American International Group Inc., has chosen Chartis as the name for AIU Holdings LLC on Monday. Chartis is derived from the Greek word for map, and sells protection against worker injuries, storm damage and lawsuits. The company named Kristian Moor as chief executive officer of the rebranded property-casualty business (that will consist of Chartis’ commercial insurance, foreign general insurance, and private client group businesses).
Last year AIG almost collapsed because of credit default swaps entered into by its financial products unit. AIG decided to rebrand its property-casualty business and to distance it from the problems of the parent company in March. AIG lost more than $99 billion last year, but the division was profitable, earning more than $2 billion. The division was most recently valued at about $38 billion.
The company announced that it may sell a 20 percent stake in the division through an IPO or in transaction with private investors. “AIG could use proceeds to help repay the U.S. government, which has committed up to $180 billion to rescue AIG, including about $85 billion in loans,” Reuters reports.
Assigning Moor to run the renamed unit will “advance the organization toward its goal of operating independence,” AIG said in the statement. The company has also said it would place two non-U.S. life insurers into special purpose vehicles.