50.72—Establishment of Federal Terrorism Policy Surcharge.
(a)
Treasury will establish the Federal
Terrorism Policy Surcharge based on the following
factors and considerations:
(1)
In the case of a mandatory recoupment
amount, the requirement to collect 133 percent of
that amount;
(2)
The total dollar amount to be recouped as a
percentage of the latest available annual
aggregate industry direct written premium
information;
(3)
The adjustment factors for terrorism loss
risk-spreading premiums described in section
103(e)(8)(D) of the Act;
(4)
The annual 3 percent limitation on
terrorism loss risk-spreading premiums collected
on a discretionary basis as provided in section
103(e)(8)(C) of the Act;
(5)
A preferred minimum initial assessment
period of one full year and subsequent extension
periods in full year increments;
(7)
The likelihood that the amount of the
Federal Terrorism Policy Surcharge may result in
the collection of an aggregate recoupment amount
in excess of the planned recoupment amount;
and
(b)
The Federal Terrorism Policy Surcharge
shall be the obligation of the
policyholder and is payable to the insurer with
the premium for a property and casualty insurance
policy in effect during the assessment period
established by Treasury. See §
50.74(c).