London, 24 July 2014 – The total insurance loss of Malaysia Airlines Flight MH-17, which crashed over the Ukraine-Russia border on 17 July 2014, is not expected to result in any ratings actions, according to a new briefing from A.M. Best.
The Best’s Briefing entitled “The Insurance Implications of Malaysia Airlines Flight MH-17” states that the total insurance loss will comprise passenger liability claims and physical damage to the aircraft. The liability loss will be shared between the insurance and reinsurance markets.
Allianz SE, through its specialty lines subsidiary, Allianz Global Corporate & Specialty SE, is the lead reinsurer on aviation hull and liability risks for Malaysia Airlines, with the Lloyd’s market also likely to be affected by passenger liability claims (as will a number of global reinsurers).
Due to the nature of the loss, a complex and lengthy settlement period is anticipated.
To download a PDF of the report in full, please click the link below:
A.M. Best Briefing: MH 17
A.M. Best Briefing