AIG AND HAMILTON LAUNCH JOINT VENTURE TARGETING US SME MARKET

AIG, Hamilton Insurance Group and hedge fund Two Sigma Investments are launching a joint venture that aims to “revolutionise” the $76bn North American small to medium-sized enterprise (SME) insurance market using predictive analytics. The companies announced today they had entered into a non-binding memorandum of understanding to establish what they described as a “technology-enabled, customer-centric” insurance platform. The joint venture will combine Two Sigma’s proprietary data science and technology platform with Hamilton’s technology and underwriting expertise in the SME market, as well as AIG’s capabilities in the SME sector and global presence. The venture is expected to deliver pricing and servicing using predictive analytics and an easy-to-use customer interface. Hamilton chairman and chief executive, Brian Duperreault, will serve as chairman of the board of the joint venture. Richard Friesenhahn, executive vice-president of US casualty lines at AIG, will assume the position of chief executive.