New York, Jan 6, 2026, 14:41 EST — Regular session
- AIG shares slid about 6% after the insurer disclosed a CEO transition plan.
- Former Aon executive Eric Andersen will join as president and CEO-elect on Feb. 16.
- Analysts flagged uncertainty as investors weigh continuity of AIG’s turnaround.
American International Group shares fell on Tuesday after the insurer said Chief Executive Peter Zaffino plans to retire by mid-2026 and move to executive chair, with former Aon president Eric Andersen lined up as successor. AIG stock was down 6.2% at $79.13 in afternoon trade.
The leadership change lands at a delicate moment for AIG, which has leaned on tighter underwriting and capital returns to win back investors after years of uneven results. A sudden shift at the top can matter as much as an earnings miss if markets fear a change in risk appetite or buyback pace.
Analysts said the lack of detail around the timing risks distracting management and the market. “At a minimum, the announcement creates uncertainty, discontinuity and distraction in management ranks,” JPMorgan’s Jimmy Bhullar wrote, while Evercore ISI said Andersen may face a learning curve given AIG’s complexity. Insurance Journal
Andersen will join on Feb. 16 as president and CEO-elect — the board’s designated successor — and is expected to take the top job after June 1, with Zaffino staying on as executive chair, the company said. Aon shares were down about 0.1% and the S&P 500 was up about 0.6%.
Zaffino, who also chairs the board, framed the move as an orderly handoff after a multiyear overhaul. “Now is the appropriate time to begin to transition leadership of the company,” he said in the statement. Business Wire
Investors have largely credited Zaffino with restoring underwriting profits and using buybacks and dividends to lift the stock, even as the insurer navigated management churn. AIG shares rose about 20% in 2025, Barron’s reported.
Technically, Tuesday’s drop dragged AIG below its 50-day moving average of about $79.98, a trend line some traders use to gauge momentum. The stock has traded between $69.24 and $88.07 over the past 52 weeks, according to Yahoo Finance data.
The risk for bulls is that a prolonged transition dulls focus on underwriting discipline — the core job of pricing risk so premiums cover claims and costs — just as insurers face swings in catastrophe losses and competitive pricing. Any sign that capital returns slow, or that targets shift, could keep pressure on the shares.
