Aon?s Sept. 11 case rejected by UKjudge
(Bloomberg) A London court today rejected Aon Corp.?s claims that fleeing from the September 11, 2001 terror attacks amounted to an ?authorised business trip? and should be eligible for reimbursement under travel accident insurance.
Aon, the world?s second-largest insurance broker, occupied six floors of the South Tower of New York?s World Trade Center when a hijacked airplane struck the building.
A total of 176 Aon employees died during the attack. Six London-based reinsurers asked the High Court in 2001 to declare that they aren?t responsible for claims paid out under the insurance.
Justice Peter Cresswell ruled that 169 of the employees weren?t travelling for the purpose of furthering Aon business when they died trying to evacuate and weren?t covered by a travel accident insurance policy issued by Aon unit Combined Insurance Company of America. The policy was reinsured by a group led by Lloyd?s of London insurer Kiln Plc.
?The parties? intent did not extend to include as an ?authorised business trip? an evacuation/attempted evacuation in the unique circumstances described,? Cresswell wrote in the judgement.
Combined Insurance has already paid out around $88 million in policy claims to the employees? families, according to Nicholas Rochez, a lawyer for the reinsurers.
Aon claimed that its employees were on an authorised trip when they left the company?s offices and entered the common areas of the tower to evacuate. Combined Insurance said it would consider appealing the judgement. Many of Aon?s employees had descended by stairs to the building?s 78th floor lobby when the New York Port Authority made an announcement that the tower was secure and it was safe for people to return to their offices, according to the judgement.