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Physical Damages – Fire at Aircraft Hanger

We were asked by Insurers to review the physical damages claimed by an aviation company who during the manufacture of a military aircraft suffered a fire in one of their hangers in Indonesia resulting in the wing of the aircraft being damaged. The wing had to be taken off the aircraft and replaced.

Our role was to review and quantify the replacement cost of the wing and ensure only the incremental costs were considered, as some parts could be taken off the wing, be cleaned and tested to be used again, whilst other parts had to be manufactured again.

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