American International Group Inc. (AIG) has announced that its member companies have completed the placement, on behalf of the co-insurance market, of aviation war risk and hijacking liability coverage that makes available coverage totaling $1 billion per airline in excess of the $50 million aggregate provided by the primary aviation market.
The coverage offers $150 million in excess of $50 million aggregate and up to $850 million in excess of that $150 million. Co-insurers in the AIG-led $850 million master line slip include: Ace, Axa, Chubb, Everest Re, GE Frankona, Glencoe, Hannover Re, Kemper, Liberty Mutual, St. Paul Group, Tokio Marine, TransReCo, Travelers, XL, and Zurich Re.
Since the placement was announced by AIG, coverage has been put in place for several airlines outside the United States, permitting those airlines to operate with uninterrupted service.
AIG Chairman M. R. Greenberg said, “Airlines around the world play a critical role in facilitating world trade and helping nations participate in the global economy. AIG has led the response to the urgent need for an adequate aviation insurance market and together with the participants in this co-insurance pool, are providing airlines with the insurance coverage necessary to maintain operations in an unprecedented environment.”
American International Companies are also making available other related coverages, including an airport facility and a ground handlers facility, both providing $50 million primary war risk and hijacking liability coverage.
AIG is the leading U.S.-based international insurance and financial services organization and the largest underwriter of commercial and industrial insurance in the United States. Its member companies write a wide range of commercial, personal and life insurance products through a variety of distribution channels in approximately 130 countries and jurisdictions throughout the world.
AIG’s global businesses also include financial services and asset management, including aircraft leasing, financial products, trading and market making, consumer finance, institutional, retail and direct investment fund asset management, real estate investment management, and retirement savings products. American International Group Inc.’s common stock is listed on the New York Stock Exchange, as well as the stock exchanges in London, Paris, Switzerland and Tokyo.