A leading US government official has called for federal legislation to pay for the costs of a major terrorist attack.
Speaking at a New York real estate conference, New York City controller William Thompson said new legislation would be "an important first step" in reducing insurance prices in the city.
He said the legislation could encourage insurance companies to provide more terrorism coverage, which would ease pressure on prices.
He suggested that commercial insurance was expensive because terrorism coverage, which was free before the 11 September attacks, has become expensive. Thompson said that the cost of commercial insurance in the US has risen by more than 73%.
However, industry leaders said terrorism coverage and commercial coverage were separate issues and that a federal terrorism insurance program would reduce prices.
