AIG Home Insurance Review

AIG is a premier carrier offering robust coverages for high-value homes with expensive valuables. But when it comes time to resolve your claim, AIG falters slightly.

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Overview

American International Group Inc., better known as AIG, has been at the forefront of financial protection for almost a century, offering everything from financial planning to risk management to life insurance while also featuring one of the largest property insurance groups in the United States. Their personal lines division – AIG Private Client Group – has only been around about two decades but has quickly become the go-to insurer for people with expensive property who want highly personalized coverage.

Known for their expansive coverages and high liability limits, AIG home insurance policies feature a number of added perks, such as a private firefighting service if you live in a wildfire-prone area, or a complimentary home consultation service for homes built before 1945.

However, AIG struggles where it matters most – claims – as they don’t score too well in J.D. Power’s U.S. Property Claims Satisfaction Study. Considering that AIG is a premier carrier and their rates are some of the highest in the industry, the low marks for customer satisfaction aren’t great. Read on to learn more:

Pros

  • Offers guaranteed rebuilding cost coverage
  • You can choose to receive a cash settlement instead of property replacement or repair
  • Will cover property that is damaged by your pets
  • High deductible options are available to keep your rates down
  • Water backup coverage included
  • If you lose your keys, lock replacement is covered with no deductible
  • Complimentary wildfire or hurricane service if you live in affected areas

Cons

  • You can’t buy strictly homeowners insurance; you need to buy an accompanying policy, like an auto or excess flood insurance policy
  • You can’t get quotes through the AIG website
  • Subpar claims record (J.D. Power claims satisfaction rating 2 out of 5)

AIG by the numbers

Founded: 1919

Market share: 1.19%

A.M. Best: A (Excellent)

Better Business Bureau: Not accredited

Consumer Reports: N/A

J.D. Power: 3 out of 5 (Above average)

Which states is AIG available in?

AIG homeowners insurance is available in every state and the District of Columbia, indicated in the map and chart below:

home-insurance-carrier-availability-by-state

StateAvailabilityStateAvailability
AlabamaNebraska
AlaskaNevada
ArizonaNew Hampshire
ArkansasNew Jersey
CaliforniaNew Mexico
ColoradoNew York
ConnecticutNorth Carolina
DelawareNorth Dakota
FloridaOhio
GeorgiaOklahoma
HawaiiOregon
IdahoPennsylvania
IllinoisRhode Island
IndianaSouth Carolina
IowaSouth Dakota
KansasTennessee
KentuckyTexas
LouisianaUtah
MaineVermont
MarylandVirginia
MassachusettsWashington
MichiganWashington D.C.
MinnesotaWest Virginia
MississippiWisconsin
MissouriWyoming
Montana

Policy details

AIG offers a single policy – their Private Client Group package – and if you have a whole lot of stuff worth a whole lot of money, this policy may be right for you. The Private Client Group package has all the primary coverage you’ll find in a standard policy – dwelling, other structures, personal property, loss-of-use, liability, and medical payments coverage – but with higher limits of liability and more flexible loss-settlement provisions than you’d find in a standard carrier policy.

Take your policy’s dwelling and other structures coverage, for instance. Under a standard carrier policy, you’d typically have the option of replacement or extended replacement cost coverage of 25% or 50% for your home. That means they’ll reimburse you up to 50% more than your home’s dwelling limit in the event that construction costs skyrocket, which is great, but what if the damage was caused by a natural disaster that causes construction costs to double, or even triple? That’s where AIG’s guaranteed replacement cost coverage comes into play.

AIG Private Client Group

Primary Coverage Features

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  • All-risk coverage for your home, other structures, and personal property
  • Extended replacement cost home and other structures coverage of 50% in Florida, Hawaii, and South Carolina, and 100% in California
  • Guaranteed replacement cost coverage for your home and other structures in most other states
  • Deductibles up to $100,000
  • Option for a cash loss-settlement reimbursement instead of a rebuild or replacement reimbursement for your home, other structures, and contents
  • Unlimited loss-of-use coverage
  • Deductible is waived if your deductible is $25,000 or less and your loss is greater than $50,000

Additional coverage perks

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  • Proactive loss-prevention services if you live in a wildfire or hurricane-prone area
  • Unlimited building ordinance or law coverage
  • Covers food spoilage with $250 deductible
  • Unlimited water backup coverage with no deductible or sublimits
  • Up to $100,000 in loss-assessment coverage
  • Covers damage caused by pets
  • Landscaping coverage of up to 5% of your dwelling limit and $5,000 sublimit for any single tree, shrub, or plant
  • Guests and domestic staffs’ personal property is covered if damaged by a covered loss
  • Lock-replacement coverage
  • $25,000 business property coverage
  • Optional equipment-breakdown coverage
  • Optional green-rebuilding cost coverage

High sublimits for valuables

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  • $2,500 sublimit for stolen money, including coins and medals
  • $5,000 sublimit for lost, misplaced or stolen securities, stamps, jewelry, furs
  • $5,000 sublimit for watercraft, guns, and trailers
  • $10,000 sublimit for lost, misplaced, or stolen silverware
  • $50,000 sublimit for breakage of fragile items
  • $50,000 sublimit for grave markers and mausoleums

How much does AIG cost?

AIG, like most insurers, determines your rates based on a number of factors: the location and construction type of your home, the replacement cost of your home and contents, your liability coverage amount, your deductible amount, and your claims history. In AIG, you’re paying for a highly personalized carrier with coverages and amenities that not a lot of other carriers offer.

