AIG Reports Strong Q3 Results, Surpassing Earnings Expectations

NEW YORK - American International Group, Inc. (NYSE: AIG) announced third-quarter earnings on Tuesday that surpassed expectations. Strong insurance results and high investment income were the driving forces behind this performance.
The insurance giant reported a diluted earnings per share of $1.23, exceeding analysts' estimates of $1.10. Revenue stood at $6.4 billion.
AIG's General Insurance unit demonstrated solid underwriting results with a combined ratio of 92.6%. The adjusted accident year combined ratio was 88.3%.
Peter Zaffino, AIG's Chairman and CEO, stated, "AIG reported excellent third-quarter financial results with strong profitability and growth across our businesses, highlighting the quality of our insurance portfolio and our ability to generate stable earnings."
Net premiums written in General Insurance grew by 6% year-over-year on a comparable basis, led by a 7% increase in Global Commercial Lines. North America Commercial Lines recorded an 11% increase, driven by 22% growth in new business.
The company reported net investment income of $973 million, a 14% increase compared to $856 million in the same quarter last year. This increase was attributed to higher income from alternative investments and fixed-income securities.
AIG continued to implement its capital return plans, executing $1.5 billion in common stock repurchases during the quarter and paying $254 million in dividends.
The insurer completed the quarter with $4.2 billion in parent liquidity and a total debt-to-capital ratio of 17.9%.