I’ve been asked by many clients and those outside of the industry about AIG, and their ability to service their current insurance book. Due to all the bad press they have received from the US and around the globe, there’s no wondering why.

We have dealt with AIG for many years now, and we have been notified that their balance sheets are in order, and must be according to the Australian Securities and Investment Commission (I’ll talk about this later in another post). They are also in the process of changing their name to AIA. This is solely due to the bad PR over the recent months, and with America’s ever downward spiralling economy, there may be more to come.

AIG held an industry meeting recently in Brisbane to give a run down of the new structure which included an outline of their separation to their US parent company, forming an independent unit for the Asia/Pacific region. This should give policy holders some additional peace of mind knowing that they are doing something to combat this crisis.

Their new name and brand will be AIA. They used to trade as this, but for some reason changed to AIG many years ago. But as far as business strength goes, AIG is as good as any other.

PD