Background / History
On 23 March 2005 the European
Commission announced that "Following an investigation by the European
Commission, leading European aviation insurers have undertaken to reform
their practices as regards the operation of aviation insurance in order
to promote more competition and transparency. The reforms foresee inter
alia greater transparency in key industry committees based in London,
including one that establishes standard wordings for aviation insurance
policies and clauses".
The Aviation Insurance Clauses Group
(AICG) was established in June 2005 by the Lloyd's Market Association
and the International Underwriting Association of London. The AICG
establishes non-binding standard wordings, clauses and variants for use
in aviation insurance policies. Users are consulted on proposed clauses
and can propose variant clauses themselves. The minutes of the AICG
meetings and draft wordings and clauses are published on this AICG
website. This has significantly increased transparency for air
carriers.