Key Highlights

  • USD 904 million was returned to shareholders in the June quarter by American International Group (NYSE:AIG), including USD 641 million of Buybacks and USD 263 million of dividends, per the company release.
  • Adjusted EPS of USD 2.00 beat a USD 1.89 consensus in June, while the screener consensus for the September quarter is USD 1.87, about 6.5 percent below June (simple arithmetic).
  • The General Insurance combined ratio came in at 89.0 percent, an improvement of 30 basis points. Net premiums written reached USD 7.5 billion, up 9 percent, and catastrophe losses totaled USD 210 million.
  • Travelers posted core EPS of USD 9.18 on October 16, 2026, versus USD 7.25 expected, but its shares were reported about 4.4 percent lower premarket. AIG follows with results after the close on November 3.

What AIG Reports on November 3

American International Group reports third-quarter 2026 results after the close on Tuesday, November 3, 2026, and is valued at about USD 42.55 billion on the screener. In the June quarter, adjusted after-tax income was USD 2.00 per diluted share, up 10 percent, while GAAP EPS of USD 1.78 fell 10 percent because of Fair Value changes on its stake in Corebridge. Revenue of USD 7.09 billion missed an estimate of USD 7.27 billion even as profit beat. Book Value per share was USD 77.39 and core operating Return on Equity was 11.1 percent. The quarterly Dividend is USD 0.50 per share. Management has not issued numeric guidance, only confidence in its 2025 Investor Day objectives.

How an Insurer's Quarter Is Built

The combined ratio adds claims and expenses and divides by premiums, so a figure below 100 percent means an Underwriting profit. AIG's June ratio of 89.0 percent included USD 210 million of catastrophe losses, or 3.4 points, of which USD 75 million related to the Middle East conflict. The accident year ratio excluding catastrophes was 88.1 percent. Third-quarter results are the first to absorb the heart of the Atlantic hurricane season, so catastrophe losses are the largest swing Factor between the USD 1.87 consensus and a surprise either way. Buybacks of about 8 million shares in June also lift per-share results by cutting the share count.

Bull Case, Bear Case and the Travelers Read-Across

In the bull case, catastrophe losses stay modest, the combined ratio holds near 89 percent and EPS lands at or above USD 2.00, in line with the June quarter. In the bear case, storm and conflict-related losses lift the ratio and revenue misses again. Travelers is a cautionary precedent: it beat with a combined ratio of 86.8 percent and catastrophe losses of USD 538 million, up from USD 402 million, yet the shares were reported lower premarket. No options-implied move was verified; as labeled arithmetic, a 4 percent move on USD 42.55 billion is about USD 1.7 billion. Prudential Financial (NYSE:PRU) also reports that evening, so life and property insurers will be read together.

Where Things Stand

The insurer is American International Group (NYSE:AIG), and the answer to its Earnings test is that expectations look achievable but not generous: USD 1.87 is below the USD 2.00 it earned in June. Underwriting discipline and buybacks are supportive, while catastrophe losses, revenue growth and the Corebridge-driven GAAP gap are the risks. The next catalyst is the after-the-close release on November 3, 2026, where management commentary on pricing and the 2025 Investor Day objectives will be closely watched.