Below is a sample policy for a 115-year-old, 2,500-square-foot, single-family home with a $5,000 deductible, guaranteed rebuilding cost coverage for the home and other structures on the property, and replacement cost coverage for personal property.

Basic coveragesPolicy limits
Dwelling$500,000
Other structures$100,000
Personal property$250,000
Personal liability$1,000,000
Medical payments for guests$10,000
Loss of useUnlimited
Premiums$776

Additional coverages

Most of the extra coverages baked into AIG policies would be offered as policy add-ons, or endorsements, by most other carriers.

  • Water backup - Protects your stuff in the event your sewage goes in the reverse direction of where it’s supposed to go
  • Ordinance or law - Unlimited rebuild coverage if a local ordinance forces you to rebuild or repair your home up to code
  • Loss assessment - Up to $100,000 in coverage for your share of repairs if property shared by members of your HOA is damaged
  • Business property - Get reimbursed up to $25,000 for covered losses to business property
  • Equipment breakdown (optional) - $50,000 to $1 million in coverage for large electronic or mechanical appliances — like your washer/dryer, air-conditioning unit, water heaters, TVs, computers, and kitchen appliances
  • Family CyberEdge (optional) - Restores your data, covers cyber-extortion threats, covers cyberbullying, identity theft and restoration
  • Proactive loss prevention - Available in affected locations as a complimentary service, AIG provides you a certified wildfire service and hurricane service to aid you with both loss prevention and emergency services
  • Architectural legacy services - Complimentary consultation service for homes made before 1945; AIG can advise on loss prevention, documentation, and renovation projects that suit your specific home
  • Green-rebuilding cost (optional) - Covers the cost to repair or replace damaged property with designated “green” materials
  • Household SafeGuard (optional) - Up to $250,000 in coverage for expenses that result from a traumatic event, such as kidnapping, home invasion, stalking, carjacking, or hijacking

Here’s how AIG stacks up against the competition in terms of the most common coverage endorsement offerings:

homeowners insurance coverage endorsements by carrier

Discounts

  • Companion policy discount - In some states, you can see a discount on your premiums when you combine your auto, excess liability, or excess flood policy under AIG; also known as a “multi-policy” or “bundling” discount
  • New home discount - Save up to 10% if your home is less than 10 years old
  • Renovated house discount - Save up to 10% if your home has been renovated in the last 10 years; renovations must include plumbing, heating, and electrical systems upgrades and does not apply to cosmetic upgrades
  • Guarded/gated community discount - Depending on where you live, a 5% or 10% discount may be available if you live in a gated or guarded community
  • Central station burglar alarm discount: Save 5% if you have a burglar alarm that alerts authorities
  • Central station fire alarm discount - Save 5% if your home is equipped with a fire alarm that alerts authorities
  • Residential sprinkler system discount - A 5% discount is available to you if part of your home is fitted with a sprinkler system; a 10% discount is available if your entire home is fitted with a sprinkler system
  • Superior protection discount - Save up to 10% if you have any combination of the following apply to your home: smart home devices, 24/7 security guard, a perimeter gate, a full-time caretaker, or a permanently installed backup generator

Company details

Application process

AIG, like Chubb and other premier carriers, doesn’t offer an online or quick-quoting option. Once you get to the product page, you “request a review,” where you input basic personal information like your name and ZIP code, and an independent agent contacts you shortly thereafter to run a quote and see if AIG is right for you.

Since their product is costly, tailored for expensive homes, and robust, AIG may feel their value is better explained over the phone or in person as opposed to an online quote that you can use to compare to cheaper carriers.

Claims process - 2 out of 5 satisfaction rating with J.D. Power

AIG appears to be lagging a little bit in the claims department. Their 2018 claims satisfaction rating with J.D. Power was a 2 out of 5, which is below industry average. That may not be a huge deal if we’re talking about a company with lower rates, like State Farm, but AIG is a premier carrier with high rates, so the low scores are a cause for concern.

If you need to submit a homeowners insurance claim with AIG, the claims page on their website instructs you to either contact your local independent agent or their company hotline if you need immediate assistance. You can’t submit home insurance claims online with AIG.

Other types of property insurance offered

  • Car insurance - Protects your whip
  • Condo insurance - Protects your condo's structure, all your stuff inside, and any additional liability coverage you need to supplement your HOA's master policy
  • Yacht insurance - Taking your yacht for a nice long cruise through the Mediterranean? You’ll probably need yacht insurance
  • Excess liability insurance - Also known as “umbrella” insurance, excess liability insurance kicks in after you’ve reached the liability limits of your standard home or auto policy
  • Private collections insurance - The peace of mind you’ll need for that expensive bling or 72-year-old bottle of Macallan Scotch when your home insurance limits don’t suffice
  • Earthquake insurance - May replace your home if it’s swallowed by Earth
  • Excess flood insurance - Goes beyond the limits of typical flood insurance
  • Private aviation insurance - Insurance for your private jet

Digital tools

  • Online policy viewer and bill pay
  • AIG mobile app

Contact info

Website: www.aig.com
Phone: (212) 770-7000
Headquarters: 175 Water Street 18th Floor, New York, NY 10038

Policygenius’ editorial content is not written by an insurance agent. It’s intended for informational purposes and should not be considered legal or financial advice. The review on this page is only for the carrier’s homeowners insurance products. Not all carriers are currently available through Policygenius. Speak to one of our licensed experts for more information on carrier availability.