Reports say American International Group is the lead insurer on Asiana Airlines Flight 214, which crashed Saturday at San Francisco International Airport.
A number of insurers are involved in insuring the aircraft, with coverage totaling $2.3 billion. Dow Jones says AIG has the largest portion of the risk at $100 million. Bloomberg reports Willis is the lead broker.
Neither AIG nor Willis has immediately returned requests for comment.
The aviation-insurance market has been favorable for buyers with a good safety record of late. In its Airline Insurance Market Outlook report for 2013, insurance broker Aon says rates for hull and liability fell 11 percent in 2012 with plenty of capacity in the marketplace. Contributing to the soft market was a low number of incidents and fatalities last year. The number of incidents in 2012 amounted to 39, compared to an average of 70 over a 17-year period, and the total number of fatalities was 318, compared to the long-term average of 597.
The Asiana Boeing 777 Flight 214 was carrying 291 passengers and 16 crew members when the accident occurred. Two young women died and 182 were injured.
Preliminary information released by the National Transportation Safety Board indicates the jet was flying 31 knots below the target speed of 137 knots—too slow to maintain proper descent, when it crashed Saturday. However, it has not yet been determined whether human error or mechanical failure resulted in the accident.
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