American International Group (AIG) Leveraging on AI Capabilities

American International Group Inc. (NYSE:AIG) is one of the 7 best property & casualty insurance stocks to buy right now.

On March 16, McGill and Partners announced a strategic collaboration with American International Group Inc. (NYSE:AIG) that will leverage agentic artificial intelligence capabilities to manage capacity deployment in the subscription market.

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The specialty portfolio of McGill and Partners was assessed by AIG to develop underwriting guidelines for the same. The total investment of AIG into the gross premiums written specialty portfolio of McGill and Partners is estimated to be $1.6 billion, which constitutes 25% of AIG’s capacity.

On March 6, Goldman Sachs raised the price target on American International Group Inc. (NYSE:AIG) from $83 to $90. The firm upgraded the stock’s rating from Neutral to Buy, which indicates an adjusted upside potential of almost 18% at the prevailing level.

According to the firm, the insurer is exhibiting top-tier earnings growth alongside a higher return on equity in the coming years. The upward price target revision comes on the back of the smart accretive deals and strong underwriting foundation, which should raise the operating and premium leverage. Despite normal cyclical pressures, this solid financial flexibility makes the current valuation highly attractive.

American International Group Inc. (NYSE:AIG) serves a number of sectors, including marine, energy-related, and aviation. It caters to these sectors by providing them with industrial and commercial property insurance plans as well as mortgage and other relevant solutions. Additionally, it provides personal accident schemes along with home warranty and commercial mortgage insurance.

While we acknowledge the risk and potential of AIG as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than AIG and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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