While it was an honor to meetPrince Andrew, Duke of York, it was a thrill to shake handsand speak with Capt. Chesley Sullenberger after hereceived the Lloyd's Gold Medal for Saving Life last nightduring the London market's annual New York City all-star dinner.(“Sully” is to the left, Prince Andrew in the center, and LordPeter Levene, Lloyd's chair, to the right.)

Prince Andrew–who serves as as the United Kingdom's specialrepresentative for international trade and investment–presented“Sully” with his medal for safely landing his U.S. Airwayspassenger jet in the Hudson River on Jan. 15 when a bird strikecaused engines to stall right after takeoff.

I told the captain I very much appreciated hislanding his damaged aircraft in the water, rather than on top of myHoboken office building, which is a block from the river.

Lord Levene–while introducing the guest ofhonor with words of praise for Capt. Sullenberger's “riskmanagement skills, selflessness, sound judgment and bravery” insaving all 155 on board–echoed my sentiments with this soberingaside.

“We are grateful for this 'miracle on theHudson,'” he said, “while mindful that had the plane come down 400yards to the left or to the right, we could have been facinganother 9/11-type catastrophe.”

The humble Capt. Sullenberger saidhe would “gratefully accept this deep honor on behalf of my crew,my passengers and all the first-responders who performed soadmirably and courageously during the evacuation that day.”

***

Meeting Prince Andrew–in town to say a fewwords about the importance of the world's two economic epicenters,London and New York, working together to make our financial systemwhole again–felt a bit awkward, as I wondered about the properprotocol. But his royal highness was very down to earth in both hispersonal encounters and his after-dinner speech, in which he warnedthat “we must assure that future steps do not kill the very capitalmarkets that reforms are meant to save.”

Lord Levene seconded that motion in his ownspeech, noting that “no one in this room is a fan of moreregulation, but we are all supporters of better regulation.”

***

The big news to come out of the night was thatthe president of Lloyd's North America, LoriAnn Lowery, is on herway out the door. She told me that she gave three months notice toLloyd's in early May to allow for a smooth transition.

She explained that having a new family in Texaswhile working in New York made it too hard to balance herprofessional and personal lives, but emphasized that she is eagerto land another substantive position in the insurance industrycloser to home. With her Lloyd's experience the icing on the cakeof a stellar 20-plus-year career in the brokerage business, I don'texpect her to remain a free agent for long.

LoriAnn was always very open with the press,and earned kudos for raising Lloyd's already high profilethroughout the United States. She'll be missed, and I wish herwell.

***

One no-show at the Lloyd's dinner was New YorkGov. David Paterson, who had to pass while he played ringmaster atthe circus better known as the State Legislature, which isdeadlocked between an even number of Republicans and Democrats,thanks to the defection of one sleazy, self-serving, turncoatDemocrat, and the absence of any lieutenant governor to break tievotes. (Thanks, Gov. Spitzer, for leaving our “accidental governor”even deeper in the lurch!)

The “New York Post” depicted the state'ssenators as clowns in its front-page picture, but I think that isan insult–to clowns, that is.

It is official: I am living in a bananarepublic–an absurd, dyfunctional government, not the clothingoutlet–as my elected officials carry on like slapstick comedians onthe old vaudeville circuit.

Last year at this dinner, Gov. Paterson madenews by announcing he intended to resurrect the long-defunct NewYork Insurance Exchange. We haven't heard much about that since,given the soft market and collapsing economy.

***

Speaking of New York politics, there was plentyof chatter about the prospects for the soon-to-be-former insurancesuperintendent, Eric Dinallo. One longtime player warned that Mr.Dinallo will need his time in academia teaching at NYU to preparefor the one potential deathblow in any future campaign–most likelyfor state attorney general (should the current occupant, AndrewCuomo, make way in his quest for the governor's mansion).

That is, how to respond to the unfair butinevitable slam that Mr. Dinallo was the regulator of AIG–posterchild of the bailout generation–when the company nearly went under,threatening to drag our entire economy down with it.

Of course, this is a ridiculous charge, sinceAIG was recklessly trading credit default swaps into oblivion longbefore Mr. Dinallo got there. Even if he had been on the scene, theinsurance superintendent had no authority over such activity in thefirst place. The fact is Mr. Dinallo helped keep AIG afloat longenough for Uncle Sam to come to its rescue, and its state-regulatedinsurance subsidiaries are all in reasonable shape.

But that is an awful lot of facts for theaverage voter to absorb, especially during the heat of a campaign,and particularly when it comes to the misunderstood insuranceindustry. Good luck with that, Eric!

***

I spoke briefly with the one insurance royal inthe room–Hank Greenberg. His handshake is still bone-crushing, andhis force of personality equally strong. He looked none the worsefor wear after four days in the witness chair in his battle withhis old employer, AIG, over funds allegedly set aside to compensatehigh-performers at the company, but which Hank quickly seized foruse elsewhere right after parting company amid an accountingscandal.

Early on in the trial, I was skeptical Hankcould pull this last rabbit out of his hat, but I am starting tohave my doubts. As I say in my NU column this Monday, no one evermade any money betting against Hank Greenberg.