Wednesday, September 24, 2008

AIG insurance offer

I guess the US Government is now AIG is still selling insurance:
And I also got another offer for 0.00% APR on a new credit card today.

I always wondered how they could keep giving out those pre-approved credit cards. Now I understand. The rules were designed to grant everyone credit, regardless of one's creditworthiness.

Laws cannot be written ex post facto. But if any laws were broken, I hope the individuals will be held accountable.

Tim White

2 comments:

breachway said...

Tim,
Most of their insurance is thru subsidiaries....the insurance business doen't appear to be at risk. I'm glad because i have a term life policy that I have had for awhile...I will also add that there are a lot of ramifications if AIG went under...so I think the bailout was the right thing

tim white said...

Hi Breach...

I don't understand insurance that well... at least not reinsurance. So I don't disagree.

But I do understand banking, including investment banking and their different "products." And while the banks are interconnected, they can fail and the world won't fall apart. Witness JPMorgan buying part of WaMu.

I would compromise on the banking part though, if they'd all agree to a return to sound money. But without that commitment, what reason do they have to stop printing (and devaluing) the dollar?