www.aig.com Quentin McMillan (Investors):quentin.mcmillan@aig.com
Press Release Contacts: www.aig.com Quentin McMillan (Investors):quentin.mcmillan@aig.com Andrew Johnson (Media):andrew.r.johnson@aig.com
General Insurance net premiums written (NPW) of $6.7 billion, an increase of 7% year-over-year on a reported basis and 8% on a constant dollar basis*, driven by 7%* growth in Global Commercial and 9%* growth in Global Personal
General Insurance combined ratio of 91.3%, and Accident year combined ratio, ex- CAT* of 88.4%
General Insurance underwriting income of $564 million and accident year underwriting income, ex-CAT* of $756 million
General Insurance Net investment income of $1.0 billion, an increase of 9% year- over-year
Net income per diluted share of $1.60 and Adjusted after-tax income* (AATI) per diluted share of $2.06
Book value per share was $74.96, a decrease of 1% year-over-year and Adjusted book value per share* was $81.25, an increase of 5% year-over-year
Returned $787 million of capital to shareholders, through $527 million of share repurchases and $260 million of dividends
today reported financial results for the third quarter ended September 30, 2026.
“AIG delivered strong profitability and premium growth in the third quarter rounding out an outstanding first nine months of 2026,” said Eric Andersen, AIG President & Chief Executive Officer.
“We continue to make excellent progress toward achieving our 2025 Investor Day financial objectives. In the third quarter, Adjusted after-tax income was $1.1 billion, or $2.06 per diluted share. Core Operating ROE was 11.1% for the quarter and 11.4% for the first nine months of 2026 and adjusted book value per share grew 5% year-over-year.
“Growth was broad-based with net premiums written growing 8% year-over-year, or 10%* excluding North America Property, both on a constant dollar basis, driven by our Global Commercial and Global Personal Insurance businesses. Despite a more challenging market environment, we maintained strong underwriting performance, generating underwriting income of $564 million, with a calendar year combined ratio of 91.3% and an accident year combined ratio, ex-CAT, of 88.4%.
“Our results through the first three quarters of 2026 reinforce our momentum. Compared to the same nine-month period last year, we delivered double-digit top- line growth in premiums, exceeded $2 billion in underwriting income, and improved the combined ratio 140 basis points to 89.2% and the accident year combined ratio, ex-CAT, 50 basis points to 87.7%.
“Overall, this exceptional performance underscores the benefits of our diverse, global portfolio, the consistent execution of our strategy, and our focus on deepening relationships with our clients and partners.
"Our success is a direct reflection of our people. AIG’s depth of talent across every region and line of business is one of our greatest strengths. Because of our colleagues’ hard work and dedication, we are growing profitably and well positioned to build on our strong foundation."
* Refers to financial measure not calculated in accordance with generally accepted accounting principles (non-GAAP); definitions of non-GAAP measures and reconciliations to their closest GAAP measures can be found in this press release under the heading Comment on Regulation G and Non-GAAP Financial Measures.
($ and shares in millions, except per Three Months share Ended amounts) September 30, 2025 2026 ────────────────────────────────────────────────────────────────────────────── Net income attributable $ 519 $ 844 to AIG common shareholders Net income per diluted share $ 0.93 $ 1.60 attributable to AIG common shareholders Net investment $ 772 $ 1,100 income Net investment 1,024 1,075 income, APTI basis Adjusted pre-tax $ 1,622 $ 1,445 income (loss) General 1,734 1,586 Insurance Other -112 -141 Operations Adjusted after-tax income $ 1,226 $ 1,086 attributable to AIG common shareholders Adjusted after-tax income per diluted $ 2.20 $ 2.06 share attributable to AIG common shareholders Weighted average common shares 558.5 527.3 outstanding - diluted Return on 5.0 % 8.5 % equity Adjusted return on 11.6 % 10.3 % equity Core operating 13.6 % 11.1 % return on equity Book value $ 75.45 $ 74.96 per share Adjusted book value per $ 77.04 $ 81.25 share Adjusted tangible book $ 70.07 $ 73.37 value per share Core operating $ 66.66 $ 76.07 book value per share Common shares outstanding 544.5 518.7 (in millions)
For the third quarter of 2026, Net income attributable to AIG common shareholders was $844 million, or $1.60 per diluted common share, compared to $519 million, or $0.93 per diluted common share, in the prior year quarter. The increase was primarily due to changes in the fair value of AIG's investments as well as higher General Insurance Net investment income, higher earned premiums, strong accident year underwriting results, modestly increased catastrophe losses and lower net realized losses.
AATI was $1.1 billion, or $2.06 per diluted common share, compared to $1.2 billion, or $2.20 per diluted common share in the prior year quarter, reflecting lower underwriting income and lower Other Operations Net investment income.
Total Net investment income for the third quarter of 2026 was $1.1 billion, compared to $772 million in the prior year quarter, primarily due to changes in the fair value of AIG's investments and higher income on available for sale fixed maturity securities.
Total Net investment income on an adjusted pre-tax income* (APTI) basis was $1.1 billion, compared to $1.0 billion in the prior year quarter, due to higher General Insurance Net investment income, driven by higher income on available for sale fixed maturity securities.
AIG returned $787 million to shareholders in the third quarter of 2026 through $527 million of common stock repurchases, representing approximately 7 million shares, and $260 million of common stock dividends. On September 24, 2026, AIG issued €625 million aggregate principal amount of 4.250% Notes Due 2031 and €500 million aggregate principal amount of 4.750% Notes
Due 2036, which was equivalent to approximately $1.3 billion in the aggregate. At September 30, 2026, the total debt to total capital ratio was 20.8% and the total debt to total adjusted capital* ratio was 19.6%.
ROE and Core Operating ROE were 8.5% and 11.1%, respectively, in the third quarter of 2026. Book value per share was $74.96 as of September 30, 2026, a decrease of 1% from September 30, 2025. Adjusted book value per share was $81.25 and Adjusted tangible book value per share* was $73.37, both an increase of 5% from September 30, 2025.
On November 3, 2026, the AIG Board of Directors declared a quarterly cash dividend on AIG common stock of $0.50 per share. The dividend is payable on December 30, 2026 to shareholders of record at the close of business on December 16, 2026.
• Third quarter NPW of $6.7 billion increased 7% from the prior year quarter on a reported basis and 8% on a constant dollar basis, reflecting growth across Global Commercial and Global Personal Insurance businesses. Excluding North America Property lines, General Insurance NPW increased 10%* from the prior year quarter.
• Underwriting income was $564 million, driven by higher earned premiums, strong accident year underwriting results and modest catastrophe losses. Accident year underwriting income, ex-CAT was $756 million, up 6% from the prior year quarter.
• Total catastrophe-related charges were $283 million, representing 4.4 loss ratio points, driven by severe convective storms in North America, compared to extraordinarily low catastrophe losses of $100 million, representing 1.6 loss ratio points, in the prior year quarter.
• Third quarter 2026 included favorable prior year development (PYD), net of reinsurance and prior year premiums, of $91 million, compared to $180 million in the prior year quarter. Favorable development was driven by reserve releases across most lines of business.
• The combined ratio was 91.3%, compared with 86.8% in the prior year quarter, primarily reflecting higher catastrophe-related charges and lower favorable PYD, partially offset by a lower expense ratio. Accident year combined ratio, as adjusted* (AYCR) was 88.4%, compared with 88.3% in the prior year quarter, reflecting a higher accident year loss ratio, as adjusted* (AYLR), primarily due to changes in business mix, partially offset by a lower expense ratio.
• General Insurance net investment income was $1.0 billion, up 9% year-over- year, driven by the core fixed income portfolio.
(a) In the first quarter of 2026, AIG realigned and began reporting Amortization of intangible assets in General Insurance from Other Operations; historical results have been recast to reflect these changes.
• Third quarter NPW of $2.5 billion increased 2% from the prior year quarter, primarily driven by Retail Casualty and Financial Lines, partially offset by lower production in certain Property lines. Excluding North America Property lines, North America commercial NPW increased 6% from the prior year quarter.
• The combined ratio was 92.9%, compared with 82.6% in the prior year quarter, reflecting higher loss ratio, largely driven by lower net favorable PYD and higher catastrophe-related charges. The AYCR was 87.2%, compared to 85.4% in the prio r year quarter, reflecting higher AYLR and acquisition ratio, primarily due to changes in business mix, partially offset by lower general operating expense (GOE) ratio.
• Third quarter NPW of $2.4 billion increased 13% from the prior year quarter, both on a reported basis and a constant dollar basis, supported by broad-based geographic growth.
