Price-Anderson Act


Energy - Nuclear

Subsidy Type


Committees of Jurisdiction

Senate Energy and Natural Resources Committee

N/A FY 16 Budget Score (in mil.)
N/A FY 16-25 Budget Score (in mil.)

Price-Anderson provides for the process of resolving liability claims in response to an accident at a commercial nuclear power plant. The act creates two tiers of liability coverage. The first tier requires commercial nuclear power plant owners to obtain enough private insurance to cover liability claims up to $375 million. If claims exceed the tier one amount, then each commercial nuclear reactor in the country must pay a prorated share of the remaining cost of the claims, up to $13.2 billion, a value periodically adjusted for inflation. If the liability claims total more than Price-Anderson-mandated coverage, as is possible in the event of a catastrophic nuclear accident, additional funds would likely be appropriated by Congress. This relieves nuclear operators of the need to completely cover the liability of their plants.

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