AIG 2011 Annual Report Download - page 21

•Property: Includes industrial and commercial property insurance products and energy, which cover
exposures to man-made and natural disasters.
•Specialty: Includes environmental, political risk, trade credit, surety, marine, and aerospace insurance, and
various product offerings for SMEs.
•Financial Lines: Includes various forms of professional liability insurance, including directors and officers
(D&O), fidelity, employment practices, fiduciary liability, network security, kidnap and ransom, and errors
and omissions liability insurance that protect individual insureds and corporate entities.
Consumer Insurance provides personal insurance solutions for individuals and families, including A&H, specialty
coverages for high net-worth individuals, and homeowner and automobile insurance.
Consumer product lines:
•Accident & Health: Includes voluntary and sponsor-paid personal accidental and supplemental health
products, including accidental death and disability, accidental medical reimbursement, hospital indemnity and
medical excess for individuals, employees, associations and other organizations. It also includes a broad
range of travel insurance products and services for leisure and business travelers, including trip cancellation,
trip interruption, lost baggage, travel assistance and concierge services.
•Personal Lines: Includes automobile, homeowners and extended warranty insurance. It also includes
coverages for high net worth individuals (offered through Chartis Private Client Group), including umbrella,
yacht and fine art coverages, and consumer specialty products, such as identity theft and credit card
protection.
•Life Insurance: Includes life products offered primarily through Fuji Life Insurance Company Ltd.
Chartis Other consists primarily of certain run-off lines of business, including excess workers’ compensation and
asbestos, certain Chartis expenses relating to global corporate initiatives, expense allocations from AIG Parent, net
investment income allocations not attributable to Commercial Insurance or Consumer Insurance segments,
realized capital gains and losses (including foreign currency transactions), the 2010 bargain purchase gain relating
to the purchase of Fuji and gains relating to the sale of properties.
Chartis seeks to provide value for people and businesses worldwide through the identification and efficient
management of risk. In pursuing this mission and in growing its intrinsic value, Chartis has established strategic
initiatives in four key areas:
•Business Mix Changes: Grow in higher value lines of business and geographies.
•Loss Ratio Improvement: Reduce loss costs and improve the efficiency and servicing of customer claims
through improved claims practices and enhanced technology.
•Expense Discipline: Improve efficiency, reducing recurring operating expenses by leveraging its global
footprint and expanded use of shared services.
•Risk Selection: Continue to enhance pricing and risk-selection tools through better data mining, science and
technology investments.
Initiatives in these areas are helping Chartis to direct its capital and resources to optimize financial results,
while acknowledging that performance in these areas may vary from quarter to quarter depending upon local
market conditions, such as pricing and the effects of foreign exchange rates or changes in the investment
environment. Chartis continues to further grow its higher value and less capital intensive lines of business and to
AIG 2011 Form 10-K 7
CONSUMER INSURANCE
CHARTIS OTHER
CHARTIS BUSINESS STRATEGY