AIG reported first‑quarter 2026 results that surpassed analyst expectations, with adjusted earnings per share of $2.11 and net income of $763 million. Revenue reached $6.97 billion, up 24% year‑over‑year, while net premiums written grew 24% to $5.6 billion. Underwriting income tripled to $774 million and the combined ratio improved to 87.3%, an 850‑basis‑point gain from the prior year. The company also raised its quarterly dividend to $0.50 per share, an 11% increase that marks the fourth consecutive year of double‑digit dividend growth.
The revenue beat was driven by a 24% rise in net premiums written, which in turn was supported by strong demand in both the Global Commercial and Global Personal segments. Adjusted operating revenue of $6.97 billion exceeded the consensus estimate of $6.89 billion, reflecting higher premium volumes and modest pricing gains. The company’s underwriting performance was a key driver: lower catastrophe losses, disciplined pricing, and effective expense management lifted underwriting income to $774 million and improved the combined ratio to 87.3%.
Net investment income fell 36% year‑over‑year to $712 million, largely due to fair‑value changes in Corebridge and equity securities. This decline represents a headwind that offsets some of the underwriting gains, but the company’s overall profitability remains strong thanks to the underwriting lift and controlled operating costs.
Management highlighted the company’s simplification strategy and disciplined capital allocation. CEO Peter Zaffino noted that the quarter was “the strongest first quarter that we’ve seen since I’ve been at AIG,” and emphasized the company’s confidence in sustaining profitable growth. AIG also completed a 35% equity stake in Convex Group and a 9.9% stake in Onex Corporation, and it is in the process of fully exiting its remaining Corebridge stake. The firm’s AI initiative, “AIG Assist,” is boosting underwriting efficiency, with a 30% increase in quoting speed and a 40% improvement in binding for Lexington middle‑market property.
Investors reacted positively to the results, citing the strong underwriting performance, dividend increase, and strategic investments in Convex and Onex as key factors. Analysts highlighted the company’s ability to generate excess cash and its disciplined approach to capital allocation as evidence of robust management execution.
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