LONDON, 6 MARCH 2007 - Economic and political situations in a number of countries across the globe have created a slightly more favourable environment for filmmakers seeking to film abroad, according to the 2007 Risks in Global Filmmaking Map produced by Aon/Albert G. Ruben, the world’s number one entertainment risk broker.

The annual map measures the threats of crime and corruption, terrorism, kidnap and ransom, disease and substandard medical care. Calculated on a scale from one to five, the map aggregates these risks and assigns overall ratings. It also identifies those countries that pose significant political risks to filmmaking, such as political violence, instability and civil war.

Of the 207 countries measured, overall risk for filmmakers in 37 countries decreased slightly from 2006 to 2007. The UK’s rating, which has remained on a par, coincides with its increasing attractiveness as a film location and investment in production in the UK in 2006 increased considerably compared to 2005.

Europe remains a very popular and stable location. This is an additional boost for the British film industry, which provides most of the crews and talent.  In addition, the UK’s more sophisticated insurance culture compared to some emerging European countries means that crew tend to receive higher levels of cover and have a stronger focus on health and safety to help prevent potential claims or interruption to filming.

Peter Robey, president of international operations for Aon/Albert G. Ruben, said: “In addition to improvements in economic and political conditions, a number of European countries are developing into attractive film locales.  Hungary and the Czech Republic are becoming prominent destinations, with the benefits of lower labour rates and picturesque settings. Looking forward, Romania and Bulgaria appear to be making concerted efforts to improve their film-related infrastructures in pushes to attract filmmakers.”

Worldwide, risk in nine countries, including Croatia, Haiti, Nepal, Nicaragua, Niger, Nigeria, Singapore, Sri Lanka and Tajikistan, increased over the year due mostly to crime, political instability or terrorism concerns. Specifically, Nepal’s political environment continues to deteriorate due to a conflict between the royal family and Maoist insurgents; crime continues to grow in Nicaragua; Niger faces serious issues concerning crime, disease and health care; Nigeria continues to be plagued with high crime and kidnappings; Sri Lanka is on the brink of full military conflict after a failed truce with the Tamil Tigers; and Tajikistan faces a high risk of terrorism from Islamic extremists.

Other risks, including the threat of inclement weather, like hurricanes, typhoons and tsunamis, and the hazard of a potential pandemic, such as avian influenza, are ever-present in many areas across the globe. Terrorism is also an ongoing concern in several countries, particularly those in Central Asia.

Peter continued: “While considering the risk rating for your location of choice, filmmakers need to remain committed to good risk management. For example, common claims for actor illnesses or fire damage to a set create costly disruptions by delaying the production timeline. As a result, cover for business interruption is not an option, but a necessity.”

The map also raises issues of the knock-on effect to the UK’s small and medium sized businesses involved in film production, ranging from lighting specialists to make-up artists.  Rebecca Dalgetty, leader of Aon’s entertainment & media team, commented:  “When embarking on an overseas film, the majority of SMEs will already have the cover in place for working outside the UK on a temporary basis. However, companies should still inform their insurer or broker of their destination to enable them to check the country’s legislation in accordance with the policy.  We also advise checking the Foreign Office website for potential hazards, while double-checking their cover.

“Freelancers and sole traders tend to be most concerned about cover for taking their equipment or kit abroad. An annual policy in place can easily be extended, as can employers and public liability cover for production companies. However, they must bear in mind that a basic employers liability policy will not provide indemnity to the business for anyone they employ locally.”

The map was created by Aon risk experts who measured global risks specific to filmmaking by compiling data from a variety of sources, including the US Bureau of Consular Affairs, Overseas Security Advisory Council, Diplomatic Security Services, Central Intelligence Agency personnel and publications, US Centers for Disease Control and Prevention, World Health Organisation and other sources.

Aon/Albert G. Ruben’s risk experts regularly measure the global landscape and provide risk updates for filmmakers throughout the year. Register  to receive these updates and a copy of the 2007 Risks in Global Filmmaking Map.

Notes to editors:

Peter Robey – president of international operations, Aon/Albert G. Ruben:

Peter has more than 36 years experience insuring entertainment risks throughout the world. He has worked with every major Hollywood studio on filming exposures in Europe and abroad. Peter’s main focus is client service and sharing his expertise with Aon/Albert G. Ruben clients. 

Peter has given lectures on all aspects of entertainment insurance at leading industry events including the British Film & TV School, International Bar Association and the Risk and Insurance Management Society (RIMS).

About Aon

Aon Corporation is a leading provider of risk management services, insurance and reinsurance brokerage, human capital and management consulting, and specialty insurance underwriting.  There are 43,000 employees working in Aon’s 500 offices in more than 120 countries.  Backed by broad resources, industry knowledge and technical expertise, Aon professionals help a wide range of clients develop effective risk management and workforce productivity solutions.

This press release contains certain statements related to future results, or states our intentions, beliefs and expectations or predictions for the future which are forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from either historical or anticipated results depending on a variety of factors. Potential factors that could impact results include: general economic conditions in different countries in which we do business around the world, changes in global equity and fixed income markets that could affect the return on invested assets, fluctuations in exchange and interest rates that could influence revenue and expense, rating agency actions that could affect our ability to borrow funds, funding of our various pension plans, changes in the competitive environment, our ability to implement restructuring initiatives and other initiatives intended to yield cost savings, our ability to execute the stock repurchase program, our ability to obtain regulatory or legislative changes to permit continuous sales of our supplemental Medicare health product, changes in commercial property and casualty markets and commercial premium rates that could impact revenues, changes in revenues and earnings due to the elimination of contingent commissions, other uncertainties surrounding a new compensation model, the impact of investigations brought by state attorneys general, state insurance regulators, federal prosecutors, and federal regulators, the impact of class actions and individual lawsuits including client class actions, securities class actions, derivative actions, ERISA class actions, the impact of the analysis of practices relating to stock options, the cost of resolution of other contingent liabilities and loss contingencies, and the difference in ultimate paid claims in our underwriting companies from actuarial estimates.  Further information concerning the Company and its business, including factors that potentially could materially affect the Company’s financial results, is contained in the Company’s filings with the Securities and Exchange Commission.

Aon Limited is authorised and regulated by the Financial Services Authority in respect of insurance mediation activities only

Aon Limited is authorised and regulated by the Financial Services Authority in respect of insurance mediation activities only.