ARDA Inside Look - Issue 21
Issue 21 | November 16, 2021
The Timeshare Industry Today
President/CEO Jason Gamel
"Is it Thanksgiving already?" Yes, the holidays are right around the corner. Like last year, besides the change of seasons (and for you Floridians or those living in Southern California or Arizona, this is the season of "less oppressive heat") for many, time seems to be standing somewhat still. For others, it's full steam ahead at warp speed.
For ARDA, we enter this time of year grateful for our members and their support. The ARDA Fall Conference, held earlier this month in Washington, D.C., would not have been the success it was without you. Membership renewals are coming in at a record rate, showing the commitment of our long-time supports. We also see the return of several members who had to take a year off due to economic pressures in 2020. All of these trends point to a great year ahead of us for 2022.
While we will undoubtedly take time over the next month and a half to be with friends and family, rest assured, the ARDA Team is locked in on closing out the year strong. We look forward to sharing plenty of exciting news as we continue to focus on our key strategic priorities and serve the industry we care so much about.
ENJOY THE FALL DEVELOPMENT ISSUE
Click Below to Play Our LoveMyTimeshare Video
#Love My Timeshare
Over 200 ARDA members gathered last week in the nation’s capital to attend the ARDA Fall Conference at the Conrad, Washington, DC. It was an engaging and productive meeting featuring committee meetings, educational programming and plenty of networking. The group heard from a dynamic line up of speakers including Congressman Jimmy Panetta (D-Carmel Valley), Jon Last, the lead researcher on the Back to Normal Barometer and Seth Goldenberg, lead for ARDA’s Innovation Council and Founder of Epic Decade. The ARDA meetings team is excited to welcome our members to all of our events in 2021-2022.
Federal and State Legislation
ARDA is a stakeholder in the Business Continuity Coalition (BCC) consisting of policyholders representing more than 70 million workers across the U.S. Our recent work together is in support of the Pandemic Risk Insurance Act of 2021 (PRIA) legislation that will help the country prepare and respond to any future government-imposed shutdowns of the economy caused by pandemics.
The insurance market disruption for every industry that has resulted from the current pandemic requires a public-private partnership to ensure that our economy is properly protected against pandemic risk going forward. PRIA would create a federal backstop that ensures the availability of pandemic risk coverage in all critical commercial lines of insurance.
PRIA Legislation Summary
The legislation is modeled on a similar public-private backstop that has had widespread, bipartisan support since its enactment - the Terrorism Risk Insurance Act (“TRIA”) - adopted following the 9/11 terrorist attacks.
• Like TRIA, the bill would require insurers to offer coverage in return for a government indemnification of 95% of insured losses arising from any future pandemic that results in a public health emergency.
• Unlike TRIA, there is no “insurer deductible” nor would there be any post-event recoupment, although the program would begin to pay for itself after an initial “economic recovery period.”
• Establishes a parametric program for non-damage business interruption (“NDBI”) losses, with a pooling alternative for insurers that do not wish to directly underwrite primary NDBI coverage.
• Addresses the unavailability of coverage in other crucial lines of insurance such as event cancellation, film and TV production insurance, and liability coverage for essential services.
Why the Legislation is Important
A RIMS survey found that pandemic risk is now excluded or restricted on most lines of commercial property-casualty insurance, and where coverage is available, it is often cost-prohibitive without government support.
The bill would ensure availability of pandemic coverage while fostering the development of private reinsurance and capital market alternatives to reduce taxpayer exposure going forward.
Should you have any questions, please feel free to reach out to Sam DePoy at email@example.com.