• The combined ratio was 88.3%, compared with 84.9% in the prior year quarter, reflecting higher loss ratio, driven by higher catastrophe-related charges and lower net favorable PYD, partially offset by lower expense ratio . The AYCR was 85.8%, compared with 86.0% in the prior year quarter, driven by lower GOE ratio, partially offset by hi gher AYLR, primarily due to changes in business mix .
• Third quarter NPW of $1.8 billion increased 6% from the prior year quarter, or 9% on a constant dollar basis, primarily driven by growth in the high net worth business and Accident & Health.
• The combined ratio was 93.2%, compared with 95.2% in the prior year quarter, reflecting lower loss ratio, driven by lower AYLR and higher net favorable PYD, partially offset by higher catastrophe-related charges and higher expense ratio. The AYCR was 93.6%, improving 190 basis points from 95.5% in the prior year quarter, reflecting lower AYLR and lower GOE, partially offset by a higher acquisition ratio. Changes in business mix contributed to both the lower AYLR and higher acquisition ratio.
(a) In the third quarter of 2025, AIG began excluding the net results of run-off businesses previously reported in General Insurance from Adjusted pre-tax income.
• Other Operations predominantly consists of Net investment income from our AIG Parent liquidity portfolio, Corebridge Financial, Inc. dividend income (prior to the final disposition in May 2026), corporate GOE, and Interest expense.
• Net Investment Income and Other was $45 million, compared to $72 million in the prior year quarter, which included $20 million of Corebridge Financial, Inc. dividends.
AIG will host a conference call tomorrow, Wednesday, November 4, 2026 at 8:30 a.m. ET to review these results. The call is open to the public and can be accessed via a live, listen-only webcast in the Investors section of www.aig.com . A replay will be available after the call at the same location. # # # Additional supplementary financial data is available in the Investors section at www.aig.com .
Certain statements in this press release and other publicly available documents may include, and members of management may from time to time make and discuss, statements which, to the extent they are not statements of historical or present fact, may constitute “forward-looking statements” within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. These forward‑looking statements are intended to provide management’s current expectations or plans for future operating and financial performance, based on assumptions currently believed to be valid and accurate. Forward-looking statements are often preceded by, followed by or include words such as “will,” “believe,” “anticipate,” “expect,” “expectations,” “intend,” “strive,” “plan,” “strategy,” “prospects,” “project,” “should,” “guidance,” “outlook,” “view,” “target,” “goal,” “estimate” and other words of similar meaning in connection with a discussion of future operating or financial performance. These statements may include, among other things, projections, goals and assumptions that relate to future actions, prospective services or products, future performance or results of current and anticipated services or products, sales efforts, expense reduction efforts, the outcome of contingencies such as legal proceedings, anticipated organizational, business or regulatory changes, the effect of catastrophic events, both natural and man-made, and macroeconomic and/or geopolitical events, anticipated dispositions, monetization and/or acquisitions of businesses or assets, the successful integration of acquired businesses, management succession and retention plans, exposure to risk, trends in operations and financial results, and other statements that are not historical facts.
All forward-looking statements involve risks, uncertainties and other factors that may cause actual results and financial condition to differ, possibly materially, from the results and financial condition expressed or implied in the forward-looking statements. Factors that could cause actual results to differ, possibly materially, from those in specific projections, targets, goals, plans, assumptions and other forward-looking statements include, without limitation:
• the impact of adverse developments affecting economic conditions in the markets in which we operate, including financial market conditions, macroeconomic trends, changes in trade policies, including tariffs, fluctuations in interest rates and foreign currency exchange rates, inflationary pressures, including social inflation, pandemics, and geopolitical events or conflicts;
• the occurrence of catastrophic events, both natural and man-made, which may be exacerbated by the effects of climate change;
• disruptions in the availability or accessibility of our or a third party’s information technology systems, including hardware and software, infrastructure or networks, and the inability to safeguard the confidentiality and integrity of customer, employee or company data due to cyberattacks, data security breaches or infrastructure vulnerabilities;
• our ability to effectively implement technological advancements, including the use of artificial intelligence (AI), and respond to competitors' AI and other technology initiatives;
• our reliance on third parties to provide certain business and administrative services;
• the effects of changes in laws and regulations, including those relating to privacy, data protection, cybersecurity and AI, and the regulation of insurance, in the U.S. and other countries in which we operate;
• our ability to adequately assess risk and estimate related losses as well as the effectiveness of our enterprise risk management policies and procedures;
• changes in judgments or assumptions concerning insurance underwriting and insurance liabilities;
• availability of adequate reinsurance or access to reinsurance on acceptable terms;
• the effectiveness of strategies to retain and recruit key personnel and to implement effective succession plans;
• our ability to successfully complete strategic transactions, including to successfully dispose of, monetize and/or acquire businesses or assets or successfully integrate acquired businesses, and the anticipated benefits thereof;
• difficulty in marketing and distributing products through current and future distribution channels;
• actions by rating agencies with respect to our credit and financial strength ratings as well as those of our businesses and subsidiaries;
• changes in judgments concerning the recognition of deferred tax assets and the impairment of goodwill;
• our ability to address evolving global stakeholder expectations and regulatory requirements including with respect to environmental, social and governance matters and to effectively execute on sustainability targets and standards;
• our ability to effectively implement restructuring initiatives and potential cost-savings opportunities;
• changes in accounting principles and financial reporting requirements or their applicability to us; and
• Part I, Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations (MD&A) in our Quarterly Report on Form 10-Q for the quarter ended September 30, 2026 (which will be filed with the Securities and Exchange Commission (SEC);
• Part I, Item 1A. Risk Factors and Part II, Item 7. MD&A in our Annual Report on Form 10-K for the year ended December 31, 2025; and
Forward-looking statements speak only as of the date of this press release, or in the case of any document incorporated by reference, the date of that document. AIG is not under any obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable law. Additional information as to factors that may cause actual results to differ materially from those expressed or implied in any forward-looking statements is disclosed from time to time in our filings with the SEC. # # # 9
Throughout this press release, including the financial highlights, AIG presents its financial condition and results of operations in the way it believes will be most meaningful and representative of its business results. Some of the measurements AIG uses are “Non-GAAP financial measures” under SEC rules and regulations. GAAP is the acronym for generally accepted accounting principles in the United States. The non-GAAP financial measures AIG presents are listed below and may not be comparable to similarly-named measures reported by other companies. The reconciliations of such measures to the most comparable GAAP measures in accordance with Regulation G are included within the relevant tables attached to this press release or in the Third Quarter 2026 Financial Supplement available in the Investors section of AIG’s website, www.aig.com.
Unless otherwise mentioned or unless the context indicates otherwise, we use the terms “AIG,” “we,” “us” and “our” to refer to American International Group, Inc., a Delaware corporation, and its consolidated subsidiaries.
AIG uses the following operating performance measures because AIG believes they enhance the understanding of the underlying profitability of operations and trends of AIG’s segments. AIG believes they also allow for more meaningful comparisons with AIG’s insurance competitors. When AIG uses these measures, reconciliations to the most comparable GAAP measure are provided on a consolidated basis.
is derived by excluding the items set forth below from income before income tax:
• changes in the fair values of equity securities, AIG's investment in Corebridge and gain/loss on sale of shares;
• net investment income on Fortitude Re funds withheld assets held by AIG in support of Fortitude Re’s reinsurance obligations to AIG (Fortitude Re funds withheld assets);
• all net realized gains and losses except earned income (periodic settlements and changes in settlement accruals) on derivative instruments used for non- qualifying (economic) hedging or for asset replication. Earned income on such economic hedges is reclassified from net realized gains and losses to specific APTI line items based on the economic risk being hedged (e.g. net investment income);
• restructuring and other costs related to initiatives designed to reduce operating expenses, improve efficiency and simplify our organization;
• the portion of favorable or unfavorable prior year reserve development for which we have ceded the risk under retroactive reinsurance agreements and related changes in amortization of the deferred gain;
• integration and transaction costs associated with acquiring or divesting businesses;
• non-recurring costs associated with the implementation of non-ordinary course legal or regulatory changes or changes to accounting principles.
Adjusted After-tax Income attributable to AIG common shareholders (adjusted after-tax income or AATI) is derived by excluding the tax effected APTI adjustments described above, noncontrolling interest on net realized gains (losses), other non-operating expenses and the following tax items from net income attributable to AIG:
• changes in uncertain tax positions and other tax items related to legacy matters having no relevance to our current businesses or operating performance.
See page 14for the reconciliation of Net income attributable to AIG to Adjusted After-tax Income attributable to AIG common shareholders.
