AIG Insurance is to submit a written proposal to the Insurance Board of Sri Lanka (IBSL) of its withdrawal from the Sri Lankan market and once it is submitted the Board would take the necessary action, IBSL chairperson Indrani Sugathadasa told AdaderanaBiz.lk

AIG’s Regional Managing Director had called for an emergency meeting with her and that accordingly he had arrived in Sri Lanka last Wednesday (11 June), met her and had suddenly told her that AIG was withdrawing its operations from Sri Lanka, said added.

While saying that the oral notice should be followed by a proper written notice, Ms. Sugathadasa said that though companies could withdraw their operations such sudden withdrawal of businesses are not expected.

AIG has notified the IBSL that it intends to invest its Sri Lankan business capital in other operations it is engaged in.

While adding that AIG has carried out only general insurance activities in Sri Lanka and its market share is as low as 1.6 percent, the IBSL chairperson said that AIG has promised the IBSL that it would pay its policy holders their due funds.

AIG has also assured a fair deal to its employees in Sri Lanka, added Ms. Sugathadasa.

The IBSL is preparing to issue a statement on this issue.