AIG falls more than 3% after forecasting more than $1 billion in catastrophe losses

Insurance giant AIG said This particular expects to report between $1.5 billion as well as also $1.7 billion in pre-tax catastrophe losses for the third quarter.

The company said the losses were a result of numerous weather events like the typhoons in Japan as well as Hurricane Florence. AIG said its currently projecting between $900 million as well as also $1 billion in losses related to events in Japan as well as also Asia as well as also between $0 million as well as also $700 million for North America.

For the fourth quarter, AIG said its initial loss projections related to Hurricane Michael were between $300 million as well as also $500 million.

AIG also said This particular has “exhausted approximately $700 million of the $750 million retention under its North America aggregate catastrophe reinsurance program following the California mudslides, Hurricane Florence as well as also assuming the high end of the loss estimate range for Hurricane Michael.”

AIG President as well as also CEO Brian Duperreault said, “We are pleased in which our efforts to restructure our North American reinsurance portfolio are yielding the desired result to mitigate our exposure to catastrophe losses.”

Duperreault also said the company’s “thoughts are with those who have been affected by the recent extreme events.”

AIG is usually scheduled to Discharge final third-quarter results on Nov. 1.

The stock fell as much as 5 percent in after-hours trade. Shares of the insurer have already fallen 23 percent inside past 12 months.

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