AIG Q2 adjusted profit rises  on premiums, underwriting growth

American International

06/08/2026 21:32

Overview
US insurance group's Q2 General Insurance net premiums written rose 9% yr/yr
Adjusted after-tax income per share grew 10% yr/yr; net income per share fell 10%
Company returned $904 mln to shareholders via buybacks and dividends in Q2

Outlook
AIG says insurance market has shifted to a more selective pricing environment
Company remains confident in meeting its 2025 financial objectives
AIG sees significant opportunity for sustainable, profitable growth

Result Drivers
PREMIUM GROWTH - General Insurance net premiums written rose 9% yr/yr, driven by organic growth in select segments and strategic transactions, partially offset by declines in North America Property lines
UNDERWRITING IMPROVEMENT - Underwriting income rose 10% yr/yr, supported by improved expense ratio and higher favorable prior year development, partially offset by higher catastrophe-related charges
LOWER INVESTMENT INCOME - Net investment income fell, mainly due to changes in the fair value of AIG's investment in Corebridge and equity securities

Company press release: ID:nBw8xYvxza

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 EPS
 
$1.78
 
Q2 Net Income
 
$948 mln
 

Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 8 "strong buy" or "buy", 15 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the property & casualty insurance peer group is "buy."
Wall Street's median 12-month price target for American International Group, Inc. is $88.50, about 10.5% above its August 5 closing price of $80.12
The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 9 three months ago

Reuters Recommended Reads
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Aug 4 - Mercury General Q2 combined ratio improves to 89.9% as cat losses jump to $75 million

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)