AIG 2005 Annual Report Download - page 30

28 AIG at a Glance
Domestic Brokerage Group
The principal units of the Domestic Brokerage
Group (DBG) provide the widest available
range of commercial and industrial coverages.
■National Union Fire Insurance Company of
Pittsburgh, Pa. is the leading provider of
directors and officers, employment practices
liability, network security insurance, fidelity/
crime coverage and a premier underwriter of
professional liability and fiduciary coverages.
■American Home Assurance Company is
the leading provider of excess casualty
liability insurance and a leading workers
compensation insurer.
■Lexington Insurance Company is the largest
excess and surplus lines carrier, specializing in
difficult-to-place property and casualty risks.
■AIG Environmental is the leading provider of
environmental coverages and services.
Foreign Life Insurance & Retirement Services
AIG’s Foreign Life Insurance & Retirement
Services operations are conducted principally
through the following market-leading
companies:
■American International Assurance Company,
Ltd. is AIG’s flagship life insurance company for
Southeast Asia and the largest life insurer in
the region. Its extensive network of branches,
subsidiaries and affiliates spans Australia,
Brunei, China, Guam, Hong Kong, India,
Indonesia, Macau, Malaysia, New Zealand,
Singapore, South Korea, Thailand
and Vietnam.
The businesses in AIG’s Financial Services
Group are leaders in the markets they serve.
■International Lease Finance Corporation
(ILFC) is AIG’s aircraft finance business. ILFC
is a market leader in the leasing and remarket-
ing of new advanced technology commercial
jet aircraft worldwide.
■AIG Global Investment Group (AIGGIG)
manages equities, fixed income, private equity,
hedge funds of funds and real estate invest-
ments for institutional, individual and high-net-
worth investors around the world. AIGGIG
ranks among the top five institutional asset
managers in the world.
General Insurance
AIG’s General Insurance operations
include the largest U.S. underwriters of
commercial and industrial insurance, the
most extensive international property-
casualty network, a personal lines business
with an emphasis on auto insurance and
high-net-worth clients and mortgage
guaranty insurance operations. AIG’s
leadership is a result of its underwriting
skill, innovative insurance solutions,
financial strength, superior service and
responsive claims handling. The AIG
claims operation gives clients access to a
vast worldwide network of dedicated
experts and top legal firms.
AIGataGlance
World leaders in insurance and financial services,
AIG has operations in more than 130 countries and jurisdictions.
Life Insurance & Retirement Services
Serving millions of customers around
the world, AIG’s growing global Life
Insurance businesses make up the most
extensive network of any life insurer.
Strategies for enhancing growth focus on
developing new markets, expanding
distribution channels and broadening
product offerings. AIG has one of the
premier Retirement Services businesses in
the United States. It also has an extensive
international retirement services network
to meet the growing needs of groups
and individuals in countries worldwide.
Asset Management
AIG’s Asset Management Group business-
es include institutional and retail asset
management, broker-dealer services, private
banking and spread-based investment busi-
ness from the sale of guaranteed investment
contracts, as well as the management of
AIG insurance invested assets. Businesses
in the Group leverage AIG’s deep knowl-
edge of markets around the world and
expertise in a wide range of asset classes.
Financial Services
AIG’s Financial Services businesses
specialize in aircraft and equipment
leasing, capital markets, consumer finance
and insurance premium finance. These
businesses complement AIG’s core
insurance operations and achieve a
competitive advantage by capitalizing
on opportunities throughout the
AIG global network.
’01
(b)
’02
(c)
’03 ’04
(d)
’05
(e)
1.77
1.27
4.54
2.95
1.98
General Insurance
Operating Income
(a)
(billions of dollars)
(a) Before realized
capital gains (losses).
(b) 2001 includes catastro-
phe losses of $867 million
(including World Trade
Center losses
of $769 million).
(c) 2002 includes General
Insurance loss reserve
charge of $2.1 billion.
(d) 2004 includes catastro-
phe losses of $1.05 billion,
and a $850 million
charge attributable to the
change in estimate
for asbestos and environ-
mental exposures.
(e) 2005 includes
catastrophe losses of
$2.89 billion, and
a fourth quarter reserve
charge of $1.82 billion.
’01
(b)
’02 ’03 ’04 ’05
5.03
5.55
6.57
7.88
9.06
Life Insurance &
Retirement Services
Operating Income
(a)
(billions of dollars)
(a) Before realized capital
gains (losses).
(b) 2001 includes World
Trade Center losses of
$100 million.
’01 ’02 ’03 ’04 ’05
1.77
2.13
1.18
2.18
4.28
Financial Services
Operating Income*
(billions of dollars)
* Includes the effect
of hedging activities
that do not qualify
for hedge accounting
under FAS 133.
’01 ’02 ’03 ’04 ’05
1.02
1.13
1.32
2.12
2.25
Asset Management
Operating Income
(billions of dollars)