Questions about AIG as a current market

[mightyquinn]

I'm curious to know:

[1] if anyone is still placing business with the AIG P&C companies after all the ado;
[2] how your insureds are reacting to being insured by AIG companies.; and
[3] If you are still placing business with AIG, are you securing "chicken" letters which are usually required for less than "A" rated insurers for, especially, long tail risks such as contractors?

What ye say?

[LadyBroker]

We are still writing with them on the Excess/Surplus lines side, and most of our retailers are not too terribly concerned. I have had some smaller accounts renew away from AIG, but it's not a major trend for me, yet. What I am seeing more is the retailer asking me for options for other carriers...then AIG comes in less, and guess what? They bind the lower premium with AIG...so some things really don't ever change.

It could get more dicey if their rating gets down-graded, though.

[gregcw]

We're still quoting and writing their personal auto, the only area that we have affiliation with them. Their rating is still A* Under Review. While this is still a serious drop from A++ and not a positive indication, they are still an admitted carrier and I will still not be extremely concerned unless they fall below an A-. They still appear to be operating well and their problems do not appear to be related to their insurance operations. I have not heard that they are tapping into their reserves and cannot see the Fed's or the states allowing them to do that

I am, however, less inclined to work with them as a non-admitted (excess & surplus lines) carrier, even with the
A* Under Review since then the Guarantee Fund would not apply.