Lexington Insurance Company Introduces Enhanced LexElite(R) Homeowners Insurance; Expanded Policy Addresses Major Consumer Concerns: Mechanical Breakdowns, Accidents, Identify Theft, and Non-Profit Liability Exposures.

NEW YORK -- Lexington Insurance Company, a member company of American International Group, Inc. (AIG), today announced it has expanded its LexElite homeowners insurance policy to now include coverage for mechanical breakdowns, identity theft and accidental death and dismemberment (AD&D). In addition, LexElite Homeowners Insurance is also offering optional excess charitable board directors and trustees liability insurance for homeowners serving on the board of directors of qualifying non-profit organizations.

LexElite Homeowners Insurance is designed for high-value homes or high-risk properties, including coastal properties. It can cover primary, secondary, and seasonal residences as well as rental properties.

The policy's new mechanical breakdown insurance covers breakdown of the insured home's heating, hot water, air conditioning and other mechanical equipment. With the advent of more expensive homes with custom designed features and equipment, there is a growing need for this coverage.

The new family security insurance extends AD&D insurance to immediate family members who reside with the homeowner. In the case of a home invasion, home collapse or other event that may cause death or injury to the insured and any immediate family member, the AD&D endorsement provides a monetary benefit, the level of which is determined by the type of injury or a possible death. Additionally, the family security insurance coverage includes identity theft protection, which provides legal defense for actions related to identity theft and reimbursement costs associated with re-filing for loans, grants or other credit/debit instruments and payment of lost wages as a result of time off work to replace identity related items. Lastly, the optional charitable board directors and trustees liability insurance, provides excess directors and officers insurance to homeowners and their spouses serving on up to five qualifying not-for profit boards.

"Consumers today face unexpected costs in numerous areas not covered under homeowners or other traditional insurance policies," said John Moran, Vice President Personal Lines, Lexington Insurance Company. "After listening to our customers and analyzing the exposures in the marketplace, we have provided a simple way for homeowners to protect against several of these unpredictable costs and liabilities."

Additional companion coverages, including excess flood and personal umbrella/excess personal liability insurance, can be cost effectively obtained with LexElite Homeowners Insurance. For more information on LexElite Homeowners Insurance, please contact your insurance agent or John Moran, Vice President Personal Lines, at 617.345.4112 or [e-mail].

American International Group, Inc. (AIG), world leaders in insurance and financial services, is the leading international insurance organization with operations in more than 130 countries and jurisdictions. AIG companies serve commercial, institutional and individual customers through the most extensive worldwide property-casualty and life insurance networks of any insurer. In addition, AIG companies are leading providers of retirement services, financial services and asset management around the world. AIG's common stock is listed in the U.S. on the New York Stock Exchange as well as the stock exchanges in London, Paris, Switzerland and Tokyo.