EXTENSION OF INSURANCE POLICIES.

SEC. 1202. EXTENSION OF INSURANCE POLICIES. Section 44302 of title 49, United States Code, is amended by adding at the end the following: “(f) Extension of Policies .— “(1) In general.—The Secretary shall extend through August 31, 2003, and may extend through December 31, 2003, the termination date of any insurance policy that the Department of Transportation issued to an air carrier under subsection (a) and that is in effect on the date of enactment of this subsection on no less favorable terms to the air carrier than existed on June 19, 2002; except that the Secretary shall amend the insurance policy, subject to such terms and conditions as the Secretary may prescribe, to add coverage for losses or injuries to aircraft hulls, passengers, and crew at the limits carried by air carriers for such losses and injuries as of such date of enactment and at an additional premium comparable to the premium charged for third-party casualty coverage under such policy. “(2) Special rules.—Notwithstanding paragraph (1)— “(A) in no event shall the total premium paid by the air carrier for the policy, as amended, be more than twice 116 STAT. 2287the premium that the air carrier was paying to the Department of Transportation for its third party policy as of June 19, 2002; and “(B) the coverage in such policy shall begin with the first dollar of any covered loss that is incurred.”.