Book value per share, excluding investments related cumulative unrealized gains and losses recorded in Accumulated other comprehensive income (loss) (AOCI) adjusted for the cumulative unrealized gains and losses related to Fortitude Re funds withheld assets (collectively, Investments AOCI) (Adjusted book value per share) is used to show the amount of our net worth on a per share basis after eliminating the fair value of investments that can fluctuate significantly from period to period due to changes in market conditions. In addition, we adjust for the cumulative unrealized gains and losses related to Fortitude Re funds withheld assets since these fair value movements are economically transferred to Fortitude Re. Adjusted book value per share is derived by dividing total AIG common shareholders’ equity, excluding Investments AOCI (AIG adjusted common shareholders' equity) by total common shares outstanding.
Book Value per share, excluding Investments AOCI, Goodwill, Value of business acquired (VOBA), Value of distribution channel acquired (VODA) and Other intangible assets (Adjusted tangible book value per share) is used to provide a useful measure of the realizable shareholder value on a per share basis after eliminating the fair value of investments that can fluctuate significantly from period to period due to changes in market conditions and Fortitude Re funds withheld assets since these fair value movements are economically transferred to Fortitude Re. Adjusted tangible book value per share is derived by dividing AIG adjusted common equity, excluding intangible assets, (AIG adjusted tangible common shareholders’ equity) by total common shares outstanding.
Book value per share, excluding Investments AOCI, deferred tax assets (DTA) and AIG’s ownership interest in Corebridge (Core operating book value per share) i s used to show the amount of our net worth on a per share basis after eliminating Investments AOCI, DTA and AIG’s ownership interest in Corebridge. We believe this measure is useful to investors because it eliminates the fair value of investments that can fluctuate significantly from period to period due to changes in market conditions. We also exclude the portion of DTA representing U.S. tax attributes related to net operating loss carryforwards (NOLs), corporate alternative minimum tax credits (CAMTCs) and foreign tax credits (FTCs) that have not yet been utilized. Amounts for interim periods are estimates based on projections of full-year attribute utilization. As NOLs, CAMTCs and FTCs are utilized, the corresponding portion of the DTA utilized is included. We exclude AIG’s ownership interest in Corebridge since it is not a core long-term investment for AIG. Core operating book value per share is derived by dividing total AIG common shareholders’ equity, excluding Investments AOCI, DTA and AIG’s ownership interest in Corebridge (AIG core operating shareholders’ equity) by total common shares outstanding.
Total debt to total adjusted capital ratio is used to show the AIG’s debt leverage adjusted for Investments AOCI and is derived by dividing total debt by total capital excluding Investments AOCI (Total adjusted capital). We believe this measure is useful to investors because it eliminates items that can fluctuate significantly from period to period due to changes in market conditions. In addition, we adjust for the cumulative unrealized gains and losses related to Fortitude Re funds withheld assets since these fair value movements are economically transferred to Fortitude Re.
Return on equity – Adjusted after-tax income excluding Investments AOCI (Adjusted return on equity) is used to show the rate of return on common shareholders’ equity excluding Investments AOCI. We believe this measure is useful to investors because it eliminates the fair value of investments which can fluctuate significantly from period to period due to changes in market conditions. Adjusted return on equity is derived by dividing actual or, for interim periods, annualized adjusted after-tax income attributable to AIG common shareholders by average AIG adjusted common shareholders’ equity.
Return on equity – Adjusted after-tax income excluding Investments AOCI, DTA and AIG’s ownership interest in Corebridge (Core operating return on equity) is used to show the rate of return on common shareholders’ equity excluding Investments AOCI, DTA and AIG’s ownership interest in Corebridge. We believe this measure is useful to investors because it eliminates the fair value of investments that can fluctuate significantly from period to period due to changes in market conditions. We also exclude the portion of DTA representing U.S. tax attributes related to NOLs, CAMTCs and FTCs that have not yet been utilized. Amounts for interim periods are estimates based on projections of full-year attribute utilization. As NOLs, CAMTCs and FTCs are utilized, the corresponding portion of the DTA utilized is included. We exclude AIG’s ownership interest in Corebridge since it is not a core long-term investment for AIG. We believe this metric provides investors with greater insight as to the underlying profitability of our property and casualty business. Core operating return on equity is derived by dividing actual or, for interim periods, annualized adjusted after-tax income attributable to AIG common shareholders by average AIG core operating shareholders’ equity.
Ratios: We, along with most property and casualty insurance companies, use the loss ratio, the expense ratio and the combined ratio as measures of underwriting performance. These ratios are relative measurements that describe, for every $100 of net premiums earned, the amount of losses and loss adjustment expenses (which for General Insurance excludes net loss reserve discount), and the amount of other underwriting expenses that would be incurred. A combined ratio of less than 100 indicates underwriting income and a combined ratio of over 100 indicates an underwriting loss. Our ratios are calculated using the relevant segment information calculated under GAAP, and thus may not be comparable to similar ratios calculated for regulatory reporting purposes. The underwriting environment varies across countries and products, as does the degree of litigation activity, all of which affect such ratios. In addition, investment returns, local taxes, cost of capital, regulation, product type and competition can have an effect on pricing and consequently on profitability as reflected in underwriting income and associated ratios.
Accident year underwriting income, ex-CAT, Accident year loss and Accident year combined ratios, as adjusted (Accident year loss ratio, ex-CAT and Accident year combined ratio, ex-CAT) exclude catastrophe losses (CATs) and related reinstatement premiums, net of reinsurance, and prior year development, net of prior year premiums, net of reinsurance, and the impact of reserve discounting. Natural catastrophe losses are generally weather or seismic events, in each case, having a net impact on AIG in excess of $10 million and man-made catastrophe losses, such as terrorism and civil unrest that exceed the $10 million threshold. We believe that Accident year underwriting income, ex-CAT and as adjusted ratios are meaningful measures of our underwriting results on an ongoing basis as they exclude catastrophes and the impact of reserve discounting which are outside of management’s control. We also exclude prior year development to provide transparency related to current accident year results. Underwriting ratios are computed net of reinsurance and as follows: a. Loss ratio = Loss and loss adjustment expenses incurred ÷ Net premiums earned (NPE)
f. CATs and reinstatement premiums ratio = [Loss and loss adjustment expenses incurred – (CATs)] ÷ [NPE +/(-) Reinstatement premiums related to catastrophes] – Loss ratio
g. Accident year loss ratio, as adjusted (AYLR, ex-CAT) = [Loss and loss adjustment expenses incurred – CATs – PYD] ÷ [NPE +/(-) Reinstatement premiums related to catastrophes +/(-) Prior year premiums]
h. Accident year combined ratio, as adjusted (AYCR, ex-CAT) = AYLR, ex-CAT + Expense ratio
i. Prior year development, net of prior year premiums ratio = [Loss and loss adjustment expenses incurred – CATs – PYD] ÷ [NPE +/(-) Reinstatement premiums related to catastrophes +/(-) Prior year premiums] – Loss ratio – CATs and reinstatement premiums ratio.
Results from discontinued operations are excluded from all of these measures. # # # 12
American International Group, Inc. (NYSE: AIG) is a leading global insurance organization. AIG provides insurance solutions that help businesses and individuals in more than 200 countries and jurisdictions protect their assets and manage risks through AIG operations, licenses and authorizations as well as network partners.
AIG is the marketing name for the worldwide operations of American International Group, Inc. All products and services are written or provided by subsidiaries or affiliates of American International Group, Inc. Products or services may not be available in all countries and jurisdictions, and coverage is subject to underwriting requirements and actual policy language. Non-insurance products and services may be provided by independent third parties. Certain property casualty coverages may be provided by a surplus lines insurer. Surplus lines insurers do not generally participate in state guaranty funds, and insureds are therefore not protected by such funds.
(a) Includes all Net realized gains and losses except earned income (periodic settlements and changes in settlement accruals) on derivative instruments used for non-qualifying (economic) hedging or for asset replication and net realized gains and losses on Fortitude Re funds withheld assets.
(b) In the nine months ended September 30, 2026, Net loss on divestitures and other primarily relates to a change in estimate for earn-out considerations associated with the dispositions of Validus Reinsurance, Ltd. and global personal travel and assistance business.
(c) In the third quarter of 2025, AIG began excluding the net results of run-off businesses previously reported in General Insurance from Adjusted pre-tax income.
(a) In the first quarter of 2026, AIG realigned and began reporting Amortization of intangible assets in General Insurance from Other Operations; historical results have been recast to reflect these changes.
