private sector insurer's insured losses. (3) TREATMENT OF PARTICIPATION IN CERTAIN ENTITIES. — Any insurer that participates in sharing profits and losses of a State residual market insurance entity shall include in its calculations of premiums any premiums distributed to the insurer by the State residual market insurance entity. (e) INSURED LOSS SHARED COMPENSATION.— (1) FEDERAL SHARE. — (A) IN GENERAL.— The Federal share of compensation under the Program to be paid by the Secretary for insured losses of an insurer during the Transition Period and each Program Year shall be equal to 90 percent of that portion of the amount of such insured losses that exceeds the applicable insurer deductible required to be paid during such Transition Period or such Program Year. (B) PROHIBITION ON DUPLICATIVE COMPENSATION. —The Federal share of compensation for insured losses under the Program shall be reduced by the amount of compensation provided by the Federal Government to any person under any other Federal program for those insured losses. (2) CAP ON ANNUAL LIABILITY. — (A) IN GENERAL. —Notwithstanding paragraph (1) or any other provision of Federal or State law, if the aggregate insured losses exceed $100,000,000,000, during the period beginning on the first day of the Transition Period and ending on the last day of Program Year 1, or during Program Year 2 or Program Year 3 (until such time as the Congress may act otherwise with respect to such losses)—

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