• The TUGBBS forums are completely free and open to the public and exist as the absolute best place for owners to get help and advice about their timeshares for more than 30 years!

    Join Tens of Thousands of other Owners just like you here to get any and all Timeshare questions answered 24 hours a day!
  • TUG started 30 years ago in October 1993 as a group of regular Timeshare owners just like you!

    Read about our 30th anniversary: Happy 30th Birthday TUG!
  • TUG has a YouTube Channel to produce weekly short informative videos on popular Timeshare topics!

    Free memberships for every 50 subscribers!

    Visit TUG on Youtube!
  • TUG has now saved timeshare owners more than $21,000,000 dollars just by finding us in time to rescind a new Timeshare purchase! A truly incredible milestone!

    Read more here: TUG saves owners more than $21 Million dollars
  • Sign up to get the TUG Newsletter for free!

    60,000+ subscribing owners! A weekly recap of the best Timeshare resort reviews and the most popular topics discussed by owners!
  • Our official "end my sales presentation early" T-shirts are available again! Also come with the option for a free membership extension with purchase to offset the cost!

    All T-shirt options here!
  • A few of the most common links here on the forums for newbies and guests!

Should I worry about my life insurance through AIG?

Denise L

Tug Review Crew: Veteran
TUG Member
Joined
Jun 6, 2005
Messages
3,616
Reaction score
384
Location
West Coast
Resorts Owned
Starwood/Vistana, Disney, Hyatt, HGVC
I read today that AIG is in financial trouble.

http://money.cnn.com/2008/09/15/news/companies/AIG/index.htm?cnn=yes

I'm wondering what happens to life insurance policies if the company goes out of business. Does anyone know if insured folks like me would have any recourse for annual premiums or anything like coverage through another company?!
 

pcgirl54

Tug Review Crew: Rookie
TUG Member
Joined
Jun 6, 2005
Messages
2,810
Reaction score
23
Location
Florida
Resorts Owned
Marriott Barony Beach
We just applied last week-wondering the same thing. They are one of the largest insurers.
 

Liz Wolf-Spada

TUG Review Crew: Veteran
TUG Member
Joined
Jun 6, 2005
Messages
3,094
Reaction score
2
Location
Wrightwood, CA
Do you have anyone who would know this? I wouldn't trust a word AIG tells you right now. IndieMac said they were fine the day before declaring bankruptcy.
Liz
 

dwsupt

TUG Member
Joined
Aug 26, 2008
Messages
129
Reaction score
0
Location
Illinois
All financial products

I'm worried about my 403b annuity. Most States guarantee insurance but I guess thats only if you die while they look for a buyer.:crash:
 

silvib

TUG Member
Joined
Sep 25, 2007
Messages
633
Reaction score
0
Location
Florida
We, too, have life insurance with AIG. They've been trying for ages to get us to change our policy which would have meant an immediate higher premium for coverage that takes us beyond our contracted term, but we said no. I'm pleased we didn't.
Definitely keeping a sharp eye as we don't want to suddenly find ourselves without coverage.
 

AwayWeGo

TUG Review Crew: Expert
TUG Member
Joined
Jun 6, 2005
Messages
15,785
Reaction score
1,707
Location
McLean (Fairfax County), Virginia, USA.
Resorts Owned
Grandview At Las Vegas

[triennial - points]
So Long, A. I. G. Hello, John Hancock.

Last year my broker got me to dump AIG & move my variable annuity over to John Hancock.

-- Alan Cole, McLean (Fairfax County), Virginia, USA.​
 

Dave M

TUG Lifetime Member
Joined
Jun 16, 2004
Messages
12,242
Reaction score
15
Location
Sun City Hilton Head, SC
It's likely that your insurance, for the most part, is safe. Here are a few excerpts from a Wall Street Journal article written last night in response to the AIG situation:

"AIG's subsidiaries, such as AIG American General, one of the country's leading insurers, appeared to have adequate financial reserves and should be able to pay claims from people who hold its annuities, homeowner, commercial and life-insurance policies."

Moreover, the insurance industry and its regulators long have had rules in place to protect investors. State guaranty associations exist to pay claims in the event that insurance companies fail. The associations are in all states and are funded by insurers in each state."

....

"When an insurer does fail, if the company is short of funds to cover claims, guaranty funds step in to cover claims either within policy limits or limits set by state laws."

....

"For life-insurance policies and annuity contracts, death benefits generally are guaranteed up to $300,000; $100,000 for cash surrender or withdrawal value of life insurance, $100,000 for withdrawal and cash value of annuities and $100,000 for health-insurance benefits, according to the National Organization of Life & Health Insurance Guaranty Associations in Herndon, Va."

....


"Liquidation is a last resort. ... Outstanding claims are paid from the states' guaranty funds, and beneficiaries are the first to be paid.

Owners of life, health or annuity policies are given the opportunity to have their insurance policies assumed by a carrier in good financial health, according to the life and health guaranty group."
 

Timeshare Von

TUG Review Crew: Expert
TUG Member
Joined
Mar 13, 2006
Messages
7,119
Reaction score
1,815
Location
Milwaukee, WI
Resorts Owned
Wyndham (77k points at Myrtle Beach/Westwinds)
Not any more - - the US Government just bailed them out!
 

Denise L

Tug Review Crew: Veteran
TUG Member
Joined
Jun 6, 2005
Messages
3,616
Reaction score
384
Location
West Coast
Resorts Owned
Starwood/Vistana, Disney, Hyatt, HGVC
Not any more - - the US Government just bailed them out!

I just read that on CNN! Now I'm reading as to why AIG and not Lehman :( ...
$85 billion is ton of money for the Fed to "loan."
 

Tia

TUG Member
Joined
Jun 6, 2005
Messages
3,398
Reaction score
506
It is down right scary imho.:eek:
 
Top