Broker firm Aon, which has about 200 staff missing following the attacks on the World Trade Center where it had offices, expects to lose up to $55m before tax from the terrorism.
Broker firm Aon, which has about 200 staff missing following the attacks on the World Trade Center where it had offices, expects to lose up to $55m (£37.5m) before tax from the terrorism.
Chief executive Patrick Ryan said in a statement: “If our number of missing colleagues results in 200 losses, Aon's portion of the total would be $50m (£34m) - $55m (£37.5m) pre-tax, inclusive of other policyholder claims that we are aware of.”
The US company, which includes insurance brokerage, consulting and insurance underwriting subsidiaries, asked property and casualty insurers who covered its clients not to issue any cancellations or changes in terms and conditions, and to provide 60-day policy extensions.
Mr Ryan said: “Most insurance carriers have agreed.”
He said the atrocities would affect Aon's short term financial results because of delayed billings and slower new business growth.
He added: “I can assure you that our financial resources and long-term earnings capacity remain strong. Mitigating against an adverse impact on operating revenues from the terrorists attacks, would be payments received under our business interruption insurance coverages.
“Our strategic decision to spin-off our underwriting business has not changed, although the timing could be delayed.”
The firm's records and systems are working but third quarter results, scheduled for early November, could be delayed.
