Bailed-out insurance company AIG posts $ 20 billion profit on a tax-related …
Article from Washington Post:

NEW YORK — American International Group, the insurance company that was bailed out by the government in 2008, reported a $ 19.8 billion profit in the fourth quarter of last year, nearly all of it due to a tax-related accounting gain.

In the same period a year earlier, the company earned $ 11.2 billion. Excluding the accounting adjustment, AIG had operating earnings of $ 1.6 billion, compared to an operating loss of $ 2.2 billion a year ago.

The company also earned $ 17.8 billion for 2011, its second straight year of profits. And that, CEO Robert Benmosche said in a statement, was something that AIG’s skeptics would have thought “inconceivable” a couple of years ago. The insurance giant teetered near collapse in 2008 before being taken over by the federal government. The government still owns about 76 percent of AIG.

Despite the two years of profitability, AIG’s recent financial results have been inconsistent. Over the past two years, only half of its quarterly reporting periods have been profitable.

Benmosche is trying to refocus AIG on property-casualty and life insurance while also pulling back on investments in riskier areas like the o…………………continues on Washington Post

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Car insurance scam: 37 arrested in Project Whiplash raids
Article from Toronto Star:

Toronto police Chief Bill Blair said the arrests in an alleged car insurance scam on Thursday were a “very important result for every citizen of Ontario,” since insurance fraud increases premiums province-wide.

ANDREW FRANCIS WALLACE/TORONTO STAR

Wendy Gillis Staff Reporter

An extensive investigation into a multi-million-dollar auto-insurance scam led to the arrest of 37 people in early morning raids across the GTA on Thursday.

The investigation — which stemmed from one suspicious accident report made in 2009 — examined 77 crashes that police say were staged so those allegedly involved could profit from insurance claims.

At a news conference Thursday, Toronto Police Chief Bill Blair said the arrests, which resulted in more than 130 charges, were a “very important result for every citizen of Ontario,” since insurance fraud results in premium increases province-wide.

“The victims of this crime are all of us who operate motor vehicles,…………………continues on Toronto Star
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