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Aircraft Builders Council

  • President's Message

  • ABC Brokers Committee News

  • Mendes Legal Update:  Personal Jurisdiction over Parent Corporations

  • ABC 2009 Annual Fall Conference Update

  • Spreading the risk

  • No Hard Market On The Horizon, Analyst Says

  • Risk Managers - Wearers of Many Hats

  • Guardians of the Brand

  • Risk Management - Now You See It; Now You Don't


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    ABC News
    President's Message
    David McClain, ABC President

    The ABC Board of Trustees held its annual Spring Underwriting Meeting April 24-26. During the meeting, the Board re-elected its officers for the 2009-10 term: President – David McClain (PPG Industries), Vice President – Michael Gurrieri (Sequa Corporation), Treasurer – Susan Aselage (Sabreliner Corporation), and Secretary – David Johnson (Eaton Corporation). The Board also recognized the remarkable career of Tony Medniuk, Chief Executive Officer of Global Aerospace, as he announced his pending retirement this June. Tony has made an immeasurable contribution to the ABC, seeing it through the 9/11 aftermath and very difficult market conditions. The ABC simply would not enjoy its current strength and success were it not for his efforts and lead role. 

    ABC Brokers Committee News
    ABC Brokers Committee
    During the first quarter of 2009 and to date the aviation market has continued to harden, especially the airline account, despite capacity remaining more than sufficient to continue to provide competitive market conditions.

    The prevailing economic environment has caused aviation practitioners to review their book of business as their capital providers look only to invest in sectors of the insurance industry that can provide sustainable and worthwhile profits. The aerospace products market however, has to date experienced less severe underwriting terms. Suppliers to the prime manufacturers have in general seen flatter market conditions - provided that they have a good loss record - and in some cases even a small decrease. When markets have hardened previously the products market has tended to lag behind the airline account and it would therefore not be surprising to see the situation change later in the year which could impact further as the recession begins to affect the sub-contractors and their sales in some areas begin to fall away.

    Mendes Legal Update:  Personal Jurisdiction over Parent Corporations
    Garrett J. Fitzpatrick and Stephanie N. Brie
    This article by Garrett J. Fitzpatrick and Stephanie N. Brie provides an overview of recent case law, particularly in the Ninth Circuit, analyzing the exercise of personal jurisdiction over foreign corporations, particularly Japanese corporations. Click on the "read more" link below for the full article.

    ABC 2009 Annual Fall Conference Update
    Aircraft Builders Council, Inc.

    The 2009 Aircraft Builders Council Annual Conference will take place September 20-22 at The Renaissance Esmeralda Resort in Indian Wells, CA. Click on "read more" below to view an article that outlines information about scheduled speakers, hotel accommodations, registration information and more!

    More Industry News
    Spreading the risk
    Lloyd's of London
    When the financial crisis escalated in September 2008, observers were surprised at the speed of the deterioration of many household names.

    Institutions like Lehman Brothers, Bear Stearns, AIG, Northern Rock and Royal Bank of Scotland seemed solid one minute and in deep trouble the next.

    The insurance sector is less dependent on liquidity than the banking sector, and therefore unlikely to experience such rapid declines (AIG’s problems stemmed from its non-insurance business). Nevertheless, the crisis has made insurance buyers more aware of counterparty risk.

    No Hard Market On The Horizon, Analyst Says
    National Underwriter Company
    Susanne Sclafane
    A hard-pricing insurance market may not be arriving anytime soon, an analyst said at a conference earlier this week.

    Risk Managers - Wearers of Many Hats
    Risk & Insurance
    In our troubled economic climate, there is an endless amount of uncertainty among stakeholders toward many companies' risk management capabilities. In one of the scariest examples, American International Group Inc. collapsed after it made too many credit default swaps insuring mortgage-backed securities. The government intervened, pumping billions into AIG.

    Guardians of the Brand
    Human Resource Executive Online
    A company's brand is one of its most valuable assets. So how can human resource leaders protect it when vital HR functions are outsourced?

    Risk Management - Now You See It; Now You Don't
    The Rough Notes Company, Inc.
    Given today’s business constraints, it is encouraging to see so many producers inquiring about insurance coverage issues, many of which are quite thought- provoking. While some of these inquiries are motivated by claims presented and the ever-present threat of an errors and omissions claim, there is evidence that many producers are also seeking to better understand the insurance products they are selling.