What's Happening?
American International Group (AIG) has reached a definitive agreement to acquire the renewal rights of Everest Group’s retail commercial insurance business, which amounts to approximately $2 billion in gross
premiums written. This strategic move allows AIG to expand its general insurance portfolio without requiring additional capital. Everest will retain liability exposure and continue to administer claims from its policies, while AIG will gain the rights to renew commercial retail business across the U.S., U.K., Europe, and Asia Pacific. The transaction is subject to regulatory approvals, and AIG plans to start writing policies for existing Everest clients starting January 1, 2026.
Why It's Important?
This acquisition is a strategic expansion for AIG, enhancing its position in the commercial insurance market. By acquiring Everest’s renewal rights, AIG can increase its market share and diversify its insurance offerings without incurring additional capital costs. This move is expected to drive growth in AIG’s general insurance segment, potentially leading to increased revenue and profitability. For Everest, the transaction allows the company to focus on its core reinsurance, global wholesale, and specialty insurance businesses, optimizing its operations for sustainable financial returns.
What's Next?
AIG plans to begin writing policies for Everest’s existing clients in early 2026, with a phased approach starting in the U.S. and extending to the EU later in the year. The company will work closely with Everest to ensure a seamless transition for clients and brokers. Additionally, Everest has announced a new operating structure for its insurance division, focusing on global markets and specialty insurance lines. This restructuring aims to strengthen Everest’s position in the excess and surplus (E&S) market, with Jason Keen appointed as CEO of Global Wholesale and Specialty Insurance.
