|AIG’S NATIONAL UNION TO OFFER POLICYHOLDERS ACCESS TO Y2K COMPLIANCE AUDIT SERVICES|
NEW YORK, January 11, 1999 – National Union Fire Insurance Company of Pittsburgh, Pa., a member company of American International Group, Inc. (AIG), has announced that it is offering Directors and Officer (D&O) Liability insureds access to a Year 2000 (Y2K) compliance audit services program designed to help insureds meet Securities and Exchange Commission (SEC) Y2K disclosure requirements. The program is conducted by American International Technology Enterprises, Inc. (AITE), a subsidiary of AIG member company AIG Data Center, Inc., and Ascent Logic Corporation, a San Jose, California-based provider of enterprise risk management software. Under the program, AITE will conduct a survey of a D&O insured's Y2K compliance efforts, following SEC guidelines, to confirm the effectiveness of measures taken by the insured, to raise awareness of any compliance inadequacies and to educate the insured of any further steps that may need to be taken. The AITE survey results are held in strict confidence between the insured and AITE.
The AITE survey is estimated to cost $3,000 for the first audited site; however, National Union will reimburse 50 percent of the survey costs for the first audited site for D&O GoldSM policyholders with $5 million or more of liability coverage. D&O Gold is a Directors, Officers and Corporate Liability policy that includes coverage for Y2K exposures and incorporates over 40 additional enhancements addressing securities claims, bankruptcy, employment practices liability, pollution liability and other risks.
Insureds can also access the services of Ascent Logic, a leader in enterprise risk management. At their own cost, an insured may utilize Ascent Logic's risk assessment services, including Year2000Plus, a program designed to help an organization identify the risks inherent in its Y2K remediation plans, understand and manage the risk over time. Ascent Logic will also help the insured put in place measures to work towards Y2K compliance.
“With Y2K related liability a major issue for many companies, the effectiveness of compliance measures is a critical factor in minimizing exposures and complying with the most recent disclosure requirements of the SEC,” said John Cavoores, President, National Union. “By providing our insureds with access to the services of AITE and Ascent Logic, we can help them ensure they are effectively moving towards Y2K compliance. This follows our tradition of providing some of the most powerful and effective loss prevention products in the industry.”
Ascent Logic Corporation founded in 1987, is the world leader in enterprise risk management. Ascent Logic's software and services offer an automated approach to risk and complexity management and related consulting and training services. Ascent Logic develops, markets and supports the Year2000PlusTM software suite to address the special problems associated with large legacy systems and the Year 2000 computer problem. Customers have realized additional value from use of the Ascent Logic product to support ongoing and future IS process definition and improvement. ALC's Year2000PlusTM software products are employed worldwide by global 5000 companies to manage risk and triage of their Year 2000 conversion efforts. Headquartered in San Jose, California, Ascent Logic Corporation is a privately held, venture-capital funded company with sales, support offices and affiliates in the United States, Europe, South America and Asia. More information about ALC can be obtained on the Internet, by accessing http://www.alc.com.
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 services insurance in approximately 130 countries and jurisdictions, and are engaged in a range of financial services 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.