Lloyd’s of London Facing Billions in Losses After Russia Proposes to Retain Foreign Leased Aircraft

A Lloyds TSB bank sign is displayed outside a bank branch opposite the Lloyd's Building, the home of the insurance institution Lloyd's of London on Sept. 25, 2008, in London, England. Matt Cardy/Getty Images

Lloyd’s of London, a UK-based insurance and reinsurance market, is staring at potential losses worth billions of dollars after Russia threatened that it would seize planes owned by foreign entities.

According to proposals made by the Russian transport ministry, based on multiple media reports, if foreign leasing companies that have leased planes to Russian airline firms wish to terminate contracts, an import substitution government commission will decide whether the planes can be returned or have to remain in Russia.