American International Group today said it has a definite agreement to acquire the renewal rights of Everest Group’s retail commercial insurance business.
Everest will focus on its reinsurance, global wholesale and specialty insurance businesses.
The renewal rights of Everest’s retail commercial business total about $2 billion of aggregate gross premiums written.
“We expect these renewal rights transactions to drive incremental growth in our general insurance portfolio, and we will be able to write these policies within our existing balance sheet with no incremental capital required,” said Peter Zaffino, chairman and CEO at AIG.
AIG said exposure to liabilities will remain with Everest, who will also continue to administer claims from its policies. AIG will get the rights to renew commercial retail business in the U.S., U.K., Europe, and Asia Pacific.
“Today’s strategic action results in a more focused, higher-performing Everest,” said Jim Williamson, Everest president and CEO. “Going forward, Everest will be optimally positioned to respond to evolving market needs while building on our track record of sustainable financial returns over the long term.”
AIG said it expects to start writing policies for existing Everest clients, except in the EU, on January 1, 2026. During the first quarter 2026 AIG foresees doing the same in the EU.
Terms of the deal, which is subject to regulatory approvals, were not disclosed.
Everest also announced a new operating structure for new insurance division, which Everest Global Markets and Everest Evolution, as well as underwriting programs, credit and political risk, surety, and accident & health business lines.
Jason Keen has been appointed CEO of Global Wholesale and Specialty Insurance and will lead efforts to strengthen Everest’s position in the E&S market.
Zaffino said AIG will work closely with the Everest team “to ensure a seamless transition for clients and brokers,” and the company with continue to work with Everest as a reinsurance partner.
The additions to the portfolio with fall within AIG’s General Insurance segment, which will be led by former Lloyd’s CEO John Neal, who was hired in July and starts at AIG on Dec. 1.
Earlier this month, AIG announced the retirement of Don Bailey, head of commercial insurance in North America, at the end of the year. Beginning Jan. 1, Allison Cooper and Barbara Luck will be co-presidents of AIG’s retail commercial business in North America. Lou Levinson will be president of wholesale for North America Commercial.
For the second quarter General Insurance posted a combined ratio of 89.3 compared with 92.5 a year ago during the same period. Premium growth was driven by 4% growth in North America commercial, where underwriting income jumped 58% to $301 million. Underwriting income for International commercial was up 30% to $300 million in Q2.
Was this article valuable?
Here are more articles you may enjoy.
World’s Largest Retirement Community Taps Muni Market to Help Build More Homes 
The Future of the Agency in a World of AI 
AWS Outage a ‘Moderate Incident,’ Another Near Miss for Insurance Industry 
A 7-Minute Louvre Heist Leaves Behind DNA and Dropped Crown 
