SMBC Aviation Capital and CDB Leasing have settled war risk insurance claims against at least two major insurers, according to a recent hearing at the Irish High Court reported by the Irish Times.
Eileen Barrington, a lawyer representing both lessors, told the court that the two lessors had reached a settlement with Ping An, a Chinese insurance firm, and Fidelis from the United States. They are reportedly close to a settlement with American-Swiss company Chubb Corporation.
The settlement is a part of the single largest court case in Ireland's history, joining together a number of lessors suing the world's biggest insurance firms regarding the war risk and all-risks insurance claims for aircraft retained by Russian airlines after the March 2022 imposition of Western sanctions on the country.
SMBC, owned by Japan's Sumitomo Mitsui Banking Corporation, sued a total of 17 entities, including 16 insurers and one pool of underwriters, in case 2022/5975/P. In turn, China Development Bank-owned CDB Leasing, jointly with its SPVs, filed two separate lawsuits, one against 21 insurers (2022/5759/P) and the other against four (2022/6502/P).
The total amount of damages claimed at the beginning of the case exceeded USD8 billion, although multiple claims have since been settled. Avolon, BOC Aviation, and Nordic Aviation Capital settled all of their remaining claims earlier this year. The sixth lessor suing insurers in Ireland is FTAI Aviation.
