New AIG CEO to get $11.8 million after raise

Peter Hancock will receive a raise when he becomes CEO of AIG in September, bringing his total pay package to $11.8 million.

Insurance News


When Peter D. Hancock takes the reins as chief executive officer of American International Group (AIG) on Sept. 1, he will also be accepting a salary increase and a chance at a much larger pay package.

According to a regulatory filing from the global insurance giant, Hancock will receive $1.6 million in annual base salary as well as targets for short- and long-term incentive compensation of $10.2 million. That’s up from a $1.5 million salary and $7.7 in incentive compensation.

It appears likely Hancock will meet those goals, as AIG continues to improve. SEC filings from the previous year reveal AIG’s top executives received amounts above those targets based on “strong individual and company accomplishments.”

Hancock himself qualified for a $3.5 million bonus, alongside Executive Vice President of Life and Retirement Jay Winthrob’s $3.8 million and Executive Vice President of Investments William Dooley’s $2.4 million.

Those bonuses were made public roughly one month after AIG announced it would lay off approximately 3% of its workforce—or 1,900 jobs—in an effort to streamline company processes and increase profitability.

The board approved Hancock’s salary raise Saturday, AIG said.

56-year-old Hancock succeeds former CEO Robert Benmosche, who last year reached $14.8 million in compensation and is retiring to spend more time with family in Croatia.

Hancock is expected to bring “deep experience in financial services” as CEO of AIG, according to the insurer’s chairman, Robert Miller.

“His understanding of the AIG enterprise and the insurance business as a whole; his success in revitalizing AIG’s property casualty business; and his strong leadership and inclusive relationship skills position him perfectly to lead the company to an even more prosperous future,” Miller said at time of appointment.

You may also enjoy: "AIG execs received $6mn bonuses before mass layoff announcement"
"AIG's Benmosche resigns; insurer announces new CEO"
"SNL ranking reveals the biggest US E&S players"

Keep up with the latest news and events

Join our mailing list, it’s free!