Reconciliation of Net Investment Income Three Months Ended September 30, 2025 2026 Net Investment Income per Consolidated $ 772 $ 1,100 Statements of Operations Changes in the fair values of equity securities and AIG's 288 3 investment in Corebridge Net investment income on Fortitude Re -29 -16 funds withheld assets Net realized gains (losses) related to 2 -2 economic hedges and other Net investment income of businesses in -9 -10 run-off Total Net Investment $ 1,024 $ 1,075 Income - APTI Basis
Reconciliation of Total Debt to Total Capital Three Months Ended September 30, 2026 ────────────────────────────────────────────────────────────────────────────── Total financial and $ 10,246 hybrid debt Total capital $ 49,155 Less non-redeemable noncontrolling 26 interests Less Investments AOCI -3,260 Total adjusted $ 52,389 capital Hybrid - debt securities / Total 0.9 % capital Financial debt / 19.9 Total capital Total debt / Total 20.8 capital Adjusted capital -1.2 impact Total debt / Total 19.6 % adjusted capital
Reconciliation of Book Value per Share September 30, September 30, As of period end: 2025 2026 ────────────────────────────────────────────────────────────────────────────── Total AIG common shareholders' equity $ 41,085 $ 38,883 (a) Less: Investments -1,410 -3,840 AOCI Add: Cumulative unrealized gains and losses related to -545 -580 Fortitude Re funds withheld assets Subtotal Investments -865 -3,260 AOCI Total adjusted common shareholders' $ 41,950 $ 42,143 equity (b) Total adjusted common shareholders' $ 41,950 $ 42,143 equity (b) Total intangible 3,796 4,086 assets AIG adjusted tangible common $ 38,154 $ 38,057 shareholders' equity (d) Total AIG common shareholders' equity $ 41,085 $ 38,883 (a) Less: AIG's ownership interest 2,651 — in Corebridge Less: Investments -1,410 -3,840 related AOCI - AIG Add: Cumulative unrealized gains and losses related to -545 -580 Fortitude Re funds withheld assets - AIG Subtotal Investments -865 -3,260 AOCI - AIG Less: Deferred tax 3,002 2,684 assets AIG core operating shareholders' equity $ 36,297 $ 39,459 (e) Total common shares 544.5 518.7 outstanding (f)
Reconciliation of Net Premiums Written - Change on Constant Dollar Basis Three Months Ended September 30, 2026 General North America ────────────────────────────────────────────────────────────────────────────── Insurance Commercial Increase (decrease) as reported in U.S. 7 % 2 % dollars Foreign exchange effect 1 — Increase (decrease) on constant dollar 8 % 2 % basis North America Property 2 4 Increase (decrease) on constant dollar 10 % 6 % basis, excluding Property lines
Reconciliation of Accident Year Three Months Ended Underwriting Income, ex-CAT September 30, 2025 2026 ────────────────────────────────────────────────────────────────────────────── Underwriting income, as reported $ 793 $ 564 Catastrophe-related charges, including 100 283 reinstatement premiums Prior year loss reserve development (favorable), net of reinsurance and -180 -91 prior year premiums Accident year underwriting income, $ 713 $ 756 ex-CAT
Reconciliations of Accident Year Loss and Accident Year Combined Ratios, as Adjusted Nine Months Ended September 30, 2025 2026 Total General Insurance Combined ratio 90.6 89.2 Catastrophe losses and reinstatement -4.5 -3.6 premiums Prior year development, net of prior 2.1 2.1 year premiums Accident year combined ratio, as 88.2 87.7 adjusted
Three Months Ended September 30, 2025 2026 North America Commercial Combined ratio 82.6 92.9 Catastrophe losses and reinstatement -3.1 -7.1 premiums Prior year development, net of prior 5.9 1.4 year premiums Accident year combined ratio, as 85.4 87.2 adjusted International Commercial Combined ratio 84.9 88.3 Catastrophe losses and reinstatement -0.8 -3.5 premiums Prior year development, net of prior 1.9 1.0 year premiums Accident year combined ratio, as 86.0 85.8 adjusted Global Personal Combined ratio 95.2 93.2 Catastrophe losses and reinstatement -0.8 -2.0 premiums Prior year development, net of prior 1.1 2.4 year premiums Accident year combined ratio, as 95.5 93.6 adjusted
Full text with the tables
Press Release Contacts:
www.aig.com Quentin McMillan (Investors):quentin.mcmillan@aig.com
Andrew Johnson (Media):andrew.r.johnson@aig.com
AIG Delivers Strong Third Quarter Results
■
General Insurance net premiums written (NPW) of $6.7 billion, an increase of 7%
year-over-year on a reported basis and 8% on a constant dollar basis*, driven by
7%* growth in Global Commercial and 9%* growth in Global Personal
■
General Insurance combined ratio of 91.3%, and Accident year combined ratio, ex-
CAT* of 88.4%
■
General Insurance underwriting income of $564 million and accident year
underwriting income, ex-CAT* of $756 million
■
General Insurance Net investment income of $1.0 billion, an increase of 9% year-
over-year
■
Net income per diluted share of $1.60 and Adjusted after-tax income* (AATI) per
diluted share of $2.06
■
Return on equity (ROE) of 8.5% and Core Operating ROE* of 11.1%
■
Book value per share was $74.96, a decrease of 1% year-over-year and Adjusted
book value per share* was $81.25, an increase of 5% year-over-year
■
Returned $787 million of capital to shareholders, through $527 million of share
repurchases and $260 million of dividends
NEW YORK, November 3, 2026 – American International Group, Inc. (NYSE: AIG)
today reported financial results for the third quarter ended September 30, 2026.
“AIG delivered strong profitability and premium growth in the third quarter
rounding out an outstanding first nine months of 2026,” said Eric Andersen, AIG
President & Chief Executive Officer.
“We continue to make excellent progress toward achieving our 2025 Investor Day
financial objectives. In the third quarter, Adjusted after-tax income was $1.1
billion, or $2.06 per diluted share. Core Operating ROE was 11.1% for the
quarter and 11.4% for the first nine months of 2026 and adjusted book value per
share grew 5% year-over-year.
“Growth was broad-based with net premiums written growing 8% year-over-year, or
10%* excluding North America Property, both on a constant dollar basis, driven
by our Global Commercial and Global Personal Insurance businesses. Despite a
more challenging market environment, we maintained strong underwriting
performance, generating underwriting income of $564 million, with a calendar
year combined ratio of 91.3% and an accident year combined ratio, ex-CAT, of
88.4%.
“Our results through the first three quarters of 2026 reinforce our momentum.
Compared to the same nine-month period last year, we delivered double-digit top-
line growth in premiums, exceeded $2 billion in underwriting income, and
improved the combined ratio 140 basis points to 89.2% and the accident year
combined ratio, ex-CAT, 50 basis points to 87.7%.
“Overall, this exceptional performance underscores the benefits of our diverse,
global portfolio, the consistent execution of our strategy, and our focus on
deepening relationships with our clients and partners.
"Our success is a direct reflection of our people. AIG’s depth of talent across
every region and line of business is one of our greatest strengths. Because of
our colleagues’ hard work and dedication, we are growing profitably and well
positioned to build on our strong foundation."
* Refers to financial measure not calculated in accordance with generally
accepted accounting principles (non-GAAP); definitions of non-GAAP measures and
reconciliations to their closest GAAP measures can be found in this press
release under the heading Comment on Regulation G and Non-GAAP Financial
Measures.
1
FINANCIAL SUMMARY
($ and shares
in millions,
except per Three Months
share Ended
amounts) September 30, 2025 2026
──────────────────────────────────────────────────────────────────────────────
Net income
attributable $ 519 $ 844
to AIG common
shareholders
Net income
per diluted
share $ 0.93 $ 1.60
attributable
to AIG common
shareholders
Net
investment $ 772 $ 1,100
income
Net
investment 1,024 1,075
income, APTI
basis
Adjusted
pre-tax $ 1,622 $ 1,445
income (loss)
General 1,734 1,586
Insurance
Other -112 -141
Operations
Adjusted
after-tax
income $ 1,226 $ 1,086
attributable
to AIG common
shareholders
Adjusted
after-tax
income per
diluted $ 2.20 $ 2.06
share
attributable
to AIG common
shareholders
Weighted
average
common shares 558.5 527.3
outstanding -
diluted
Return on 5.0 % 8.5 %
equity
Adjusted
return on 11.6 % 10.3 %
equity
Core
operating 13.6 % 11.1 %
return on
equity
Book value $ 75.45 $ 74.96
per share
Adjusted book
value per $ 77.04 $ 81.25
share
Adjusted
tangible book $ 70.07 $ 73.37
value per
share
Core
operating $ 66.66 $ 76.07
book value
per share
Common shares
outstanding 544.5 518.7
(in millions)
For the third quarter of 2026, Net income attributable to AIG common
shareholders was $844 million, or $1.60 per diluted common share, compared to
$519 million, or $0.93 per diluted common share, in the prior year quarter. The
increase was primarily due to changes in the fair value of AIG's investments as
well as higher General Insurance Net investment income, higher earned premiums,
strong accident year underwriting results, modestly increased catastrophe losses
and lower net realized losses.
