Tuesday, September 16, 2008
Annuities: I Own An AIG Annuity
The answer is, AIG may not be safe as a company from a cash perspective. However, you don't need to panic just yet. There are state guaranty associations and safety nets set up for these type of situations. They are limited into how much they protect, however it is good to know that there is something available to consumers.
What to Do If You Own an AIG Annuity
Right now, there isn't much you can do. We have personally been trying to call them and they are virtually impossible to get a hold of right now. The best advice I can give you is not to panic. There are safety nets set up for these type of situations. AIG's Peter Tulupman, a company spokesman, claimed earlier in an emailed statement "Insurance policies written by AIG companies are direct obligations of our regulated insurance companies around the world. These companies are well capitalized and meet or exceed local regulatory capital requirements." To the extent that is true, only time will tell.
Again, state guaranty funds are there to help. You can continue to contact AIG for an answer but it may be a little bit before you can get a hold of them. In the meantime, if you would like some peace of mind, my best advice is to contact your state guaranty association.
Here is a way to do that. This link, http://www.milifega.org/links.cfm is the link for the State of Michigan guaranty association. Even though this is the Michigan site, if you click the down arrow, you will probably find your state guaranty association. Most of them are listed here, although, unfortunately, not all of them.
At these sites, there is so much useful information and people you may contact. Furthermore, there is information on ratings agencies. My personal favorite part about this site is the FAQ section on the left hand side. It is full of useful information.
If you do not find your state, don’t worry. Try calling any state’s guaranty association and they can likely give you the number to another state’s association.
For more information on your annuities, please feel free to visit us at http://www.AnnuityMD.com.