American International Group (AIG) Is Using AI To Add To Its Competitive Advantage In Underwriting Precision; But Is It Enough? 

American International Group (AIG) presented its first quarter of 2025 results, showcasing a mix of achievements and challenges that yield insights for potential investors. The company’s performance was framed by significant strategic moves, including the deconsolidation of Corebridge Financial in mid-2024, which has reorganized its financial statements to treat Corebridge’s historical results as discontinued operations. AIG reported an adjusted after-tax income of $702 million or $1.17 per diluted share for the period. This indicates a robust top-line growth with net premiums written amounting to $4.5 billion, marking an 8% increase year-over-year. Notably, the Global Commercial segment saw a 10% rise in net premiums, which demonstrates AIG’s vigorous market positioning in commercial insurance. However, the calendar year combined ratio stood at 95.8%, pressured by $520 million in catastrophe losses driven largely by California wildfires. While the overall market faced the second highest industry losses on record for the first quarter, AIG’s strategic reinsurance frameworks managed to warrant the losses within 2025 expectations.