AATI was $1.1 billion, or $2.06 per diluted common share, compared to $1.2
billion, or $2.20 per diluted common share in the prior year quarter, reflecting
lower underwriting income and lower Other Operations Net investment income.
Total Net investment income for the third quarter of 2026 was $1.1 billion,
compared to $772 million in the prior year quarter, primarily due to changes in
the fair value of AIG's investments and higher income on available for sale
fixed maturity securities.
Total Net investment income on an adjusted pre-tax income* (APTI) basis was $1.1
billion, compared to $1.0 billion in the prior year quarter, due to higher
General Insurance Net investment income, driven by higher income on available
for sale fixed maturity securities.
AIG returned $787 million to shareholders in the third quarter of 2026 through
$527 million of common stock repurchases, representing approximately 7 million
shares, and $260 million of common stock dividends. On September 24, 2026, AIG
issued €625 million aggregate principal amount of 4.250% Notes Due 2031 and €500
million aggregate principal amount of 4.750% Notes
2
Due 2036, which was equivalent to approximately $1.3 billion in the aggregate.
At September 30, 2026, the total debt to total capital ratio was 20.8% and the
total debt to total adjusted capital* ratio was 19.6%.
ROE and Core Operating ROE were 8.5% and 11.1%, respectively, in the third
quarter of 2026. Book value per share was $74.96 as of September 30, 2026, a
decrease of 1% from September 30, 2025. Adjusted book value per share was $81.25
and Adjusted tangible book value per share* was $73.37, both an increase of 5%
from September 30, 2025.
On November 3, 2026, the AIG Board of Directors declared a quarterly cash
dividend on AIG common stock of $0.50 per share. The dividend is payable on
December 30, 2026 to shareholders of record at the close of business on December
16, 2026.
3
GENERAL INSURANCE
Three
Months
Ended
($ in Septe…
mill… 30, 2025 2026 Change
──────────────────────────────────────────────────────────────────────────────
Gross
prem… $ 8,686 $ 9,174 6 %
writ…
Net
prem… $ 6,230 $ 6,651 7 %
writ…
Net
prem…
writ…
on 8 %
cons…
doll…
basis
Unde…
inco… $ 793 $ 564 -29 %
(los…
Net
inve… $ 945 $ 1,032 9 %
inco…
Adju…
pre-… $ 1,734 $ 1,586 -9 %
inco…
Unde…
rati…
Gene…
Insu…
(GI) 86.8 91.3 4.5 pts
Comb…
ratio
(CR)
GI
Loss 55.9 60.7 4.8
ratio
Less:
impa…
on
loss
ratio
Cata…
loss…
and -1.6 -4.4 -2.8
rein…
prem…
Prior
year
deve…
net 3.1 1.5 -1.6
of
prior
year
prem…
GI
Acci…
year
loss 57.4 57.8 0.4
rati…
as
adju…
GI
Expe… 30.9 30.6 -0.3
ratio
GI
Acci…
year
comb… 88.3 88.4 0.1 pts
rati…
as
adju…
• Third quarter NPW of $6.7 billion increased 7% from the prior year quarter on
a reported basis and 8% on a constant dollar basis, reflecting growth across
Global Commercial and Global Personal Insurance businesses. Excluding North
America Property lines, General Insurance NPW increased 10%* from the prior year
quarter.
• Underwriting income was $564 million, driven by higher earned premiums, strong
accident year underwriting results and modest catastrophe losses. Accident year
underwriting income, ex-CAT was $756 million, up 6% from the prior year quarter.
• Total catastrophe-related charges were $283 million, representing 4.4 loss
ratio points, driven by severe convective storms in North America, compared to
extraordinarily low catastrophe losses of $100 million, representing 1.6 loss
ratio points, in the prior year quarter.
• Third quarter 2026 included favorable prior year development (PYD), net of
reinsurance and prior year premiums, of $91 million, compared to $180 million in
the prior year quarter. Favorable development was driven by reserve releases
across most lines of business.
• The combined ratio was 91.3%, compared with 86.8% in the prior year quarter,
primarily reflecting higher catastrophe-related charges and lower favorable PYD,
partially offset by a lower expense ratio. Accident year combined ratio, as
adjusted* (AYCR) was 88.4%, compared with 88.3% in the prior year quarter,
reflecting a higher accident year loss ratio, as adjusted* (AYLR), primarily due
to changes in business mix, partially offset by a lower expense ratio.
• General Insurance net investment income was $1.0 billion, up 9% year-over-
year, driven by the core fixed income portfolio.
(a) In the first quarter of 2026, AIG realigned and began reporting Amortization
of intangible assets in General Insurance from Other Operations; historical
results have been recast to reflect these changes.
4
GENERAL INSURANCE - NORTH AMERICA COMMERCIAL
Three
Months
Ended
($ in Septemb…
million… 30, 2025 2026 Change
──────────────────────────────────────────────────────────────────────────────
Net
premiu… $ 2,435 $ 2,481 2 %
written
Net
premiu…
writte…
on 2 %
consta…
dollar
basis
Underw…
income $ 384 $ 167 -57 %
(loss)
Underw…
ratios:
CR 82.6 92.9 10.3 pts
AYCR,
as 85.4 87.2 1.8 pts
adjust…
• Third quarter NPW of $2.5 billion increased 2% from the prior year quarter,
primarily driven by Retail Casualty and Financial Lines, partially offset by
lower production in certain Property lines. Excluding North America Property
lines, North America commercial NPW increased 6% from the prior year quarter.
• The combined ratio was 92.9%, compared with 82.6% in the prior year quarter,
reflecting higher loss ratio, largely driven by lower net favorable PYD and
higher catastrophe-related charges. The AYCR was 87.2%, compared to 85.4% in the
prio r year quarter, reflecting higher AYLR and acquisition ratio, primarily due
to changes in business mix, partially offset by lower general operating expense
(GOE) ratio.
GENERAL INSURANCE - INTERNATIONAL COMMERCIAL
Three
Months
Ended
($ in September
millio… 30, 2025 2026 Change
──────────────────────────────────────────────────────────────────────────────
Net
premiu… $ 2,115 $ 2,387 13 %
written
Net
premiu…
writte…
on 13 %
consta…
dollar
basis
Underw…
income $ 330 $ 283 -14 %
(loss)
Underw…
ratios:
CR 84.9 88.3 3.4 pts
AYCR,
as 86.0 85.8 -0.2 pts
adjust…
• Third quarter NPW of $2.4 billion increased 13% from the prior year quarter,
both on a reported basis and a constant dollar basis, supported by broad-based
geographic growth.
• The combined ratio was 88.3%, compared with 84.9% in the prior year quarter,
reflecting higher loss ratio, driven by higher catastrophe-related charges and
lower net favorable PYD, partially offset by lower expense ratio . The AYCR was
85.8%, compared with 86.0% in the prior year quarter, driven by lower GOE ratio,
partially offset by hi gher AYLR, primarily due to changes in business mix .
5
GENERAL INSURANCE - GLOBAL PERSONAL
Three
Months
Ended
($ in September
millions) 30, 2025 2026 Change
──────────────────────────────────────────────────────────────────────────────
Net
premiums $ 1,680 $ 1,783 6 %
written
Net
premiums
written,
on 9 %
constant
dollar
basis
Underwri…
income $ 79 $ 114 44 %
(loss)
Underwri…
ratios:
CR 95.2 93.2 -2.0 pts
AYCR, as 95.5 93.6 -1.9 pts
adjusted
• Third quarter NPW of $1.8 billion increased 6% from the prior year quarter, or
9% on a constant dollar basis, primarily driven by growth in the high net worth
business and Accident & Health.
• The combined ratio was 93.2%, compared with 95.2% in the prior year quarter,
reflecting lower loss ratio, driven by lower AYLR and higher net favorable PYD,
partially offset by higher catastrophe-related charges and higher expense ratio.
The AYCR was 93.6%, improving 190 basis points from 95.5% in the prior year
quarter, reflecting lower AYLR and lower GOE, partially offset by a higher
acquisition ratio. Changes in business mix contributed to both the lower AYLR
and higher acquisition ratio.
