|AIG'S JOINT VENTURE INSURANCE COMPANY IN ISRAEL RECEIVES LICENSE TO MARKET LIFE INSURANCE|
NEW YORK, June 9, 1999 - American International Group, Inc. (AIG) has announced that its joint venture insurance company in Israel, AIG Golden Insurance Ltd. (AIG Golden), has been granted a license to market comprehensive life insurance in addition to approval of its first life insurance product, a mortgage loan protection plan. AIG Golden is a joint venture formed in 1996 between AIG and Aurec Group (Aurec), a leading Israeli communications, media and information services company.
R. Kendall Nottingham, AIG Executive Vice President-Life Insurance, commented, "We are pleased that the Ministry of Finance has granted AIG Golden these new life insurance licenses to complement the company's existing property-casualty and accident and health insurance businesses in Israel. We view Israel as a growth market for insurance and financial services, and with Aurec's understanding of the market, AIG Golden will provide Israeli insurance consumers with a broad mix of insurance options for both individuals and small businesses."
AIG Golden currently offers automobile and homeowners insurance as well as personal accident, and sickness and hospitalization coverages with an emphasis on direct distribution to consumers and small businesses. AIG member company United Guaranty Corporation has a majority ownership in Ezer Mortgage Insurance Company, Ltd. (EMI), the first mortgage insurance company established in Israel.
AIG is the leading U.S.-based international insurance organization and the largest underwriter of commercial and industrial insurance in the United States. Its member companies write property, casualty, marine, life and financial lines insurance in approximately 130 countries and jurisdictions, and are engaged in a range of financial services and investment management businesses. American International Group, Inc.'s common stock is listed on the New York Stock Exchange, as well as the stock exchanges in London, Paris, Switzerland, and Tokyo.
The Aurec Group is a leading provider of communications, media and information services. It is jointly owned by the Morris Kahn group and the U.S. telecommunications company SBC Communications Inc. (formerly Southwestern Bell Corporation). Today, more than 6,000 professionals are employed at Aurec's offices in Israel and around the world. Aurec is working to extend its current range of services to customers worldwide, including developing new services in the high-growth field of telecommunications.