Personal Lines

Federal authorities need legislation to give them legal authority to step in when a huge non-bank company like American International Group gets into financial difficulties, Treasury Secretary Timothy Geithner told Congress today.

A New York inquiry into Allstate operations, provoked by statements in an article written by the firm's chief executive, has sparked some fiery words of controversy.

The dollar value of merger and acquisition activity for the U.S. property-casualty sector grew last year by $2.67 million, but worldwide for all insurers the monetary worth of mergers declined, a consulting firm reported.

The International Insurance Society Inc. in New York announced that Michael J. Morrissey has been named its new president and chief executive officer.

New York Insurance Superintendent Eric Dinallo announced today that he has begun an inquiry into whether Allstate Corporation engaged in illegal participation in unregulated insurance markets.

Following the announcement yesterday that Farmers Group Inc. had purchased 21st Century Insurance for $1.9 billion, Farmers' chief executive suggested that major job cuts are not in the cards for the new acquisition.

The January agreement for government units in charge of New Orleans levees to pay something to property owners damaged by the flooding from Hurricanes Katrina and Rita is now mired in a coverage dispute.

Zurich Financial Services Group announced today that through a share offering it had raised $1.08 billion towards the $1.9 billion purchase of 21st Century Insurance from American International Group.