AIG, the largest insurance company in the world, has created a new insurance department, through its Domestic Brokerage Group member company, to serve the real estate industry and provide more direct access to the AIG Group's existing portfolio of real estate coverages. Meanwhile, more senior management have been subpoenaed by the SEC over accounting problems.
The Domestic Brokerage Group has formed AIG Real Estate Solutions, a consolidated unit focused on serving the insurance and risk management needs of the real estate sector, including real estate investment trusts (REITs), fiduciaries and trusts, property management firms, real estate developers and commercial property owners.
As part of the new unit, dedicated product integration teams have been established throughout the US to facilitate broker communication and provide access to the real estate experts and insurance products provided by the AIG Companies.
The new unit will provide such insurance services as: general property insurance/property terrorism insurance; primary general liability, lead umbrella and excess follow form insurance and professional liability insurance amongst others.
John Willett of Lexington Insurance Company will serve as practice leader for the new organization. He will report to John Keogh, senior executive of AIG Real Estate Solutions and president and CEO of National Union Fire Insurance Company of Pittsburgh.
AIG Real Estate Solutions is designed to serve as a single access point for agents and brokers who service the real estate market, said Keogh. By creating a unit that serves as a gateway to the coverages and claims management capabilities of the AIG Domestic Brokerage Group, we will be able to streamline the way we interact with real estate clients and help them build a comprehensive tower of insurance that covers their complete risk profile.
Meanwhile, it has been revealed that up to 12 more senior executives from the insurance titan are to be questioned by the SEC over accounting issues. US officials are currently investigating potential accounting irregularities that may have been used by AIG to bolster financial reports.
Additionally, reports from the Wall Street Journal suggest that Maurice Greenberg, who was stripped of his CEO position at the company, will retire from the position of chairman in the near future.