Aon Re and Benfield reach settlement over defections

Aon Re Global and Benfield Group have reached a global and comprehensive settlement with Benfield Group of all the litigation relating to the defection of former Benfield facultative reinsurance employees to Aon Re.Under the amicable settlement, Benfield will receive payments over time totalling 9.5 million [approximately Cdn$21.5 million] which includes all of Benfields costs, according to an Aon press release.Last September Aon appointed Elliot Richardson as the head of its global cedant facultative reinsurance activities, shortly after Richardson resigned from his role as head of facultative reinsurance at Benfield. Several senior members of Benfield’s facultative reinsurance team also announced their departure prompting Benfield to issue a profit warning, stating that it expected profits to take a 10 million [approximately Cdn$22.6 million] hit following the exodus. The former Benfield employees are slated to join Aon on April, 1. We are pleased to have reached a mutually acceptable accord on this matter, Michael D. OHalleran, chairman and CEO of Aon Re Global, said in a statement.