Airlines to be Grounded Over Changes in Insurance Rules?
Don Quixote Impersonator
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Geez what a bunch of girls.
The Guv, love him or hate him, brings, what is a fairly vexed situation to your attention and all the most of you can do is bitch and moan about Guvs real or imagined shortcomings, meanwhile the rest of Rome burns.
BFU thank you for that, the US Plate glass premium income v airlines sorta puts the whole argument in perspective.
Who'd want to be a name.
The Guv, love him or hate him, brings, what is a fairly vexed situation to your attention and all the most of you can do is bitch and moan about Guvs real or imagined shortcomings, meanwhile the rest of Rome burns.
BFU thank you for that, the US Plate glass premium income v airlines sorta puts the whole argument in perspective.
Who'd want to be a name.
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Read Guv's 210905
Hit's the nail on the head. Commercial aviation faces grounding effective week 40. Govt. intervention required to keep the big pax airlines afloat.
Hit's the nail on the head. Commercial aviation faces grounding effective week 40. Govt. intervention required to keep the big pax airlines afloat.
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From today's Sunday Times:
EU deal to cover airline risks
David Smith and Michael Prescott
EUROPEAN finance ministers meeting in Liège, Belgium, yesterday, stepped in to head off the immediate crisis in the airline industry.
After Friday's announcement by Gordon Brown that the government would act as guarantor to provide British airlines with insurance cover against third party risk - damage to property and people on the ground - other European Union members agreed on similar measures.
There had been fears that without such cover, initially for 30 days, many airlines would have been grounded this week.
The EU ministers also agreed to speed up ratification of a United Nations resolution calling for a freezing of all Taliban
assets.
In an effort to show that the world economy is operating normally in the wake of Wall Street's worst week since 1933, the Liège meeting announced that the Group of Seven would meet in Washington on October 6. Interest rates in Britain and America are set to fall further before then. The meeting had been scheduled for next weekend but was cancelled.
George W Bush, in his weekly address to the American people, also tried to offer reassurance. "Our economy has had a shock," he said, noting many workers had lost their jobs last week, especially in the airline and tourism businesses. "Yet, for all these challenges, the American economy is fundamentally strong."
The chancellor hinted yesterday that governments were ready to pay for better security at airports and on planes. The British Airline Pilots' Association said extra security was urgent.
"The focus must be on stopping terrorists and preventing disruptive passengers from boarding our aircraft in the first place," said Captain Ian Hibberd, a spokesman. Pilots believe a computer system to check the names and profiles of passengers would be more effective than strengthened cockpit doors or guards.
Airline ticket computers would be linked to a central database on which the names of terrorist suspects could be entered, as well as profiles of "unusual" passengers. El Al, the Israeli airline, uses passenger profiling to identify potential troublemakers before they board flights.
David Smith and Michael Prescott
EUROPEAN finance ministers meeting in Liège, Belgium, yesterday, stepped in to head off the immediate crisis in the airline industry.
After Friday's announcement by Gordon Brown that the government would act as guarantor to provide British airlines with insurance cover against third party risk - damage to property and people on the ground - other European Union members agreed on similar measures.
There had been fears that without such cover, initially for 30 days, many airlines would have been grounded this week.
The EU ministers also agreed to speed up ratification of a United Nations resolution calling for a freezing of all Taliban
assets.
In an effort to show that the world economy is operating normally in the wake of Wall Street's worst week since 1933, the Liège meeting announced that the Group of Seven would meet in Washington on October 6. Interest rates in Britain and America are set to fall further before then. The meeting had been scheduled for next weekend but was cancelled.
George W Bush, in his weekly address to the American people, also tried to offer reassurance. "Our economy has had a shock," he said, noting many workers had lost their jobs last week, especially in the airline and tourism businesses. "Yet, for all these challenges, the American economy is fundamentally strong."
The chancellor hinted yesterday that governments were ready to pay for better security at airports and on planes. The British Airline Pilots' Association said extra security was urgent.
"The focus must be on stopping terrorists and preventing disruptive passengers from boarding our aircraft in the first place," said Captain Ian Hibberd, a spokesman. Pilots believe a computer system to check the names and profiles of passengers would be more effective than strengthened cockpit doors or guards.
