The impending change of administrations means George Bush’s 2004 campaign manager’s usefulness running the AIA is done. His creditials are simple impeccable having worked for such stellar examples of the GOP capitalist model lobbying for Enron.
In the aftermath of the meltdown of the financial system of which AIG is the poster boy I find this blurb from the AIA website most ironic:
Unfortunately, some public policymakers wrongly believe that imposing heavy-handed pricing or other regulatory requirements will solve market problems arising from the increased costs of natural disasters; in truth, these “solutions” actually make market challenges worse.
Yeah guys, having Uncle Sam stick his head in the sand while traders at AIG help implode the financial system trading in unregulated markets works great eh?
Arthur Postal has the story at the National Underwriter complete with the lip stick on a pig quotes from both unnamed sources and Hank Greenberg’s son Evan while Ken Crerar knows the score however:
Marc Racicot, American Insurance Association president and chief executive officer, is resigning his position as of February 2009, and will be replaced by AIA Chief Operating Officer Leigh Ann Pusey.
The resignation was announced today following a meeting of the trade group’s board in Washington, D.C., by AIA Chairman Evan Greenberg, the CEO of Ace Ltd.
Mr. Racicot was not available for comment on his future plans.
Several sources indicated that Mr. Racicot decided to step down in the face of declining revenues due to industry consolidations, as a means of saving the jobs of others at the trade group. The sources made clear that the move was underway before Democratic Sen. Barack Obama was elected president Nov. 4.
Mr. Greenberg’s announcement mentioned that during his tenure, Mr. Racicot “has made a number of important management and reorganization proposals to the AIA board, which the board has endorsed.”
One of those proposals, Mr. Greenberg said, “calls for a realignment of AIA management and a change of leadership.”
Reacting to the decision, Ken Crerar, president of the Council of Insurance Agents and Brokers, said, “Of course, 2009 is a year of change in Washington on a national scale, and now in our own industry with this news.”
He added, “We are grateful to Governor Racicot for his years of service as AIA president and congratulate Leigh Ann in her new role at the helm. Ms. Pusey also currently serves AIA as senior vice-president for government affairs………..
Sources said the trade group is adjusting its budget in the face of belt-tightening by current members and the loss of two members this year: Selective Insurance, which decided to divest its operating units and become a servicer, and Safeco, which was acquired by Liberty Mutual.
Mr. Racicot joined the AIA in August 2005 after a stint as a lobbyist with Bracewell & Guiliani, a Houston and Washington, D.C. law firm.