Right Choice insurer was the wrong choice

[betaboy]

Looks like AIG, the parent of our Right Choice insurer AIA, is on the verge of bankruptcy. Has anybody had any success with opting out of a policy mid year? Not interested in making monthly payments to a life insurance policy with a company that has a doubtful ability to pay out.


AIG unit says will continue to meet obligations | Markets | Markets News | Reuters (http://www.reuters.com/article/marketsNews/idUSHKG3590920080916)

Credit Suisse sees higher chance of AIG bankruptcy | Deals | IPOs | Reuters (http://www.reuters.com/article/newIssuesNews/idUSBNG6841220080916)

[Apple Tree Yard]

no bankruptcy...relax. $85B loan from the Feds....AIG lives.

[Cpt. Underpants]

ILFC is a wholly-owned subsidiary of AIG. No doubt TT will have some caveat in his next missive...

Any idea how many aircraft we lease through ILFC - anyone?

[CodyBlade]

They have to pay the loan back within 2 years.Wonder where $US85bn will come from?

[boocs]

Like most things of late, it buys them time. At the moment, the origin of the $85 bill is probably not their highest priority, the 2 years of 'grace' is.
b.

[fire wall]

Betaboy,
AIG and AIG Asia (the pseudo parent of AIA ) are seperate entities.
The union has been advised that AIA is and will remain solvent.
If you have concerns, of which given the current turmoil you are certainly entitled, then please call the office.

[betaboy]

They may be separate entities but AIA's parent is still AIG. Not clear to me at all what would happen in a bankruptcy, nor is it clear to most analysts who follow these things.

It should not surprise anyone though that they are issuing statements claiming that they are still solvent and that there is nothing to worry about!

Anyhow, will follow up with the AOA.

[Fly747]

The US Government insures you now, just like it sponsors Manchester United!