|AIG COMPANIES ANNOUNCES GLOBAL SUPPLY SECURE|
Insurance Coverage to Protect Companies Against Supply Chain Disruptions
NEW YORK--Sept. 9, 2008--The AIG Companies today announced the introduction of Global Supply Secure(SM), insurance that helps mitigate the financial impact of supply chain disruptions. Jointly developed with Marsh, Global Supply Secure will be underwritten domestically by Lexington Insurance Company, a unit of AIG Commercial Insurance, and overseas by American International Underwriters (AIU), AIG's foreign general insurance operations.
Global Supply Secure is enhanced contingent business interruption coverage (CBI) that responds to potentially disruptive events within an insured's supply chain generally not included in a CBI cover, including: strike, political risks such as expropriation and imposition of import/export restrictions, insolvency of a named supplier, service interruption, government investigation, and pandemic, in addition to the standard property perils typically covered in CBI policies. Global Supply Secure protects against loss of business income due to disruptions at named suppliers and throughout an insured's global transportation network.
"Global sourcing, lean production and just in time inventory strategies have produced substantial savings and increased risks for many manufacturing firms, and make supply chain management more critical," said George Stratts, Executive Vice President of Lexington. "Global Supply Secure addresses many global sourcing risks and provides the broadest coverage available in the market today."
"The partnership between Lexington and AIU brings together AIG's worldwide underwriting network and multi-disciplinary underwriting expertise to deliver a comprehensive global sourcing insurance solution to manufacturers based throughout the world," added Julian Stroud, SVP, Worldwide Property Manager, AIU.
Global Supply Secure is initially available to manufacturers who have received a comprehensive supply chain vulnerability assessment from Marsh's Risk Consulting Practice.
For more information about Global Supply Secure, contact Liz Carmody, Lexington Insurance Company at 617.772.4597 or Liz.Carmody@aig.com or Andrew Sims, AIU at 212.458.3708 or Andrew.email@example.com.
All products are written by insurance company subsidiaries of American International Group, Inc. Coverage may not be available in all jurisdictions and is subject to actual policy language. As a surplus lines insurer, Lexington Insurance Company does not generally participate in state guaranty funds. Non-insurance products and services may be provided by independent third parties.
American International Group, Inc. (AIG), a world leader in insurance and financial services, is the leading international insurance organization with operations in more than 130 countries and jurisdictions. AIG companies serve commercial, institutional and individual customers through the most extensive worldwide property-casualty and life insurance networks of any insurer. In addition, AIG companies are leading providers of retirement services, financial services and asset management around the world. AIG's common stock is listed on the New York Stock Exchange, as well as the stock exchanges in Ireland and Tokyo.