Pilots’ Fatal Plane Crash Doesn’t Warrant Accidental Benefits

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world Clay Lacy Aviation Inc. and Prudential Insurance Co. of America defeated a lawsuit claiming they wrongly failed to pay accidental death benefits to the partners of two pilots who died in a plane crash. The aviation company’s accidental benefits plan with Prudential contained an exclusion for deaths stemming from air travel when working as a pilot or crew member, and benefits were properly denied under this exclusion, Judge David G. Estudillo of the US District Court for the Western District of Washington held Monday. The plaintiffs said the exclusion should be disregarded because it would render coverage “illusory” and “unconscionable,” . Bloomberg Law provides trusted coverage of current events enhanced with legal analysis.

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