TOKIO MARINE KILN LEADS LIABILITY POLICY FOR LAMIA PLANE

Tokio Marine Kiln is the lead reinsurer on the $25m liability policy on the plane that crashed in Colombia on November 28, Insurance Day has reported. The company confirmed its participation on the policy for charter airline LaMia. Aviation market sources said the liability policy was placed by Aon with a “select market” including Beazley and Liberty Specialty Markets. In addition, it is understood 20% of the risk was placed through the broker’s facility Aon Client Treaty. The British Aerospace 146 short-haul plane, operated by LaMia, declared an emergency and lost radar contact late on November 28 because of an electrical failure, aviation authorities said. But it was unclear where the hull policy for plane, which crashed in near the Colombian city of Medellín, killing 75 people, was placed. Sources said the London market appeared not to have provided hull cover. There was speculation last night it may have been placed in Russia. The global aviation market is on course to make a loss this year with premiums lower than claims costs, according to JLT Specialty.