AIG Hawaii to Take Farmers Name in 2010
Chad Hemenway, associate editor, Best Week
Best Wire, A.M. Best
November 26, 2009
Beginning in 2010, AIG Hawaii Insurance Co. Inc. will be known as Farmers Insurance Hawaii Inc. to reflect its new ownership.
AIG Hawaii will maintain all of its Hawaii-based services. All branches statewide will remain open and fully staffed, the company said in a statement. Attempts to reach AIG Hawaii for comment were not immediately successful.
The insurer said it is the only member company of Farmers to have a state designation in its name and logo. Robin Campaniano, president and chief executive officer of soon-to-be Farmers Insurance Hawaii, said in a statement that Farmers "understands that Hawaii is a unique market, and that our history in the islands and local values will truly differentiate us from other companies."
On July 1, 2009, Zurich Financial Services Group and its subsidiary Farmers Group Inc. closed on the previously announced agreement under which it acquired AIG's Personal Auto Group, excluding AIG's Private Client Group. As part of the transaction, Farmers Group immediately sold the regulated insurance entities to Farmers. The transaction will allow Farmers entry into the direct market through the well-established platform of 21st Century Insurance Co. In addition, the acquisition broadens and improve Farmers' product and geographic diversification, according to BestLink.
According to its Web site, AIG Hawaii provides personal and business insurance that includes homeowners, life, disability, long-term care, workers' compensation and commercial automobile products. The company says it is the largest provider of mass-marketed auto insurance in Hawaii.
AIG Hawaii Insurance Co. currently has a Best's Financial Strength Rating of A (Excellent).
The largest writers of private passenger auto insurance in Hawaii in 2008, according to BestLink, were: Berkshire Hathaway Insurance Group, with a 22.6% market share; State Farm Group, with 15.7%; American International Group, with 13.4%; USAA Group, with 10.2%; and Allstate Insurance Group, with 8.1%.
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