AIG Reports $519 Million Net Income in Q3 2025, Announces Strategic Investments

American International Group, Inc. (AIG) reported its financial results for the third quarter of 2025, revealing a net income attributable to common shareholders of $519 million, or $0.94 per share, compared to $459 million, or $0.72 per share, in the same period last year. For the nine months ended September 30, 2025, net income attributable to AIG common shareholders was $2.36 billion, a significant recovery from a loss of $2.32 billion in the prior year. Total revenues for the third quarter were $6.35 billion, a decrease of 6% from $6.75 billion in the previous year, while revenues for the nine-month period increased slightly to $20.23 billion from $20.07 billion.

The company experienced a 2% increase in premiums written, totaling $6.07 billion for the quarter, driven by growth in its North America Commercial and International Commercial segments. However, net investment income decreased to $772 million from $973 million year-over-year, primarily due to lower income from Fortitude Re funds withheld assets and realized losses on investments. AIG's total assets increased to $163.42 billion as of September 30, 2025, up from $161.32 billion at the end of 2024, while total liabilities also rose to $122.30 billion from $118.77 billion.

Strategically, AIG announced significant developments, including a $2.1 billion investment in Convex Group Limited and a $646 million stake in Onex Corporation, with plans to invest up to $2 billion in Onex’s funds over three years. Additionally, AIG entered into agreements to acquire renewal rights for Everest Group's global retail commercial insurance portfolios for $301 million. These moves are part of AIG's strategy to enhance its market position and expand its capabilities in the insurance sector.

Operationally, AIG reported a favorable development in loss reserves, with a net liability for unpaid losses and loss adjustment expenses totaling $41.63 billion, reflecting a slight increase from the previous year. The company also noted a decrease in its combined ratio to 86.8% for the quarter, down from 92.6% in the prior year, indicating improved underwriting performance. The company’s employee headcount remained stable, and it continues to focus on optimizing its investment portfolio to enhance returns while managing risks associated with market volatility.

Looking ahead, AIG expressed confidence in its ability to navigate market challenges and capitalize on growth opportunities, supported by its strong capital position and diversified investment strategies. The company anticipates continued focus on underwriting excellence and strategic partnerships to drive profitability and shareholder value.