6
OTHER OPERATIONS
Three
Months
Ended
($ in September
millions) 30, 2025 2026 Change
──────────────────────────────────────────────────────────────────────────────
Net
investme… $ 72 $ 45 -38 %
income
and other
Corporate
and other
general -86 -85 1
operating
expenses
Interest -100 -101 -1
expense
Adjusted
pre-tax
loss
before $ -114 $ -141 -24
consolid…
and
eliminat…
Total
consolid… 2 — NM
and
eliminat…
Adjusted
pre-tax $ -112 $ -141 -26 %
loss(a)
(a) In the third quarter of 2025, AIG began excluding the net results of run-off
businesses previously reported in General Insurance from Adjusted pre-tax
income.
• Other Operations predominantly consists of Net investment income from our AIG
Parent liquidity portfolio, Corebridge Financial, Inc. dividend income (prior to
the final disposition in May 2026), corporate GOE, and Interest expense.
• Net Investment Income and Other was $45 million, compared to $72 million in
the prior year quarter, which included $20 million of Corebridge Financial, Inc.
dividends.
CONFERENCE CALL
AIG will host a conference call tomorrow, Wednesday, November 4, 2026 at 8:30
a.m. ET to review these results. The call is open to the public and can be
accessed via a live, listen-only webcast in the Investors section of www.aig.com
. A replay will be available after the call at the same location.
# # #
Additional supplementary financial data is available in the Investors section at
www.aig.com .
7
Cautionary Note on Forward-Looking Statements
Certain statements in this press release and other publicly available documents
may include, and members of management may from time to time make and discuss,
statements which, to the extent they are not statements of historical or present
fact, may constitute “forward-looking statements” within the meaning of the U.S.
Private Securities Litigation Reform Act of 1995. These forward‑looking
statements are intended to provide management’s current expectations or plans
for future operating and financial performance, based on assumptions currently
believed to be valid and accurate. Forward-looking statements are often preceded
by, followed by or include words such as “will,” “believe,” “anticipate,”
“expect,” “expectations,” “intend,” “strive,” “plan,” “strategy,” “prospects,”
“project,” “should,” “guidance,” “outlook,” “view,” “target,” “goal,” “estimate”
and other words of similar meaning in connection with a discussion of future
operating or financial performance. These statements may include, among other
things, projections, goals and assumptions that relate to future actions,
prospective services or products, future performance or results of current and
anticipated services or products, sales efforts, expense reduction efforts, the
outcome of contingencies such as legal proceedings, anticipated organizational,
business or regulatory changes, the effect of catastrophic events, both natural
and man-made, and macroeconomic and/or geopolitical events, anticipated
dispositions, monetization and/or acquisitions of businesses or assets, the
successful integration of acquired businesses, management succession and
retention plans, exposure to risk, trends in operations and financial results,
and other statements that are not historical facts.
All forward-looking statements involve risks, uncertainties and other factors
that may cause actual results and financial condition to differ, possibly
materially, from the results and financial condition expressed or implied in the
forward-looking statements. Factors that could cause actual results to differ,
possibly materially, from those in specific projections, targets, goals, plans,
assumptions and other forward-looking statements include, without limitation:
• the impact of adverse developments affecting economic conditions in the
markets in which we operate, including financial market conditions,
macroeconomic trends, changes in trade policies, including tariffs, fluctuations
in interest rates and foreign currency exchange rates, inflationary pressures,
including social inflation, pandemics, and geopolitical events or conflicts;
• the occurrence of catastrophic events, both natural and man-made, which may be
exacerbated by the effects of climate change;
• disruptions in the availability or accessibility of our or a third party’s
information technology systems, including hardware and software, infrastructure
or networks, and the inability to safeguard the confidentiality and integrity of
customer, employee or company data due to cyberattacks, data security breaches
or infrastructure vulnerabilities;
• our ability to effectively implement technological advancements, including the
use of artificial intelligence (AI), and respond to competitors' AI and other
technology initiatives;
• our reliance on third parties to provide certain business and administrative
services;
• the effects of changes in laws and regulations, including those relating to
privacy, data protection, cybersecurity and AI, and the regulation of insurance,
in the U.S. and other countries in which we operate;
• concentrations in our investment portfolios;
• changes in the valuation of our investments;
• our reliance on third-party investment managers;
• nonperformance or defaults by counterparties;
• our ability to adequately assess risk and estimate related losses as well as
the effectiveness of our enterprise risk management policies and procedures;
8
• changes in judgments or assumptions concerning insurance underwriting and
insurance liabilities;
• concentrations of our insurance, reinsurance and other risk exposures;
• availability of adequate reinsurance or access to reinsurance on acceptable
terms;
• the effects of sanctions and the failure to comply with those sanctions;
• changes to tax laws in the countries in which we operate;
• the effectiveness of strategies to retain and recruit key personnel and to
implement effective succession plans;
• the outcome of significant legal, regulatory or governmental proceedings;
• our ability to successfully complete strategic transactions, including to
successfully dispose of, monetize and/or acquire businesses or assets or
successfully integrate acquired businesses, and the anticipated benefits
thereof;
• difficulty in marketing and distributing products through current and future
distribution channels;
• actions by rating agencies with respect to our credit and financial strength
ratings as well as those of our businesses and subsidiaries;
• changes in judgments concerning the recognition of deferred tax assets and the
impairment of goodwill;
• our ability to address evolving global stakeholder expectations and regulatory
requirements including with respect to environmental, social and governance
matters and to effectively execute on sustainability targets and standards;
• our ability to effectively implement restructuring initiatives and potential
cost-savings opportunities;
• changes to sources of or access to liquidity;
• changes in accounting principles and financial reporting requirements or their
applicability to us; and
• such other factors discussed in:
• Part I, Item 2. Management’s Discussion and Analysis of Financial Condition
and Results of Operations (MD&A) in our Quarterly Report on Form 10-Q for the
quarter ended September 30, 2026 (which will be filed with the Securities and
Exchange Commission (SEC);
• Part I, Item 1A. Risk Factors and Part II, Item 7. MD&A in our Annual Report
on Form 10-K for the year ended December 31, 2025; and
• our other filings with the SEC.
Forward-looking statements speak only as of the date of this press release, or
in the case of any document incorporated by reference, the date of that
document. AIG is not under any obligation to publicly update or revise any
forward-looking statements, whether as a result of new information, future
events or otherwise, except as required by applicable law. Additional
information as to factors that may cause actual results to differ materially
from those expressed or implied in any forward-looking statements is disclosed
from time to time in our filings with the SEC.
# # #
9
COMMENT ON REGULATION G AND NON-GAAP FINANCIAL MEASURES
Throughout this press release, including the financial highlights, AIG presents
its financial condition and results of operations in the way it believes will be
most meaningful and representative of its business results. Some of the
measurements AIG uses are “Non-GAAP financial measures” under SEC rules and
regulations. GAAP is the acronym for generally accepted accounting principles in
the United States. The non-GAAP financial measures AIG presents are listed below
and may not be comparable to similarly-named measures reported by other
companies. The reconciliations of such measures to the most comparable GAAP
measures in accordance with Regulation G are included within the relevant tables
attached to this press release or in the Third Quarter 2026 Financial Supplement
available in the Investors section of AIG’s website, www.aig.com.
Unless otherwise mentioned or unless the context indicates otherwise, we use the
terms “AIG,” “we,” “us” and “our” to refer to American International Group,
Inc., a Delaware corporation, and its consolidated subsidiaries.
AIG uses the following operating performance measures because AIG believes they
enhance the understanding of the underlying profitability of operations and
trends of AIG’s segments. AIG believes they also allow for more meaningful
comparisons with AIG’s insurance competitors. When AIG uses these measures,
reconciliations to the most comparable GAAP measure are provided on a
consolidated basis.
Adjusted Pre-tax Income (APTI)
is derived by excluding the items set forth below from income before income tax:
• changes in the fair values of equity securities, AIG's investment in
Corebridge and gain/loss on sale of shares;
• net investment income on Fortitude Re funds withheld assets held by AIG in
support of Fortitude Re’s reinsurance obligations to AIG (Fortitude Re funds
withheld assets);
• net realized gains and losses on Fortitude Re funds withheld assets;
• loss (gain) on extinguishment of debt;
• all net realized gains and losses except earned income (periodic settlements
and changes in settlement accruals) on derivative instruments used for non-
qualifying (economic) hedging or for asset replication. Earned income on such
economic hedges is reclassified from net realized gains and losses to specific
APTI line items based on the economic risk being hedged (e.g. net investment
income);
• income or loss from discontinued operations;
• net loss reserve discount benefit (charge);
• net results of businesses in run-off;
• non-operating pension expenses;
• net gain or loss on divestitures and other;
• non-operating litigation reserves and settlements;
• restructuring and other costs related to initiatives designed to reduce
operating expenses, improve efficiency and simplify our organization;
• the portion of favorable or unfavorable prior year reserve development for
which we have ceded the risk under retroactive reinsurance agreements and
related changes in amortization of the deferred gain;
• integration and transaction costs associated with acquiring or divesting
businesses;
• losses from the impairment of goodwill; and
• non-recurring costs associated with the implementation of non-ordinary course
legal or regulatory changes or changes to accounting principles.
