NEW YORK--(BUSINESS WIRE)--Mar. 9, 2016--
American International Group, Inc. (NYSE:AIG) announced today that it
has entered into a two-year reinsurance arrangement with Swiss Re, under
which a share of AIG’s new and renewal U.S. Casualty portfolio will be
ceded to the reinsurer, consistent with the plans announced by AIG in
its January 26, 2016 strategic update to investors.
The reinsurance arrangement is an important step in AIG’s strategy to
improve its Commercial Insurance diversification and return on equity
(ROE), and it highlights AIG’s focus on capital efficiency. This risk
sharing agreement complements AIG’s leadership position as a premier
provider of insurance products and services in the U.S. Casualty market.
“Swiss Re and AIG have had a strategic relationship for a number of
years, and the trust and knowledge-sharing between the two companies
facilitated this mutually attractive economic transaction,” said Rob
Schimek, CEO of AIG Commercial. “We have been very clear about our
desire to partner with our reinsurers to help achieve our strategic
objectives, and this agreement with Swiss Re is an example of what is
achievable with longstanding counterparties.”
Christian Mumenthaler, CEO Reinsurance Swiss Re, commented: "We are
delighted to continue our long term partnership with AIG, providing
solutions across their business. We know this portfolio, the leaders,
and the underwriters very well and believe in AIG's plans. As a result,
we are happy to accompany them on this journey by taking a significant
position in this business. It's a transaction that allows both AIG and
Swiss Re to improve their diversification."
Non-GAAP Financial Measures
As referred to in this press release, return on equity means normalized
operating ROE excluding AOCI and DTA, and is a non-GAAP financial
measure. For additional information, see appendix of Strategic Actions
to Maximize Shareholder Value at https://www-160.aig.com/strategyupdate.
Certain statements in this press release constitute forward-looking
statements. These 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. It is
possible that actual results will differ, possibly materially, from the
anticipated results indicated in these statements. Factors that could
cause actual results to differ, possibly materially, from those in the
forward-looking statements are discussed throughout AIG’s periodic
filings with the SEC pursuant to the Securities Exchange Act of 1934.
American International Group, Inc. (AIG) is a leading global insurance
organization. Founded in 1919, today we provide a wide range of property
casualty insurance, life insurance, retirement products, mortgage
insurance and other financial services to customers in more than 100
countries and jurisdictions. Our diverse offerings include products and
services that help businesses and individuals protect their assets,
manage risks and provide for retirement security. AIG common stock is
listed on the New York Stock Exchange and the Tokyo Stock Exchange.
Additional information about AIG can be found at www.aig.com
| YouTube: www.youtube.com/aig
| Twitter: @AIGinsurance | LinkedIn: http://www.linkedin.com/company/aig.
These references with additional information about AIG have been
provided as a convenience, and the information contained on such
websites is not incorporated by reference into this press release.
AIG is the marketing name for the worldwide property-casualty, life and
retirement, and general insurance operations of American International
Group, Inc. For additional information, please visit our website at www.aig.com.
All products and services are written or provided by subsidiaries or
affiliates of American International Group, Inc. Products or services
may not be available in all countries, and coverage is subject to actual
policy language. Non-insurance products and services may be provided by
independent third parties. Certain property-casualty coverages may be
provided by a surplus lines insurer. Surplus lines insurers do not
generally participate in state guaranty funds, and insureds are
therefore not protected by such funds.
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Source: American International Group, Inc.
American International Group, Inc.