Maine’s insurance superintendent is reassuring consumers that insurance companies operating as subsidiaries of AIG Inc. are financially sound.
Superintendent Mila Kofman says the insurers have substantially more in assets than required to pay all present and projected claims. Kofman also warns that cashing or replacing policies from AIG companies or any insurance carrier can be costly.
Earlier this week, AIG signed an agreement with the Federal Reserve Bank of New York for a two-year, $85 billion emergency loan. AIG had teetered on the edge of failure because of stresses caused by the collapse of the subprime mortgage market and the credit crunch that ensued.