Peter Zaffino, president and incoming Chief Executive Officer of AIG, has praised his firm for its 1/1 reinsurance renewal activity, particularly amid such a challenging market environment.
AIG restructured its core placements in every major general insurance treaty.
The company reduced the catastrophe per-occurrence attachment points in North America from $500 million to $200 million for all territories except the Southeastern Gulf, which remained at $500 million.
Additionally, AIG reduced the global shared aggregate limit retention in North America from $750 million to $500 million.
“We purchased the CAT program for PCG or high net worth business that protects Syndicate 2019 and AIG without taking on additional net limit. We’ve reduced our overall catastrophe premium costs by over $150 million,” said Zaffino.
In AIG’s casualty quota share, it improved the ceding commission by four points and reduced overall cession.
“We also introduced a new excess layer of $10 million excess to $15 million to remain consistent with our risk appetite,” Zaffino added.
“Those were just some of the highlights of our 1/1 renewal season. We are particularly pleased with the ongoing support we received from the global reinsurance market, particularly our core partners.”