Aon says it plans to move its corporate headquarters to London to be closer to the Lloyd's market, but the move will not result in the loss of any jobs in the Chicago area.
The broker says the move "provides greater access to emerging markets and takes better advantage of the strategic proximity to Lloyd's and the London market as one of the key international hubs of insurance and risk brokerage."
Additionally, Aon says the move will have "several near- and long-term financial benefits, including increased financial flexibility and improved capital allocation."
The move, which is subject to shareholder approval, is expected to be completed during the second quarter of this year.
Aon will change its corporate domicile from Delaware to England, which requires shareholder approval. The new company is expected to be listed on the New York Stock Exchange as Aon UK.
As part of its plans, Chicago will continue to be headquarters of the Americas for Aon.
The company plans to move 750 jobs into the Aon Center in downtown Chicago, where it signed a letter-of-intent on a 15-year lease.
Meanwhile, on Jan. 16, Moody's Investors Service said Aon's decision to move its headquarters will have no effect on the company's ratings.
Moody's, which issued Aon a senior unsecured debt rating of Baa2 (stable), says the move to the United Kingdom "highlights the company's international focus and its growth prospects in emerging markets."
Moody's notes that Asia and Latin America offer "significant growth potential, based on relatively high rates of growth in their economies and their use of insurance."
The move does pose a public-relations challenge for Aon, Moody's points out, because of its leadership role in the Chicago business community.
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