AIG got a loan from the FDIC for 85 billion dollars because they lost money due to the sub-prime market. AIG is the parent company of many insurance holders.
If AIG has to file for bankruptcy they would pay off as many policyholder claims as they can. For the remaining unpaid claims they would be paid by the state because the state has guaranteed the policies.
If you have property or auto insurance, the state will also cover these, but usually have a cap. The level of coverage may vary by state, but every state association provides withdrawal and cash-value coverage for annuities of at least $100,000. Life-insurance policies are backed up with at least $300,000 in life insurance death benefits and $100,000 in cash surrender or withdrawal value. States offer at least $100,000 in health insurance policy benefits.
Every state including the District of Columbia, Puerto Rico and the Virgin Islands have established guarantee funds to protect homeowner's or car-insurance policies. Most state guarantee funds to pay all of their state's workers' compensation benefits.
Don't take money out of your AIG account. Your AIG insurance and annuity policies are safe because they are still insured. The Insurance Commissioner’s Office will continue to closely monitor the status of AIG to ensure that policyholders are protected and that assets remain to pay claims. If you do decide to cash in your policies check to see if your policy contains a surrender charge or cancellation penalty. Continue to pay your insurance premium bills for you AIG coverage. If decide not pay your policy may be canceled.
If you are unable to contact an AIG representative you can call the Insurance Consumer Hotline at 1-800-562-6900.
Be aware of scams. If someone tells you to replace your AIG policy because "may not be able to pay your claim" this is a scam. Call the Insurance Consumer Hotline at 1-800-562-6900 to report the incident.
To see if your insurer is owned by AIG, visit the state Insurance Commissioner's Web site at insurance.wa.gov and click on latest news or call 800-562-6900.
No comments:
Post a Comment