Copyright Reuters
Business and individuals have continued to spend on policies to protect against financial risks and natural disasters, helping insurance companies rake in the gains. Sign up here. The company's quarterly general insurance underwriting income jumped 81% to $793 million from last year. General insurance net premiums written, on a comparable basis, fell about 1% year-over-year in the three months ended September 30. AIG's general insurance combined ratio came in at 86.8% in the third quarter, compared with 92.6% a year earlier. A ratio below 100 indicates that the insurer earned more from premiums than it paid out in claims. "This significant growth reflects AIG's strength in underwriting, the focused repositioning of our investment portfolio, our expense management and our disciplined deployment of capital," CEO Peter Zaffino said in a statement. Net investment income at the insurer, however, fell 21% to $772 million in the third quarter, driven by a change in fair value of AIG's equity interest in Corebridge — where it still retains a stake. The company — one of the world's largest commercial insurers — reported adjusted after-tax income attributable to common shareholders of $1.23 billion, or $2.20 per share, in the three months ended September 30, compared with $804 million, or $1.24 per share, a year earlier. The company announced strategic investments in Convex Group and Onex Corporation on October 30, a global specialty insurer and an asset manager, respectively. Reporting by Pritam Biswas in Bengaluru; Editing by Alan Barona
