AIG’s heads of property casualty and life-insurance/retirement appear to be the two leading candidates to become the conglomerate’s next CEO.
As The Wall Street Journal reported, current CEO Robert Benmosche plans to retire during the 2015 first quarter, in part, spend more time with his family at their home in Croatia. While AIG’s board of directors is considering outside candidates, the two in-house executives have become front-runners in the search, sources familiar with the process told the newspaper.
Peter Hancock, head of AIG’s global property/casualty arm since 2011, is one of the hot choices, according to the Journal article. Hancock joined AIG in 2010, in part to help manage risk exposure, the story noted. He’s based in New York.
The other leading candidate: Jay Wintrob, who leads AIG’s life-insurance and retirement division and resides in Santa Monica, Calif. He’s a veteran AIG man, and has been with the company since 1999, the story noted.
The Wall Street Journal article said that Benmosche has mentored both candidates and the board has met with each man. Neither man would comment for the WSJ story. But an AIG statement issued for the piece noted “the AIG board has spent a considerable amount of time on succession planning as it evaluates both internal and external candidates.”
One source told the newspaper that the AIG board of directors hopes to pick Benmosche’s successor as early as September. AIG’s annual meeting was slated for May 12, 2014.
Earlier this month, AIG disclosed it had booked $1.6 billion in net income during the 2014 first quarter, versus $2.2 billion over the same period in 2013. AIG’s P/C arm produced more than $8.3 billion in net premiums written during the quarter, down from $8.4 billion over the 2013 first quarter. The division’s $97 million underwriting loss during the first quarter was a drop from $232 million in net income produced in the 2013 first quarter.
AIG’s life and retirement division was a bright spot, booking more than $7.1 billion in premiums and deposits during the 2014 first quarter, up from $5.58 billion a year ago. Assets under management for the division also climbed considerably.