As Wall Street continues to reel from the events of last month, market turmoil could clip the wings of several major financial institutions’ flight departments.
American International Group
The economic health of insurance giant AIG has sparked concern among many business aircraft operators who have contacted NBAA with questions about the state of their insurance coverage.
With America on a major terror alert for the commemoration yesterday of the anniversary of the September 11 attacks (U.S. officials raised the warning for the first time to Code Orange, just one tier below the highest level of danger), the focus that would have been placed on security anyway this week took on a new and palpable urgency.
The 73-year-old New York-based insurance company had interests and offices in nearly 130 countries and Canada’s Bombardier at the time had just introduced an airplane–the Global Express–that seemed to meet AIG’s requirements.
American International Aviation Corp., one of NBAA’s oldest members, celebrated 50 years of operations, all accident free, at a dinner held in the company’s hangar at Teterboro Airport, N.J., on September 18.
This year’s Aviation Insurance Association (AIA) conference, held from April 28 to May 1 in Palm Springs, Calif., convened in the atmosphere of an aircraft insurance market that is putting smiles on the faces of aircraft operators while underwriters and brokers tussle in a highly competitive business environment.
Jet Aviation, the aviation services company founded in Switzerland in 1967, was recently singled out for a prestigious safety award by its insurer, AIG Aviation of Atlanta. The company’s European aircraft management and charter divisions received AIG’s Operational Excellence Award for 2003.
Business aircraft and large charter operators may start seeing reduced insurance premium rates within the next few months, if they haven’t already. According to various brokers, insurance premiums for certain segments of the business aircraft and charter market have fallen by 25 percent or more in the past six to 12 months.
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