American International Group Inc. has withdrawn an application to add group life insurance to its product lines in China. [@@]
In a Form 10-K annual report filed with the U.S. Securities and Exchange Commission, AIG, New York, says it needs to resolve “regulatory issues” before seeking approval to sell group insurance in China. AIG says it pulled its application in March.
AIG says its Hong Kong agents violated rules by selling policies to mainland Chinese customers.
The former British colony of Hong Kong returned to Chinese rule in 1997, but the 2 entities maintain separate political and financial systems.
AIG currently has permission to sell individual life insurance policies in China and has offices in 8 cities, while other companies are just starting to form joint ventures.