American International Group Inc. says its life, general insurance and retirement services businesses have continued to operate normally and are adequately capitalized despite the hunt for capital at the holding company level.
Efforts to increase short-term liquidity “do not include any effort to reduce the capital of any of its subsidiaries or to tap into Asian operations for liquidity,” AIG says in a statement issued to address policyholder concerns.
“The insurance policies written by AIG companies are direct obligations of its regulated subsidiary insurance companies around the world,” AIG says. “These companies are well-capitalized and meet or exceed local regulatory capital requirements. The companies continue to operate in the normal course to meet obligations to policyholders.”
News organizations have reported long lines of customers waiting to withdraw funds from AIG in some Asian markets, and AIG notes in the statement that the company was founded in Shanghai in 1919.
“The AIG companies are fully committed to maintaining required capital levels in all of its subsidiaries and to meeting the needs of their customers around the world,” AIG says.