AIG’s third-quarter net income fell 77% to $US459 million ($711.45 million), partly due to the sale of Corebridge to Nippon Life.  

From continued operations, net income was down 31%.

In general insurance, the combined operating ratio widened to 92.6% from 90.5% a year earlier and underwriting income fell 28% to $US437 million ($677.35 million).  

Catastrophe losses were $US417 million ($646.35 million), mostly from windstorms and hail in North America.  

“In a challenging catastrophe environment, this performance is remarkable,” chairman and CEO Peter Zaffino said. AIG achieved “meaningful growth” in the quarter, led by the global commercial business, he says.

“AIG delivered excellent third-quarter financial results with strong profitability and growth across our businesses highlighting the quality of the underwriting portfolio. These results demonstrate AIG’s ability to consistently deliver underwriting excellence and capital management discipline and the successful execution of our priorities.”

Gross written premium fell 3% to $US8.6 billion ($13.33 billion) and net premium written fell 1% to $US6.4 billion ($9.92 billion), dented by the sale of Validus Re.

On a like-for-like basis, net premium written was up 6% year on year, driven by 7% growth in global commercial lines, which added $US1.1 billion ($1.71 billion) of new business.  

North American commercial lines achieved 11% growth, with new business growth of 22%.

AIG says about half of insured natural catastrophe losses were absorbed by the reinsurance market from 2017 to 2022, but a “major market reset in 2023” meant 90% of losses were retained by primary insurers.