Peter Zaffino on property market
From American International Group Inc ($AIG) Q1 2026 Earnings Call · · Castify Earnings Call
“The Lexington large account shared and layered business in excess and surplus lines, which is less than 10% of our global property portfolio, has been under significant pricing pressure over the last year, and that's a different story. Given continued pressure on rate on a policy year basis and our general observations, we have been contracting our Lexington large account portfolio, and you should expect that to continue throughout the year if the current market environment persists.”
On , Peter Zaffino, Chief Executive Officer & Chairman at American International Group Inc, spoke about property market during American International Group Inc ($AIG) Q1 2026 Earnings Call on Castify Earnings Call.
About Peter Zaffino
Peter Zaffino, Chairman and CEO of AIG, announced during the company’s first quarter 2026 earnings call that AIG had delivered what he described as its strongest first quarter since he joined the company. He reported adjusted after-tax income per diluted share of $1.81, a 56% year-over-year increase, and underwriting income of $626 million, up 46%. Zaffino also noted that the board approved an 11% increase in the quarterly dividend to $0.50 per share, marking the fourth consecutive year of double-digit percentage increases. On the Q4 2025 earnings call, Zaffino stated that 2025 was the first year since 2008 that AIG delivered greater than $2 billion in underwriting income, excluding divested businesses, and that the company returned $6.8 billion in capital to shareholders, including $5.8 billion in share repurchases. Zaffino has discussed AIG’s use of artificial intelligence, stating on the Q1 2026 call that in Lexington middle market property, the “AIG Assist” tool helped deliver a 30% improvement in quoting more submissions, reduced time to quote by 55%, and increased binding of submissions by approximately 40%. He also addressed market conditions, saying that the Lexington large account shared and layered business in excess and surplus lines, which he described as less than 10% of the global property portfolio, has been under significant pricing pressure, and that AIG has been contracting that portfolio. In a podcast interview, Zaffino said that if a transformation has unanimous support, it is “probably not bold enough,” and that he defines grit as “hard work,” “determination,” and “preparing a team to win.” He announced on the Q4 2025 call that he would retire as CEO and transition to the role of executive chair, stating he was “incredibly proud” of the work accomplished and “could not be more confident in AIG’s future.”