You have to believe that Spitzer hit a road block when coming upon AIG and their ill practices.
I think AIG pointed out to Spitzer the dangerous ground he was treading on what with AIG’s influence in Washington. It’s a shame that Spitzer couldn’t or wouldn’t run all the way with the ball-he stopped short or was forced to stop short.
I’d like to know the premium volume Marsh did with AIG over the past five years and then tell me there was no abuse, collusion, bid rigging, price fixing,etc., between them.
AIG’s profit must also be attributed to picking up, essentially as a market of last resort, MANY PEO’s that lost Work Comp coverage when CNA finally BAILED on the PEO’s they supported. AIG is obtaining much more stringent pricing, and applying more stringent underwriting and offers only SHORT TERM contracts as a message to inscrupulous PEOS.
Proper pricing and underwriting, brings PROFIT. Anything less is a PONZI SCHEME.
AIG’s profitability needs to balanced againt it detrimental effect to the business community. The cost of insurance reduces the profitability of each business. As a general statement, while this level of profitability is a good thing for AIG, it is a not a good thing for the economomy as a whole. Each dollar earned by AIG in excess of the cost and reasonable profit simply makes everything else more expensive.
The pricing of insurance, and the reality of risk, should be in reasonable balance, resulting in an even profit margin. However, this level of profitability coupled with the actual manifested risks this year would appear to be too much of a good thing for AIG and not a good one for individual business.
You have to believe that Spitzer hit a road block when coming upon AIG and their ill practices.
I think AIG pointed out to Spitzer the dangerous ground he was treading on what with AIG’s influence in Washington. It’s a shame that Spitzer couldn’t or wouldn’t run all the way with the ball-he stopped short or was forced to stop short.
I’d like to know the premium volume Marsh did with AIG over the past five years and then tell me there was no abuse, collusion, bid rigging, price fixing,etc., between them.
AIG’s profit must also be attributed to picking up, essentially as a market of last resort, MANY PEO’s that lost Work Comp coverage when CNA finally BAILED on the PEO’s they supported. AIG is obtaining much more stringent pricing, and applying more stringent underwriting and offers only SHORT TERM contracts as a message to inscrupulous PEOS.
Proper pricing and underwriting, brings PROFIT. Anything less is a PONZI SCHEME.
AIG’s profitability needs to balanced againt it detrimental effect to the business community. The cost of insurance reduces the profitability of each business. As a general statement, while this level of profitability is a good thing for AIG, it is a not a good thing for the economomy as a whole. Each dollar earned by AIG in excess of the cost and reasonable profit simply makes everything else more expensive.
The pricing of insurance, and the reality of risk, should be in reasonable balance, resulting in an even profit margin. However, this level of profitability coupled with the actual manifested risks this year would appear to be too much of a good thing for AIG and not a good one for individual business.