American International Group (AIG) has announced that it has finalized its agreement with funds managed by Stone Point Capital to form Private Client Select Insurance Services (PCS), an independent Managing General Agency (MGA) to serve High Net Worth and Ultra High Net Worth markets.
Stone Point is a private equity firm focused on investing in businesses within the global financial services industry.
Earlier this year in February, AIG’s Private Client Group (PCG) announced the business will move to this new independent platform and be rebranded.
PCG personnel, alongside its experienced leadership team led by President and Chief Executive Officer (CEO), Kathleen Zortman, will transfer to the new MGA once it is formed.
In February, Peter Zaffino, the Chairman and CEO of AIG commented, “As previously disclosed, AIG has been exploring structures that, over time, will allow PCG to be supported by third-party capital providers, including AIG and its innovative syndicate at Lloyd’s, referred to as Syndicate 2019. By partnering with a world-class private equity firm like Stone Point, we can maximize the strengths of this business and improve product offerings to better serve the High and Ultra High Net Worth markets.”
This is subject to customary regulatory approvals, and PCS is expected to begin producing business in the third quarter of 2023. The terms of the transaction have not been disclosed.