Adjusted After-tax Income attributable to AIG common shareholders (adjusted
after-tax income or AATI) is derived by excluding the tax effected APTI
adjustments described above, noncontrolling interest on net realized gains
(losses), other non-operating expenses and the following tax items from net
income attributable to AIG:
• deferred income tax valuation allowance releases and charges; and
• changes in uncertain tax positions and other tax items related to legacy
matters having no relevance to our current businesses or operating performance.
See page 14for the reconciliation of Net income attributable to AIG to Adjusted
After-tax Income attributable to AIG common shareholders.
10
Book value per share, excluding investments related cumulative unrealized gains
and losses recorded in Accumulated other comprehensive income (loss) (AOCI)
adjusted for the cumulative unrealized gains and losses related to Fortitude Re
funds withheld assets (collectively, Investments AOCI) (Adjusted book value per
share) is used to show the amount of our net worth on a per share basis after
eliminating the fair value of investments that can fluctuate significantly from
period to period due to changes in market conditions. In addition, we adjust for
the cumulative unrealized gains and losses related to Fortitude Re funds
withheld assets since these fair value movements are economically transferred to
Fortitude Re. Adjusted book value per share is derived by dividing total AIG
common shareholders’ equity, excluding Investments AOCI (AIG adjusted common
shareholders' equity) by total common shares outstanding.
Book Value per share, excluding Investments AOCI, Goodwill, Value of business
acquired (VOBA), Value of distribution channel acquired (VODA) and Other
intangible assets (Adjusted tangible book value per share) is used to provide a
useful measure of the realizable shareholder value on a per share basis after
eliminating the fair value of investments that can fluctuate significantly from
period to period due to changes in market conditions and Fortitude Re funds
withheld assets since these fair value movements are economically transferred to
Fortitude Re. Adjusted tangible book value per share is derived by dividing AIG
adjusted common equity, excluding intangible assets, (AIG adjusted tangible
common shareholders’ equity) by total common shares outstanding.
Book value per share, excluding Investments AOCI, deferred tax assets (DTA) and
AIG’s ownership interest in Corebridge (Core operating book value per share) i s
used to show the amount of our net worth on a per share basis after eliminating
Investments AOCI, DTA and AIG’s ownership interest in Corebridge. We believe
this measure is useful to investors because it eliminates the fair value of
investments that can fluctuate significantly from period to period due to
changes in market conditions. We also exclude the portion of DTA representing
U.S. tax attributes related to net operating loss carryforwards (NOLs),
corporate alternative minimum tax credits (CAMTCs) and foreign tax credits
(FTCs) that have not yet been utilized. Amounts for interim periods are
estimates based on projections of full-year attribute utilization. As NOLs,
CAMTCs and FTCs are utilized, the corresponding portion of the DTA utilized is
included. We exclude AIG’s ownership interest in Corebridge since it is not a
core long-term investment for AIG. Core operating book value per share is
derived by dividing total AIG common shareholders’ equity, excluding Investments
AOCI, DTA and AIG’s ownership interest in Corebridge (AIG core operating
shareholders’ equity) by total common shares outstanding.
Total debt to total adjusted capital ratio is used to show the AIG’s debt
leverage adjusted for Investments AOCI and is derived by dividing total debt by
total capital excluding Investments AOCI (Total adjusted capital). We believe
this measure is useful to investors because it eliminates items that can
fluctuate significantly from period to period due to changes in market
conditions. In addition, we adjust for the cumulative unrealized gains and
losses related to Fortitude Re funds withheld assets since these fair value
movements are economically transferred to Fortitude Re.
Return on equity – Adjusted after-tax income excluding Investments AOCI
(Adjusted return on equity) is used to show the rate of return on common
shareholders’ equity excluding Investments AOCI. We believe this measure is
useful to investors because it eliminates the fair value of investments which
can fluctuate significantly from period to period due to changes in market
conditions. Adjusted return on equity is derived by dividing actual or, for
interim periods, annualized adjusted after-tax income attributable to AIG common
shareholders by average AIG adjusted common shareholders’ equity.
Return on equity – Adjusted after-tax income excluding Investments AOCI, DTA and
AIG’s ownership interest in Corebridge (Core operating return on equity) is used
to show the rate of return on common shareholders’ equity excluding Investments
AOCI, DTA and AIG’s ownership interest in Corebridge. We believe this measure is
useful to investors because it eliminates the fair value of investments that can
fluctuate significantly from period to period due to changes in market
conditions. We also exclude the portion of DTA representing U.S. tax attributes
related to NOLs, CAMTCs and FTCs that have not yet been utilized. Amounts for
interim periods are estimates based on projections of full-year attribute
utilization. As NOLs, CAMTCs and FTCs are utilized, the corresponding portion of
the DTA utilized is included. We exclude AIG’s ownership interest in Corebridge
since it is not a core long-term investment for AIG. We believe this metric
provides investors with greater insight as to the underlying profitability of
our property and casualty business. Core operating return on equity is derived
by dividing actual or, for interim periods, annualized adjusted after-tax income
attributable to AIG common shareholders by average AIG core operating
shareholders’ equity.
11
Ratios: We, along with most property and casualty insurance companies, use the
loss ratio, the expense ratio and the combined ratio as measures of underwriting
performance. These ratios are relative measurements that describe, for every
$100 of net premiums earned, the amount of losses and loss adjustment expenses
(which for General Insurance excludes net loss reserve discount), and the amount
of other underwriting expenses that would be incurred. A combined ratio of less
than 100 indicates underwriting income and a combined ratio of over 100
indicates an underwriting loss. Our ratios are calculated using the relevant
segment information calculated under GAAP, and thus may not be comparable to
similar ratios calculated for regulatory reporting purposes. The underwriting
environment varies across countries and products, as does the degree of
litigation activity, all of which affect such ratios. In addition, investment
returns, local taxes, cost of capital, regulation, product type and competition
can have an effect on pricing and consequently on profitability as reflected in
underwriting income and associated ratios.
Accident year underwriting income, ex-CAT, Accident year loss and Accident year
combined ratios, as adjusted (Accident year loss ratio, ex-CAT and Accident year
combined ratio, ex-CAT) exclude catastrophe losses (CATs) and related
reinstatement premiums, net of reinsurance, and prior year development, net of
prior year premiums, net of reinsurance, and the impact of reserve discounting.
Natural catastrophe losses are generally weather or seismic events, in each
case, having a net impact on AIG in excess of $10 million and man-made
catastrophe losses, such as terrorism and civil unrest that exceed the $10
million threshold. We believe that Accident year underwriting income, ex-CAT and
as adjusted ratios are meaningful measures of our underwriting results on an
ongoing basis as they exclude catastrophes and the impact of reserve discounting
which are outside of management’s control. We also exclude prior year
development to provide transparency related to current accident year results.
Underwriting ratios are computed net of reinsurance and as follows:
a. Loss ratio = Loss and loss adjustment expenses incurred ÷ Net premiums earned
(NPE)
b. Acquisition ratio = Total acquisition expenses ÷ NPE
c. General operating expense ratio = General operating expenses ÷ NPE
d. Expense ratio = Acquisition ratio + General operating expense ratio
e. Combined ratio = Loss ratio + Expense ratio
f. CATs and reinstatement premiums ratio = [Loss and loss adjustment expenses
incurred – (CATs)] ÷ [NPE +/(-) Reinstatement premiums related to catastrophes]
– Loss ratio
g. Accident year loss ratio, as adjusted (AYLR, ex-CAT) = [Loss and loss
adjustment expenses incurred – CATs – PYD] ÷ [NPE +/(-) Reinstatement premiums
related to catastrophes +/(-) Prior year premiums]
h. Accident year combined ratio, as adjusted (AYCR, ex-CAT) = AYLR, ex-CAT +
Expense ratio
i. Prior year development, net of prior year premiums ratio = [Loss and loss
adjustment expenses incurred – CATs – PYD] ÷ [NPE +/(-) Reinstatement premiums
related to catastrophes +/(-) Prior year premiums] – Loss ratio – CATs and
reinstatement premiums ratio.
