AIG Obtains Final Approval for Brexit Restructure

The High Court of England and Wales has granted its final approval allowing American International Group, Inc. (AIG), subsidiary AIG Europe Limited (AEL) to transfer its business into two new entities in preparation for the United Kingdom's exit from the European Union: American International Group UK Limited (AIG UK) and AIG Europe SA (AESA). This approval allows AIG to complete the restructuring of its European operations and ensure its readiness for Brexit.

The two-entity structure enables AIG to continue to service all of its policyholders and business partners across the United Kingdom and Europe, and to guarantee contract certainty to all AEL policyholders, regardless of the future relationship between the United Kingdom and the European Union. Both companies will start writing business, and policyholders will transfer from AEL to the relevant new entity on December 1, 2018.

AIG currently writes business in Europe from AEL, a single insurance company, based in the United Kingdom with branches across Europe. As part of the restructuring, AIG will merge AEL into AESA.

AIG UK will be based in London and will continue the business of AEL's existing UK operations. The United Kingdom is AIG's largest single operation in Europe. AESA will be headquartered in Luxembourg City, Luxembourg, with 21 branches across the European Economic Area and Switzerland.

Anthony Baldwin, CEO of AEL and AIG UK, said, "We can now guarantee [our clients] access to the full range of our capabilities after Brexit. We have cleared the final major legal hurdle in our Brexit plans which will enable us to offer our clients, partners and colleagues certainty that AIG is ready to overcome the challenges posed to the insurance industry by Brexit, regardless of the UK's future relationship with the European Union. All our clients can be assured of past, present and future contract certainty under the new structure."