AIG Leadership Transition: Strategies for Growth and Compliance

In 2021, Peter Zaffino became CEO of American International Group (AIG) with a mission to refine the company into a high-performing industry leader. His strategic approach involved divestments, acquisitions, and agreements aimed at enhancing core business operations and regulatory compliance. As Zaffino steps down, Eric Andersen, formerly with Aon, is set to lead a more profitable organization.

Under Zaffino’s leadership, AIG focused on its property and casualty (P&C) segment, divesting non-core businesses to improve operational metrics and risk management. For example, the General Insurance division’s combined ratio for the first nine months of 2025 was reported at 90.6%, reflecting strong financial health. AIG's strategy included reducing participation in non-profitable areas and reinforcing its P&C focus by selling stakes, such as a 9.9% share in its life and retirement business to Blackstone for $2.2 billion.

Strategic Divestments and Acquisitions

AIG strategically divested significant assets, including its retail mutual funds, for enhanced capital management and reduced portfolio volatility. Notably, AIG also made substantial investments like acquiring renewal rights for parts of Everest Group’s insurance portfolios and investing $2.1 billion in Convex Group to boost earnings and improve underwriting processes. Furthermore, AIG initiated Lloyd’s Syndicate 2479 in collaboration with Amwins, showcasing new structural innovations in claims management and carrier partnerships.

Leadership Transition

Eric Andersen’s appointment as CEO comes amid shifts in AIG’s top management. His leadership follows John Neal’s unexpected departure due to personal reasons, along with a mutually agreed payment of $2.7 million. Andersen will join AIG’s board and assume full CEO responsibilities by mid-2026, steering the organization’s vision for regulatory compliance and operational excellence.

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