Before 2001, insurers provided terrorism coverage as a part of other policies.

In many major cities, terrorism coverage adds 20 percent to an overall insurance bill, industry experts say.

A Congressional hearing on terrorism coverage is scheduled for this afternoon.

"The cost of terrorism coverage will depend on many factors over time," he said.

In exchange, he said, insurers are required to offer terrorism coverage to all their customers.

Legislation on terrorism coverage has been stalled in the Senate since late last year.

"And that's basically because the state insurance department requires admitted companies to provide terrorism coverage."

Insurers say they can continue to provide terrorism coverage only if Congress limits their potential losses.

In many cases, she said, the terrorism coverage could cost an additional $14,000 a year.

Insurers used to provide terrorism coverage as part of their standard policies.