7. AIG insurance
March 21, 2009 § Leave a comment
and, sine AIGhas 17 trillion in long term claims and it expects new premiums to pay those as they come d, what is the realhealth of AIG?
Friends say the onsurance side is sound,but here is anther point of view.
And a relative who was insured by AIG had a terible experience collecting on an insurance policy for an on site accident.
Thomas Gober, a former Mississippi state insurance examiner who has tracked fraud in the industry for 23 years and served previously as a consultant to the FBI and the Department of Justice, says he believes AIG’s supposedly solvent insurance business may be at least as troubled as its reckless financial-products unit. Far from being “healthy,” as state insurance regulators, ratings agencies and other experts have repeatedly described the insurance side, Gober calls it “a house of cards.” Citing numerous documents he has obtained from state insurance regulators and obscure data buried in AIG’s own 300-page annual reports, Gober argues that AIG’s 71 interlocking domestic U.S. insurance subsidiaries are in hock to each other to an astonishing degree.