AIG said to be selling $2bn death benefits portfolio

American International Group (AIG) wants to sell a $2 billion portfolio of life settlements that would pay out when sick or elderly customers die, Reuters reported on Aug. 15 citing two people familiar with the matter.

AIG is working with investment bankers at Goldman Sachs Group to unload the assets, the sources reportedly said.

An AIG spokesperson declined to comment on the Reuters article.

However, the spokesperson noted that the life settlements are part of AIG’s legacy portfolio of assets, businesses and products AIG intends to exit.

Furthermore, AIG spokesperson Kenny Juarez clarified that the life settlements portfolio is separate from AIG’s operating life business:

“AIG is committed to maintaining and growing our life insurance business in our consumer portfolio. We are making investments to grow it by collaborating with our distribution partners and strengthening our service platforms, resulting in increased sales. In the U.S., our total sales are at the highest level achieved since 2008.”

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