AIG Flips to Q1 Profit; Buffett Explains Rationale for Reinsurance Deal

American International Group has reported net income in the first quarter of $1.18 billion, a reversal of a 183 million net loss in the first quarter of 2016. Commercial insurance written net premiums decreased 17% in the quarter, to $3.63 billion. The commercial insurance combined ratio was 102.2, up from 97.7 in the prior year quarter. In February, AIG reported a $3.04 billion loss for the fourth quarter of 2016, a period that included a $5.6 billion impact from prior year adverse loss-reserve development. For the full year 2016, AIG reported a loss of $849 million, compared to a $2.2 bill...