Western General Loans and its particular subsidiaries–and this to one another made up on 31 per cent of your own providers 1993 working earnings–render a wide range of user money or other borrowing-relevant services courtesy a national community of 1,2 hundred part offices
American General Company (AG) is amongst the state’s prominent insurance policies and you may financial functions organizations, including three organization locations–advancing years annuities, user financing, and you will life insurance coverage. AG’s advancing years annuity segment try portrayed by the Variable Annuity Existence Insurance carrier (VALIC), and that focuses on taking income tax-deferred old-age arrangements getting coaches or any other team from perhaps not-for-profit organizations and discussed about 25 percent of your businesses operating earnings inside the 1993. While it began with the newest 1980s, Western Standard developed a credibility for selecting other insurance companies–a habit unmatched in the business–and you may assimilating them profitably. This plan off progress thanks to purchase became a business characteristic, and you will AG’s assets quadrupled inside the 1980s.
The real history out of AG , a native out-of Houston, Tx, who situated this new John L. Wortham & Young buck Agencies insurance carrier with his father at the beginning of the latest 20th century. Gus try managing the agency whenever his dad died into the 1924, and you can, the coming year, he designed their own team adopting the Fee away from Is attractive out-of Tx influenced you to solitary insurers could mix traces out-of business, allowing multiple-range underwriting off both fire and you may casualty insurance rates. Towards support of numerous team lovers in addition to John L. Wortham & Young buck Agencies, Gus designed among the state’s first multi-range insurance companies into erican General Insurance provider. Surgery began into the Summer eight, 1926.
With the aid of Wortham’s experience and you may team intuition, AG received a keen underwriting profit in first year of process. The organization paid the very first dividend into preferred inventory through the the third 12 months, quickly through to the stock-exchange freeze away from 1929. In spite of the ramifications of the nice Despair and numerous economic downturns regarding the ensuing many years, dividends have been reduced on a yearly basis, as opposed to protection or interruption, into 1990s.
AG, like the town of Houston overall, saw tremendous increases from the 1930s. Their money and you can excess topped this new $1 million draw because of the 1936; three years later on, the firm is actually signed up to perform inside nine says, along with Texas, and had possessions of nearly $2.2 billion. From inside the 1939, AG dependent their first part, Brand new American General Capital Agency, which had been the company’s Riverside installment loans earliest foray beyond flame and casualty insurance coverage. The fresh new Western General Financing Agency sooner or later offered the unique products–money to own vehicles and you can a property plans–becoming a central hook regarding the organizations financial and you may real property organization phase. From inside the 1945, AG produced its first acquisition, using the organization strategy for it perform afterwards end up being novel in the industry. This new acquired company, Seaboard Insurance Company, are a successful Houston-founded lifestyle and you will fitness insurance provider one to predated AG because of the 12 months.
Living insurance coverage office has American Standard Lifetime and you can Collision; focusing on the entranceway-to-doorway marketing and you may solution out of old-fashioned life insurance policies items in the newest family, so it section accounted for throughout the forty two per cent of corporation’s working income within the 1993
For the 1953, AG hired Benjamin N. Woodson off the National Relationship of Life Underwriters, where he had been controlling manager. At the AG, Woodson worried about expansion into the national market, using his comprehensive company contacts discover acquire others. Their stress within the 1960s is towards broadening the lives and health insurance segment. For the you to definitely avoid, AG ordered life insurance policies enterprises inside the Nebraska, Hawaii, Oklahoma, Pennsylvania, and you will Houston, plus a fire and you will casualty business for the Marshall, Tx.
Good milestone was achieved in 1964 when AG ordered the fresh Maryland Casualty Company, a good Baltimore-created assets and you will liability team dating to 1898. By this purchase, long an intention of Gus Wortham, AG doubled the proportions and you will turned a primary possessions and you can casualty insurance company in all 50 Us and also in Canada. Moreover, construction out-of a different sort of 24-story AG headquarters building was started one to mile to the west of downtown Houston, into the banking institutions out of Buffalo Bayou. The corporation went inside the 1965, and this place would include 36 miles and you can five work environment buildings by the 1990.