San Fernando Valley drivers who have been involved in accidents, who are insured with AIG probably have little need to worry about their coverage. The comfort should also go to all Southern California drivers who were injured when hit by a driver insured with AIG.
With the government bail-out of the troubled insurance company by lending it $85 billion dollars, AIG policyholders, and those entitled to compensation due to the negligence of an AIG insured driver will be protected. At least for now, the company remains solvent. AIG will sell off assets to service this new loan, and it is expected to survive this disaster.
With a 52 week high of $70.13, AIG’s stock closed today at $2.05. Surely the company has a lot of rebuilding to do.