ADVISORY COMMITTEE ON RISK-SHARING MECHANISMS.

SEC. 110. [15 U.S.C. 6701 note] ADVISORY COMMITTEE ON RISK-SHARING MECHANISMS. (a) Finding; Rule of Construction.— (1) Finding.—Congress finds that it is desirable to encourage the growth of nongovernmental, private market reinsurance capacity for protection against losses arising from acts of terrorism. (2) Rule of construction.—Nothing in this Act, any amendment made by this Act, or the Terrorism Risk Insurance Act of 2002 (15 U.S.C. 6701 note) shall prohibit insurers from developing risk-sharing mechanisms to voluntarily reinsure terrorism losses between and among themselves. (b) Advisory Committee on Risk-Sharing Mechanisms.— (1) Establishment.—The Secretary of the Treasury shall establish and appoint an advisory committee to be known as the “Advisory Committee on Risk-Sharing Mechanisms” (referred to in this subsection as the “Advisory Committee”). (2) Duties.—The Advisory Committee shall provide advice, recommendations, and encouragement with respect to the creation and development of the nongovernmental risk-sharing mechanisms described under subsection (a). (3) Membership.—The Advisory Committee shall be composed of 9 members who are directors, officers, or other employees of insurers, reinsurers, or capital market participants that are participating or that desire to participate in the nongovernmental risk-sharing mechanisms described under subsection (a), and who are representative of the affected sectors of the insurance industry, including commercial property insurance, commercial casualty insurance, reinsurance, and alternative risk transfer industries.