American International Group Inc. has agreed to sell its personal travel insurance business to Zurich Insurance Group Ltd. for $600 million, plus a potential earnout, as AIG continues to focus on its core property/casualty insurance operations.
The sale will include AIG’s Travel Guard business, excluding Japan and AIG’s joint venture in India, the insurer said in a statement. Travel coverage offered through AIG’s accident and health division is also excluded from the deal, which is expected to close by year-end.
Zurich said it will roll the business into its Cover-More division, which will have about $2 billion in gross written premium after the deal closes.
AIG has sold several noncore units over the past two years. Earlier this month, it completed the deconsolidation of Corebridge Financial, its life and retirement business. It began the divestment of the business in 2022. Last year, it sold Validus Reinsurance Ltd. to RenaissanceRe Holdings Ltd.
