|LEXINGTON INSURANCE COMPANY LAUNCHES TAX INTERRUPTION INSURANCE|
New Product Offering Protects Municipalities Against Tax Revenue Losses Resulting from Property Damages
NEW YORK--Feb. 28, 2005--Lexington Insurance Company, a member company of American International Group, Inc. (AIG), today launched Tax Interruption Insurance, a new product that responds to the financial losses a municipality suffers when sales, property, or other scheduled tax revenue streams are disrupted as a result of physical loss or damage to a commercial location.
"A municipality can suffer significant loss of tax revenue when a business located within that municipality experiences a property loss. Tax Interruption Insurance fills a vital need for municipalities that cannot afford to remain vulnerable to this exposure," said Kevin Kelley, Chairman and Chief Executive Officer of Lexington Insurance Company.
A new stand-alone coverage for public entities, Lexington's Tax Interruption Insurance is designed for municipalities with populations of up to 50,000. Coverage is triggered when an insured peril causes direct physical loss or damage to real or personal property at a business location specified on the policy, which results in that business' non-payment of sales, property, or other scheduled tax revenue to the municipality. Specified locations can range from local manufacturing plants, to retail shops and super stores. Municipalities can purchase aggregate policy limits of up to $20 million.
For more information on Tax Interruption Insurance, please contact Bernie Fitzgerald, Lexington's Director of New Programs, at (617) 772-4594 or email AIRisk2@aig.com.
American International Group, Inc. (AIG) is the world's leading international insurance and financial services organization, with operations in more than 130 countries and jurisdictions. AIG member companies serve commercial, institutional and individual customers through the most extensive worldwide property-casualty and life insurance networks of any insurer. In the United States, AIG Companies are the largest underwriters of commercial and industrial insurance and AIG American General is a top ranked life insurer. AIG's global businesses also include financial services, retirement services and asset management. AIG's financial services businesses include aircraft leasing, financial products, trading and market making. AIG's growing global consumer finance business is led in the United States by American General Finance. AIG also has one of the largest U.S. retirement services businesses through AIG SunAmerica and AIG VALIC, and is a leader in asset management for the individual and institutional markets, with specialized investment management capabilities in equities, fixed income, alternative investments and real estate. AIG's common stock is listed on the New York Stock Exchange and ArcaEx, as well as the stock exchanges in London, Paris, Switzerland and Tokyo.
*Insurance is underwritten by member companies of American International Group, Inc., and is subject to underwriting review and approval. The description herein is a summary only. It does not include all terms, conditions and exclusions of the policies described. Please refer to the actual policies for complete details of coverage and exclusions. Coverage may not be available in all states. Non-insurance products may be provided through independent third parties.