Washington

A key lawmaker has introduced a bill that could extend the carryback period for life insurers’ 2008 and 2009 net operating losses.

The bill, S. 823, was introduced by Sen. Olympia Snowe, R-Maine, the highest-ranking member of the Senate Finance Committee, just before Congress departed for a 2-week recess.

The bill is a stand-alone version of a provision that was initially in the economic stimulus package, according to officials at the American Council of Life Insurers, Washington.

The bill temporarily would extend the “carryback period for net operating losses for tax years 2008 and 2009″ for all industries, and “life insurance companies are included,” the ACLI says.

“It makes sense that Congress would extend the carryback period in this time of economic turmoil,” says Whit Cornman, an ACLI staff member.

The co-sponsors of the bill include Sen. Max Baucus, D-Mont., chairman of the Senate Finance Committee, along with Sens. John Ensign, R-Nev.; Blanche Lincoln, D-Ark.; Debbie Stabenow, D-Mich.; Maria Cantwell, D-Wash.; Orrin Hatch, R-Utah; and Bill Nelson, D-Fla.