Senate Majority Leader Bill Frist told reporters on 5 March 2005 he was confident a bill to establish a national trust fund to pay asbestos claims would be “on the floor of the Senate in the not too d…
Senate Majority Leader Bill Frist told reporters on 5 March 2005 he was confident a bill to establish a national trust fund to pay asbestos claims would be “on the floor of the Senate in the not too distant future”, despite criticism by some insurance companies. He said he was not discouraged that some insurance companies had aired their discontent with the draft bill in letters to the senate, noting the battle over the details had been going on for two years. The bill is being drafted by Pennsylvania Republican Senator Arlen Specter. Some insurers that made complaints to the Senate, such as American International Group Inc., are long-standing critics of the plan. Specter wants to take claims out of the court system and pay them from a USD 140 billion trust funded by business and insurers. Shares of US companies facing asbestos lawsuits fell 5 March 2005 on news of the insurers“ complaints. Frist said progress had been made on the asbestos proposal recently but the difficulty lay in winning bipartisan support. Specter has had difficulty in obtaining the support of Republicans who share insurers“ concerns that the plan may not sufficiently limit companies“ asbestos liabilities. Democrats are concerned that the fund may run out of money and that some victims may not be adequately compensated.