ADVOCACY to keep their agencies operating , meet payroll , and better serve consumers and their communities . Passthrough entities have factored this deduction into their operations and its expiration would result in a tax increase for many small businesses . Such an increase would create an unlevel playing field and put passthroughs at a disadvantage to businesses filing taxes at the lower corporate rate that was made permanent in the 2017 Act . Approximately 40 % of members of U . S . House representatives and 33 % of Senate members are already cosponsoring this legislation .
2 ) ADDRESS THE INSURANCE MARKET CRISIS ...
... by cracking down on lawsuit abuse and encouraging risk mitigation .
The property & casualty insurance market is cyclical and fluctuates between hard and soft markets . However , insurance is currently amid an unprecedented property insurance crisis .
Appropriate and suitable P & C insurance is simply unaffordable for millions of Americans , and it is altogether unavailable for a growing universe of families , businesses and individuals . These crisis conditions are not limited to areas traditionally associated with natural disasters . They are now ubiquitous and found in every corner of the country , producing troubling repercussions and ripple effects throughout our economy .
The pressure is particularly challenging for independent agents as they attempt to secure coverage for their clients and explain significant rate fluctuations while keeping their own businesses operational . Congress can do several things to help alleviate pressure on the insurance market , including taking action to reduce lawsuit abuse and promote risk mitigation .
Abuse of the legal system is a significant problem and adds considerable costs to the insurance industry that are then passed along in the prices that consumers pay . An especially troubling trend is the unchecked way foreign entities and governments are financing and subsidizing litigation in American courts . To address the problems posed by foreign interference ,
“
appropriate and suitable p & c insurance is simply unaffordable for millions of Americans , and it is altogether unavailable for a growing universe ...”
the Big “ I " supports the “ Protecting Our Courts from Foreign Manipulation Act ."
This bill would require disclosure from any foreign person or entity participating in civil litigation as a third-party litigation funder in U . S . federal courts and would prohibit sovereign wealth funds and foreign governments from participating in litigation financing .
Also , catastrophic natural disasters are increasing in frequency and severity at an alarming rate and efforts to mitigate risks and reduce exposure to these events are not keeping pace . Risk mitigation makes homes more resilient , protects families from natural disasters and reduces the post-event costs that would otherwise be borne by taxpayers .
According to the Federal Emergency Management Agency ( FEMA ), every dollar spent on preventative mitigation measures saves approximately $ 6 in future losses . State governments are increasingly establishing mitigation grant programs that enable homeowners to prepare in advance for earthquakes , windstorms and wildfires but these grants are currently subject to federal taxation . The Big “ I "
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