United sues AIG over Sept. 11 loss claims = = = = Tuesday July 15, 1:20 PM EDT = NEW YORK, July 15 (Reuters) - Bankrupt United Airlines sued a unit of ins= urer American International Group Inc. (AIG) on Tuesday, demanding that t= he insurer pay $25 million to cover some of the airline's losses after U.= S. air traffic was shut down following the hijack attacks of Sept. 11, 20= 01. The suit is the first major wrangle between airlines and insurers over Se= pt. 11 losses. It could become a key battle for United as parent UAL Corp= =2E(UALAQ) struggles to emerge from bankruptcy. Under a property and business interruption policy issued by the Insurance= Co. of the State of Pennsylvania, United claims the insurer must pay up = for "loss of gross revenue as a result of the enormous damage caused by t= he 9/11 events including the total shutdown of the United States aviation= system." The suit was filed on Tuesday in the U.S. District Court, Southern Distri= ct of New York, the federal court designated to handle disputes related t= o Sept. 11. AIG and United spokesmen declined comment. United, which in December filed for the largest airline bankruptcy in his= tory, says it lost as much as $1.2 billion in revenue following the shutd= own, as it canceled 20 percent of flights. The insurance policy limits cl= aims in one year to $25 million. = =A92003 Reuters Limited. = Roger EWROPS