FIRST AMERICAN AND AON FORM STRATEGIC PARTNERSHIP TO MARKET UCC INSURANCE PRODUCTS
November 26, 2001, SANTA ANA, Calif., and CHICAGO
The First American Corporation (NYSE: FAF), the nation’s leading, diversified provider of business information and related products and services, and Aon Corporation’s (NYSE: AOC) risk services group today announced a strategic partnership to market First American’s EAGLE 9™ UCC Insurance Program.
Introduced by First American in August 2000, EAGLE 9™ UCC insurance provides important lien perfection and priority coverage to lenders. The insurance is similar to real estate title insurance, but covers loan transactions secured by personal property as defined by the Uniform Commercial Code (UCC).
First American, as both a title insurer and a property and casualty insurer, is the only company currently qualified to provide UCC insurance to the national commercial loan market, estimated at more than $1 trillion annually. Aon, one of the largest insurance brokers in the world, will market First American’s EAGLE 9™ UCC Insurance Program to lenders and law firms through Aon’s distribution network.
“Given the recent revisions to Article 9 of the Uniform Commercial Code, the potential for a growing slowdown in the economy and the resulting uncertainty and risk facing lenders, the solutions we offer are more important than ever,” said Theodore H. Sprink, president of First American’s UCC Insurance Division. “Working with an industry leader like Aon will provide even greater opportunity to market this important program.”
First American’s complete UCC Insurance Program extends beyond policy issuance, providing clients the opportunity to outsource expensive UCC search, underwriting, document preparation, filing and tracking functions. EAGLE 9™ provides coverage to ensure compliance with changes related to the UCC. Lenders specializing in asset-based loans, mezzanine financing transactions and mixed-collateral loans have found this product to be particularly valuable.
“As always, Aon is committed to providing lending institutions and the legal community with innovative and creative solutions,” said Kevin J. Madden, financial institutions director at Aon. “We anticipate that this UCC insurance program will be a valuable tool for law firms and lenders engaged in commercial loan origination.”
Aon Corporation (www.aon.com) is a holding company that is comprised of a family of insurance brokerage, consulting and insurance underwriting subsidiaries. Aon’s common stock is listed on the New York, Chicago, Frankfurt and London stock exchanges.
The First American Corporation, based in Santa Ana, Calif., is the nation’s leading, diversified provider of business information and related products and services. The corporation’s three primary business segments include: title information and services; real estate information and services, which includes mortgage information services and database information and services; and consumer information and services, which provides automotive, subprime and direct-to-consumer credit reporting; direct-to-consumer public records reporting; resident screening; pre-employment screening; automobile title administration; property and automotive insurance tracking services; property and casualty insurance; home warranties; investment advisory; and trust and banking services. Information about the company and an archive of its press releases can be found on the Internet at www.firstam.com.
This press release may contain certain statements relating to future results, 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 historical results or those anticipated, depending on a variety of factors such as general economic conditions in different countries around the world, fluctuations in global equity and fixed income markets, changes in commercial property and casualty premium rates, the competitive environment, the actual cost of resolution of contingent liabilities, the final form of the business transformation plan, the ultimate cost and timing of the implementation thereof, the actual cost savings and other benefits resulting therefrom, whether the Company ultimately implements the proposed spin-off of its underwriting operations, and the timing and terms associated therewith. Further information concerning the Company and its business, including factors that potentially could materially affect the Company’s financial results are contained in the Company’s filings with the Securities and Exchange Commission.