|AIG Strengthens Loss Reserves in Its Non-Life Business by $3.6 Billion Pre-Tax, Representing Six Percent of AIG’s Total Non-Life Net Reserves|
Each quarter, AIG conducts a series of actuarial reviews to reassess the reasonableness of its carried reserves. These reviews are conducted for each class of business, and consist of hundreds of individual analyses. AIG considers data and information arising since the prior review and adjusts, as appropriate, the methods and assumptions used in the latest actuarial reviews.
This strengthening of loss reserves primarily reflects adverse
development on prior accident years in long-tail classes of business.
Three classes comprise approximately 90% of the total charge; U.S. &
AIG has contributed capital to maintain statutory surplus within target levels of financial strength for the non-life insurance subsidiaries.
This press release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are not historical facts but instead represent only AIG’s belief regarding future events, many of which, by their nature, are inherently uncertain and outside AIG’s control. Except for AIG’s ongoing obligation to disclose material information as required by federal securities laws, AIG is not under any obligation (and expressly disclaims any obligation) to update or alter any forward-looking statements, whether written or oral, that may be made from time to time, whether as a result of new information, future events or otherwise. Factors that could cause AIG’s actual results to differ, possibly materially, from any forward-looking statements include completion of the year end audit process and the factors set forth in AIG’s filings with the United States Securities and Exchange Commission.
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retirement, and general insurance operations of