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The Independent UK
The Independent UK
National
Stuti Mishra

Air India insurance payout could reach £220 million

  • An Air India Boeing 787-8 Dreamliner crashed in Ahmedabad shortly after takeoff, killing all but one of the 242 people on board, including 53 British nationals, and several others on the ground.
  • The crash, involving flight AI171 to London Gatwick, could become the most expensive aviation insurance claim in India's history, with total liabilities estimated between £166m and £220m.
  • Compensation for the deceased could reach a minimum of $171,000 (£134,000) per passenger under the Montreal Convention, with the Tata Group offering interim payments of £85,000 and Air India adding 2.5 million rupees (£21,000).
  • Global reinsurers, particularly in the UK and Europe, are expected to cover a significant portion of the financial impact due to the high number of international passengers.
  • Investigations are ongoing by Indian and international authorities, with fresh checks ordered on all Boeing 787s in India, as the crash is described as the world’s worst commercial aviation disaster in over a decade and the first fatal crash involving the Boeing 787.

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