AIG Announces Exclusive Distribution Relationship with HSBC in Turkey and France

Mon Jan 28, 2013 11:50am EST

* Reuters is not responsible for the content in this press release.

LONDON--(Business Wire)--
American International Group, Inc. (NYSE: AIG) today announced that it has
entered into 10-year bancassurance agreements with HSBC Group companies under
which AIG will become the exclusive provider of non-life insurance products to
HSBC Group customers in Turkey and France, as well as in other countries in
Continental Europe as may be agreed. AIG expects to pay a total consideration of
approximately US$55 million for the exclusive distribution access in Turkey and
France, and expects to launch the partnerships in the first half of 2013. 

Turkey represents one of AIG`s strategic business expansion countries. The
distribution arrangement will allow for the significant advancement of this
strategy through a bancassurance relationship providing enhanced access into the
country`s consumer and commercial SME non-life insurance lines. 

Dan Doherty, President of Consumer Insurance for AIG`s EMEA region, said, "We
are pleased that this long-term collaboration will allow us to expand our
existing distribution arrangement and operations platforms with HSBC in Turkey,
while offering the opportunity to develop new capabilities over the life of the
relationship. We are particularly excited about our increased access to offer
Accident & Health products to this key market." 

The relationship also includes the acquisition of HSBC`s French non-life
subsidiary, HSBC Assurances IARD (HAI), for total consideration of US$14.5
million, consisting of a completion purchase price of US$13.3 million and a
contingent deferred payment of up to US$1.2 million based upon written premiums
in 2013. 

Mr. Doherty continued: "Our strategic partnership with HSBC in France will allow
us to deliver value added insurance solutions to HSBC`s customer base. We are
delighted with the enhanced capacity to further the growth of our core consumer
platform in France." 

The partnership is conditional upon the parties agreeing country-specific
agreements in France and Turkey and the completion of the HAI acquisition is
conditional on receipt of customary regulatory approvals. 

American International Group, Inc. (AIG) is a leading international insurance
organization serving customers in more than 130 countries and jurisdictions. AIG
companies serve commercial, institutional, and individual customers through one
of the most extensive worldwide property-casualty networks of any insurer. In
addition, AIG companies are leading providers of life insurance and retirement
services in the United States. AIG common stock is listed on the New York Stock
Exchange and the Tokyo Stock Exchange. 

Additional information about AIG can be found at | YouTube: |Twitter: @AIG_LatestNews| LinkedIn: | 

AIG is the marketing name for the worldwide property-casualty, life and
retirement, and general insurance operations of American International Group,
Inc. For additional information, please visit our website at
Products and services are written or provided by subsidiaries or affiliates of
American International Group, Inc. (AIG). Not all products and services are
available in every jurisdiction, and insurance coverage is governed by actual
policy language. Certain products and services may be provided by independent
third parties under contract with AIG or its subsidiaries or affiliates.
Insurance products may be distributed through affiliated or unaffiliated
entities. In Europe, the principal insurance provider is AIG Europe Limited.

American International Group, Inc.
Marie Ali, +44 (0) 20 7651 6396

Copyright Business Wire 2013