AIG launches new Bermuda subsidiary
American International Group (AIG) has launched a new Bermuda-domiciled subsidiary in response to strong demand for alternative risk financing programmes, particularly from small and medium-sized companies.
Grand Isle SAC Ltd will offer customers the option of establishing segregated accounts in an AIG-sponsored captive.
Customers gain access to the captive's established capital, insurance licence, and underwriting capabilities to retain and manage their risk, without the costs of starting and operating their own stand-alone captives, AIG said in a statement today.
Segregated account companies have been used across all industry segments for a range of coverages, from general and professional liability to employee benefits and cyber risk. A segregated accounts company is considered an option for a company looking to share risk in order to achieve cost savings and flexibility in its insurance programme.
AIG Captive Management Services in Bermuda manages the regulatory requirements, financial reporting, and administrative functions for all customers participating in Grand Isle.
“Grand Isle furthers AIG's active participation and involvement in Bermuda's captive insurance market,” said. Bob Gagliardi, head of AIG's worldwide captive management operations. “We see Grand Isle strengthening AIG's commitment to our captive clients and to one of the most important captive markets in the world.”