Aig: California, Here We Come
Maurice Greenberg is spreading his wings. On Sept. 28, his American International Group invested $216 million in 20th Century Insurance, the California-based home and auto insurer. 20th Century needed the capital: It had been hit with $815 million in claims from the January earthquake. The deal also represents Greenberg's biggest effort yet to pursue U.S. consumers, a market where AIG has been weak. With 40% of the California insurer in its pocket, aig hopes to set up joint ventures in other states to sell auto policies--a business it began testing in 1992, when it bought a stake in Robert Plan, a Long Island, N.Y., insurer.