Airline ticket computers would be linked to a central database on which the names of terrorist suspects could be entered, as well as profiles of "unusual" passengers. El Al, the Israeli airline, uses passenger profiling to identify potential troublemakers before they board flights.
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Palmtree - my understanding is that anyone that does not have the requisite third party liability cover will be grounded. This cover is required by lessors as well as by airports and aviation authorities as part of their AOC approvals - and the new insurance industry limit of US$50m per incident falls well below the required levels.
[ 23 September 2001: Message edited by: The Guvnor ]
[ 23 September 2001: Message edited by: The Guvnor ]
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You can now expect an increase in company-owned and time-share exec jets (for those companies that can afford same, in the US anyway) as a way around security concerns as these aircraft are not required to carry the very high third party insurance cover required of Bizjet charter AOC operators. Here in the USA, the insurance problem appears to have been solved, at least in the short term. Longer term it will have a profound effect on the bottom line of ALL airlines and bizjet charter operators. Suspect that a few airlines will not survive to have a bottom line at all, ala Midway-style.
Those that do not have an understanding of the insurance business had best keep it that way, least they have many sleepless nights.
Those that do not have an understanding of the insurance business had best keep it that way, least they have many sleepless nights.
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Not the least bit surprised...after the GF072 fiasco, I am astonished to find that they are able to obtain insurance cover at all, at what would be considered by others to be a reasonable cost. And with EK cleaning their clock in the traffic department, the end may well be near.
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411A you seem to have a responce on every single subject. When exactly did you get appointed on the AIB of GF072 and you have formulated an oppinion of it being a fiasco?
Have you nothing better to do than constantly expose your vitriolic character?
Have you nothing better to do than constantly expose your vitriolic character?
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Well there CaptA320, I seem to have struck a nerve. Don't know about the AIB and the report it should have published by now, but the whole GF072 accident was a complete fiasco, complete with the swan dive into the Arabian Gulf.
Why has the final report not been published?
Why has the final report not been published?
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The destruction of the WTC and the damage at the Pentagon, as well as the killings and injuries sustained, and the aircraft destroyed, was an act of war. The cost of war is carried by the nation at war and when it is over, hopefully by reparations from the vanquished.
What is wrong with having the cost of the attacks in the USA being met by the USA government through taxation? This will let the insurance industry off the hook in this case and allow them to continue making their business at less swingeing rates. Part of the costs from any action like this in the future ( which I pray may never happen )should be attributed to the government of the country where the terrorists embarked. (This would provide an incentive to ensure proper security measures at airports.)
There is no doubt that our world has changed since September 11th. We must not let this horrendous event cause hardship and pain further than it has done.Let's get on with our normal lives. That is the best contribution we can all make to defeat terrorism. Are those who have stopped flying due to the perceived threat to danger in the air now going to stop breathing as the chance of a biological attack is promoted in the media? I despair.
What is wrong with having the cost of the attacks in the USA being met by the USA government through taxation? This will let the insurance industry off the hook in this case and allow them to continue making their business at less swingeing rates. Part of the costs from any action like this in the future ( which I pray may never happen )should be attributed to the government of the country where the terrorists embarked. (This would provide an incentive to ensure proper security measures at airports.)
There is no doubt that our world has changed since September 11th. We must not let this horrendous event cause hardship and pain further than it has done.Let's get on with our normal lives. That is the best contribution we can all make to defeat terrorism. Are those who have stopped flying due to the perceived threat to danger in the air now going to stop breathing as the chance of a biological attack is promoted in the media? I despair.
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The UK Government has introduced a short term scheme to provide indemnity for third part (war and terrorism) liabilities above US$50m. Apparently available to all holders of Type A or B air operator's licences (UK AOL holders) and aviation 'service providers' eg airports, ground handlers etc Maximum scheme limit is US$2billion. Premium rates are US$0.25 per pax carried for up to US$750m or US$0.50 per pax above US$750m. Premium for 'service providers' is 25% of gross premioums payable under their existing insurance.
An insurance company (Troika Insurance Co Ltd) has been established for the sole purpose of writing this cover. It is capitalised by HM Treasury who will also indemnify Troika against 100% of all liability and costs incurred.
An insurance company (Troika Insurance Co Ltd) has been established for the sole purpose of writing this cover. It is capitalised by HM Treasury who will also indemnify Troika against 100% of all liability and costs incurred.
