Introduction
American International Group, Incorporation, is todays leading international insurance company. AIG is publically traded company, and currently operating in more than 130 countries. The company did not started as big as it is today. It was founded by a young American named Cornelius Vander Starr during 1919 in Shanghai under the name of American International Underwriters (AIG, 2013). In later years, AIU experienced series of acquisitions and merges. By late 1960’s AIG was formed as a public company when American home began to be an important commercial and casualty insurer; during 1990-1999 AIG returned back to its roots in China when it received the first foreign insurance license after 40 years by the Chinese Government (AIG, 2013). By this time AIG became a well-known insurance group in the world.
Due to executive and management failures and failure in forecasting and underestimating the risk associated with credit default swaps CDS, in 2008 AIG got into financial crises (AIG, 2013). This is when the United States Government provided support to AIG, and prevented them from going out of business. As it wasn’t the insurance company that caused the crises in AIG the crises were due to CDs. Therefore, it was easy for the company to stand again because of its core business field which was insurance. After recovering from the crises AIG was able to payback the assistance they received from U.S government (AIG, 2013). Due to this, fact there is no doubt that the AIG has built up its reputation and position again in the domestic and international market.
Services
AIG is considered to be a service sector business. The company offers variety of insurance services for individuals and businesses. For businesses, AIG attempt...
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... of the India’s top insurance firms.
References
AIG . (2013, August 22). For Business. Retrieved from American Insurance Group: http://www.aig.com/business_3171_411334.html
AIG. (2013, 11 11). About Us. Retrieved from American International Group: http://www.aig.com/about-us_3171_437773.html
American International Group. (2013, June 3). For Individuals. Retrieved from American International Group: http://www.aig.com/individuals_3171_411333.html
James, R., & Vijay, A. (2005, September 20). Good and Bad Practices in Microinsurance. Mumbai, Maharashtra, India.
Maps of India. (2010). Top Insurance Companies in India. Retrieved from Business maps of India: http://business.mapsofindia.com/insurance/top-insurance-companies.html
Rao, A. V. (2011). Impact on Insurance Business with Special Reference to China, Japan and India. IUP Journal Of Risk & Insurance, 8(3), 57-80.
From the year 1997 to 1999, a mere span of 3 years, HIH Group made 7 acquisitions (Colonial General Insurance in 1997; Solart of Argentina in 1998; Nang Sen Insurance in February 1998; Cotesworth Group Ltd in April 1998; Great States Insurance Co of Arizona in June 1998; FAI Insur...
Aetna, Inc. was established in 1853 and offers health insurance options for purchase. The main product portfolios include health insurance products with medical, dental, pharmacy, behavioral health, group life and disability plans. This essay will analyze the company’s structure and environment and provide recommendations on strategies that the company could take to improve performance.
AIG’s corporate culture played a big role in its downfall. They seemed to be more concerned about their own personal gains in the short run than what the effects were going to be in the long run. The company did very poorly and accumulated billions of dollars in the red, and still many top executives were getting paid in cash bonuses after the bailout. These bonuses amounted to almost 2-3 times their salaries they earned before the bailout. AIG’s focus was on the reward system this placed little responsibility on executives who made poor decisions. This resulted in many believing AIG had neither concern nor acknowledgement to changing their ways. Also, shortly after the bailout AIG spent over $300,000 on a conference held in phoenix at a lavish resort. This did not sit very well with stakeholders. AIG executives and upper management time and time again were showing little change in business practices even after the bailout.
McFarlan, F. Warren. CareGroup. Ed. Robert D. Austin. N.p.: Harvard Business School, 2005. 1-22. Print.
(6) Hinton, Sean. (2008, March). General Electric Company (GE). Wikinvest Retrieved March 3, 2008, from http://www.wikinvest.com/stock/General_Electric_Company_(GE)
Investment banks, Rating agencies and Insurance companies are key components of the financial market. In this presentation, I’m going to explain how these three key roles worked together to create the 2008 financial crisis.
Business Insurance News, Analysis & Articles. Web. The Web. The Web.
Rousmaniere, Peter. “Facing a tough situation.” Risk & Insurance 17.7 (June 2006): 24-25. Expanded Academic ASAP. Web. 23 March 2011.
In today’s global world, multinational corporations (MNCs) need to find new markets to stay competitive. A way in which they can do this is through IJVs. Hyder and Ghauri (2000) estimate the growth of IJVs to be 25% annually.
The forced liquidation of some $3 trillion in private label structured assets has been deprived from the financial markets and the U.S. economy has obtained a vast amount of liquidity that the banking system simply cannot restore. It is not as easy to just assign blame within these case however it is noted that the credit rating agencies unethical decisions practices helped add onto the financial crisis of 2008 and took into account the company’s well-being before any other stakeholders.
exposure it had in its business model. AIFS received most of its revenues in American Dollars
Although insurance has been around for centuries, Sidney R. Garfield, a young surgeon, took the initiative and laid the foundation...
After hours of independently researching the field of Actuarial Science, I contacted Mr. Michael Miller. Mr. Miller is the Director of Insurance Pricing at Catlin Inc., a private insurance company in Atlanta, Georgia. With a Masters of Science in Mathematics and classification as a Fellow of Casualty Actuarial Society, Mr. Miller has thrived in the field of Actuarial Science for twenty years. He has even achieved the position of President of the Casualty Actuarial Society of the Southeast.
Deloitte & Touche (2011, December). Opportunities and Challenges for Private Providers. Retrieved from https://www.deloitte.com/assets/Dcom-Lebanon/Local Assets/Documents/Consulting/Consulting Healthcare publication FV2.pdf
According to Pease (2012), an international organization are conceived as formal institutions whose members are states and these are divided into two sub-groups called intergovernmental organizations (IGO) and non-governmental organizations (NGO). An IGO consists of states that voluntarily join, contribute financially, and assist in the decision making process. All of their members’ resolves, structures, and administrative protocols are clearly outlined in the treaty or charter. An example of an IGO is the North Atlantic Treaty Organization (NATO). First, all IGOs comes from an established government which can be further categorized by rules of membership which qualifies NATO because it is an alliance of about 30 members from North America and Europe. Secondly, IGOs can have limited participation in membership or restricted membership which qualifies NATO because this is a security agreement and it limits its involvement by confining it to an amalgamation of specific governmental, geographical, and martial considerations. Thirdly, IGOs are categorized by their purpose meaning the member can be multi or general purpose organization and they can take on any global issue (Pease, 2012). This qualifies NATO because over the years the organization has participated in several international war related issues such as the Korean War and the Cold War. Most recently, NATO, for the first time in history had to engage Article 5 of the treaty after the 9/11 attacks in New York City and the no-fly zone in the country of Libya.