Results from discontinued operations are excluded from all of these measures.
# # #
12
American International Group, Inc. (NYSE: AIG) is a leading global insurance
organization. AIG provides insurance solutions that help businesses and
individuals in more than 200 countries and jurisdictions protect their assets
and manage risks through AIG operations, licenses and authorizations as well as
network partners.
AIG is the marketing name for the worldwide operations of American International
Group, Inc. All products and services are written or provided by subsidiaries or
affiliates of American International Group, Inc. Products or services may not be
available in all countries and jurisdictions, and coverage is subject to
underwriting requirements and actual policy language. Non-insurance products and
services may be provided by independent third parties. Certain property casualty
coverages may be provided by a surplus lines insurer. Surplus lines insurers do
not generally participate in state guaranty funds, and insureds are therefore
not protected by such funds.
13
American International Group, Inc.
Selected Financial Data and Non-GAAP Reconciliation
($ in millions, except per common share data)
──────────────────────────────────────────────────────────────────────────────
14
American International Group, Inc.
Selected Financial Data and Non-GAAP Reconciliation
($ in millions, except per common share data)
──────────────────────────────────────────────────────────────────────────────
(a) Includes all Net realized gains and losses except earned income (periodic
settlements and changes in settlement accruals) on derivative instruments used
for non-qualifying (economic) hedging or for asset replication and net realized
gains and losses on Fortitude Re funds withheld assets.
(b) In the nine months ended September 30, 2026, Net loss on divestitures and
other primarily relates to a change in estimate for earn-out considerations
associated with the dispositions of Validus Reinsurance, Ltd. and global
personal travel and assistance business.
(c) In the third quarter of 2025, AIG began excluding the net results of run-off
businesses previously reported in General Insurance from Adjusted pre-tax
income.
15
American International Group, Inc.
Selected Financial Data and Non-GAAP Reconciliation (continued)
($ in millions, except per common share data)
…
… …
… …
… … …
… … …
… … … …
──────────────────────────────────────────────────────────────────────────────
… $ … … $ …
… — — —
5 … … …
— 1 1 —
— — 6 …
— 2 … …
— — … 9
— — … …
— — … …
— — … 3
— — — …
— — … …
— — … …
… $ … … $ …
…
… …
… …
… …
… …
… … …
──────────────────────────────────────────────────────────────────────────────
… … $ …
1 — —
… — —
… … …
— … —
… … …
— … …
— … …
2 … …
— … …
— … —
— … …
… … …
— 3 …
— … …
— … …
… … $ …
(a) In the first quarter of 2026, AIG realigned and began reporting Amortization
of intangible assets in General Insurance from Other Operations; historical
results have been recast to reflect these changes.
16
American International Group, Inc.
Selected Financial Data and Non-GAAP Reconciliation (continued)
($ in millions, except per common share data)
… …
… …
… % … %
… … … …
… … … … … … … …
──────────────────────────────────────────────────────────────────────────────
… … $ … …
… … … …
Reconciliation of Net
Investment Income
Three Months Ended
September 30,
2025 2026
Net Investment Income per
Consolidated $ 772 $ 1,100
Statements of Operations
Changes in the fair values
of equity
securities and AIG's 288 3
investment in
Corebridge
Net investment income on
Fortitude Re -29 -16
funds withheld assets
Net realized gains
(losses) related to 2 -2
economic hedges and other
Net investment income of
businesses in -9 -10
run-off
Total Net Investment $ 1,024 $ 1,075
Income - APTI Basis
Reconciliation of
Total Debt to Total
Capital Three Months Ended September 30, 2026
──────────────────────────────────────────────────────────────────────────────
Total financial and $ 10,246
hybrid debt
Total capital $ 49,155
Less non-redeemable
noncontrolling 26
interests
Less Investments AOCI -3,260
Total adjusted $ 52,389
capital
Hybrid - debt
securities / Total 0.9 %
capital
Financial debt / 19.9
Total capital
Total debt / Total 20.8
capital
Adjusted capital -1.2
impact
Total debt / Total 19.6 %
adjusted capital
17
American International Group, Inc.
Selected Financial Data and Non-GAAP Reconciliation (continued)
($ in millions, except per common share data)
Reconciliation of
Book Value per Share September 30, September 30,
As of period end: 2025 2026
──────────────────────────────────────────────────────────────────────────────
Total AIG common
shareholders' equity $ 41,085 $ 38,883
(a)
Less: Investments -1,410 -3,840
AOCI
Add: Cumulative
unrealized gains and
losses related to -545 -580
Fortitude Re funds
withheld assets
Subtotal Investments -865 -3,260
AOCI
Total adjusted
common shareholders' $ 41,950 $ 42,143
equity (b)
Total adjusted
common shareholders' $ 41,950 $ 42,143
equity (b)
Total intangible 3,796 4,086
assets
AIG adjusted
tangible common $ 38,154 $ 38,057
shareholders' equity
(d)
Total AIG common
shareholders' equity $ 41,085 $ 38,883
(a)
Less: AIG's
ownership interest 2,651 —
in
Corebridge
Less: Investments -1,410 -3,840
related AOCI - AIG
Add: Cumulative
unrealized gains and
losses related to -545 -580
Fortitude Re funds
withheld assets -
AIG
Subtotal Investments -865 -3,260
AOCI - AIG
Less: Deferred tax 3,002 2,684
assets
AIG core operating
shareholders' equity $ 36,297 $ 39,459
(e)
Total common shares 544.5 518.7
outstanding (f)
As of
period September September % Inc.
end: 30, 2025 30, 2026 (Dec.)
──────────────────────────────────────────────────────────────────────────────
Book
value per $ 75.45 $ 74.96 -0.6 %
share
(a÷f)
Adjusted
book
value per 77.04 81.25 5.5
share
(b÷f)
Adjusted
tangible
book 70.07 73.37 4.7
value per
share
(d÷f)
Core
operating
book 66.66 76.07 14.1
value per
share
(e÷f)
… …
… …
… …
… …
… … … … 2… 2…
──────────────────────────────────────────────────────────────────────────────
$ … $ … $ … $ …
$ … $ … $ … $ …
$ … $ … $ … $ …
… … … …
$ … $ … $ … $ …
$ … $ … $ … $ …
… — … …
… … … …
… … … …
$ … $ … $ … $ …
… % … % … % … %
… % … % … % … %
… % … % … % … %
18
American International Group, Inc.
Selected Financial Data and Non-GAAP Reconciliation (continued)
($ in millions, except per common share data)
Reconciliation of Net Premiums
Written - Change on Constant Dollar
Basis
Three Months Ended September 30,
2026 General North America
──────────────────────────────────────────────────────────────────────────────
Insurance Commercial
Increase (decrease) as reported in
U.S. 7 % 2 %
dollars
Foreign exchange effect 1 —
Increase (decrease) on constant
dollar 8 % 2 %
basis
North America Property 2 4
Increase (decrease) on constant
dollar 10 % 6 %
basis, excluding Property lines
Reconciliation of Accident Year Three Months Ended
Underwriting Income, ex-CAT September 30, 2025 2026
──────────────────────────────────────────────────────────────────────────────
Underwriting income, as reported $ 793 $ 564
Catastrophe-related charges,
including 100 283
reinstatement premiums
Prior year loss reserve development
(favorable), net of reinsurance and -180 -91
prior year premiums
Accident year underwriting income, $ 713 $ 756
ex-CAT
Reconciliations of
Accident Year Loss
and Accident Year Combined
Ratios, as
Adjusted
Nine Months Ended
September 30,
2025 2026
Total General Insurance
Combined ratio 90.6 89.2
Catastrophe losses and
reinstatement -4.5 -3.6
premiums
Prior year development,
net of prior 2.1 2.1
year premiums
Accident year combined
ratio, as 88.2 87.7
adjusted
Three Months Ended
September 30,
2025 2026
North America Commercial
Combined ratio 82.6 92.9
Catastrophe losses and
reinstatement -3.1 -7.1
premiums
Prior year development,
net of prior 5.9 1.4
year premiums
Accident year combined
ratio, as 85.4 87.2
adjusted
International Commercial
Combined ratio 84.9 88.3
Catastrophe losses and
reinstatement -0.8 -3.5
premiums
Prior year development,
net of prior 1.9 1.0
year premiums
Accident year combined
ratio, as 86.0 85.8
adjusted
Global Personal
Combined ratio 95.2 93.2
Catastrophe losses and
reinstatement -0.8 -2.0
premiums
Prior year development,
net of prior 1.1 2.4
year premiums
Accident year combined
ratio, as 95.5 93.6
adjusted
19