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Former AIG Chief Executive Maurice “Hank” Greenberg urged the insurer to delay its annual general meeting scheduled to take place tomorrow, citing in a letter to the board that the company is in “crisis”. The board, however, sees no need to postpone the meeting, according to a company spokesperson.     “Several top shareholders of… Continue reading AIG to Hold Annual Meeting as Former Company CEO Greenberg Urges Delay

On Monday Allstate Insurance agreed to refund $51.6 million to its Texas customers for overcharges in homeowners insurance, but the insurer will not have to return another $19.2 million in overcharges under a settlement with state regulators.     The agreement between the insurer and the Texas Department of Insurance – which resolves a long-standing… Continue reading Allstate to Refund Texas Homeowners $51.6 Million

Speaking at a public hearing at the invitation of the New York State Assembly Standing Committee on Insurance, the Professional Insurance Agents of New York State Inc. last week said it favors adoption of Assembly Bill A.8068. The bill would enable New York state to join the Interstate Insurance Compact, which seeks to create uniformity… Continue reading PIANY Supports State-based Regulation of Insurance Industry

NCCI Holdings, Inc. released its annual “State of the Line” workers compensation market analysis. This year’s report indicates that the workers compensation calendar year combined ratio stands at 99%—the second consecutive year that the line has realized an underwriting profit, albeit a 6-point deterioration from 2006. “We are pleased to report solid overall results for… Continue reading NCCI Workers Comp Analysis: Optimistic for Short-term, Cautionary in the Long-term

The Wall Street Journal said on Monday that International Lease Finance Corp, a unit of American International Group, is worried by the insurer’s financial troubles and mulling a split from it. The publication cited sources familiar with the matter. Officials at ILFC, a giant buyer of commercial aircraft which leases planes to air carriers, are… Continue reading Wall Street Journal Reports: ILFC Considers Split from AIG

On Monday mortgage insurer Radian Group Inc reported its first-quarter profit increased 72 percent due to unrealized gains on derivatives and securities. Excluding the gains, Radian swung to a loss during the first quarter. Net income increased to $195.6 million, or $2.44 per share, for the quarter ending March 31, from $113.5 million, or $1.42… Continue reading Radian Reports First-Quarter Unrealized Gains

Due to hefty payouts on default claims and charges to write off its investment in bond insurer FGIC, mortgage insurer PMI Group Inc. reported today a first-quarter loss from year-ago profit.    Delinquencies and defaults among mortgages have increased rapidly over the past year. For each default and foreclosure, PMI is forced to pay out… Continue reading PMI Swngs into First-Quarter Decline

Today Morgan Stanley raised a $4 billion infrastructure fund, exceeding its target, and is targeting investments in sectors like transportation, energy and utilities.     At $4 billion, the fund shot past its original target of $2.5 billion, raising capital in North America, Europe, Australia, the Middle East and Asia, Morgan Stanley said in a… Continue reading Morgan Stanley Raises Billions for Infrastructure

MBIA reported today an unexpectedly large first-quarter loss, hit by a loss on revenue of $2.96 billion as the on-paper value of insured derivatives plunged.     The bond insurer said its net loss was $2.4 billion, or $13.03 a share, in the three months ended March, compared with a profit of $198.6 million, or… Continue reading Huge Loss for MBIA in First Quarter

American International Group’s whopping $7.81 billion first quarter loss (See related article) brought an immediate reaction from Standard & Poor’s Ratings Services. S&P has lowered its counterparty credit ratings on AIG, and several of its subsidiaries with ratings that are based on AIG guarantees, to ‘AA-/A-1+’ from ‘AA/A-1+’.        S&P also lowered its rating on… Continue reading S&P Lowers AIG’s Ratings; On CreditWatch/Negative