Dubai Aerospace Enterprise Secures $118 Million Settlement, Continues Litigation Against Insurers

Dubai Aerospace Enterprise (DAE), amid ongoing litigation in UK courts, has successfully settled a significant insurance claim with Aeroflot’s insurer NSK, receiving approximately US$118 million. This settlement is related to seven aircraft and associated engines leased to Aeroflot that became stranded due to Russia’s invasion of Ukraine. With this agreement, DAE has dropped its claims against Aeroflot and its insurer and reinsurers.

However, DAE’s legal battles are far from over. The company is still engaged in insurance settlement discussions concerning claims against other Russian carriers, with 19 of its leased planes remaining in Russia. DAE has affirmed its commitment to actively continue its litigation in the English courts under its own insurance policies and to mitigate losses regarding aircraft leased to other Russian airlines.

DAE’s lawsuit in London’s High Court lists several insurers, including Lloyd’s, Abu Dhabi National Insurance Company, AIG, AXIS Specialty Europe, Chubb, Fidelis Insurance Ireland, Global Aerospace Underwriting Managers, Great Lakes Insurance, HDI Global Specialty, Starr Europe Insurance, and Swiss Re. The company’s efforts reflect the complex nature of insurance claims and settlements in the international aviation leasing industry, especially in the context of geopolitical conflicts.