Ironically, the orgy of outrage over the AIG bonuses may end up costing taxpayers far more than the $165 million that everyone is so upset about. That’s because we, the U.S. taxpayers, essentially own this company. And the pitchfork-wielding displays of indignant hyperbole debate over the last couple of weeks are destroying our company's brand.
While AIG may yet turn out to be the secret plot to destroy the world we've long suspected it to be, it also happens to be the world’s largest insurance company. While its financial products division is an unholy train-wreck of credit default swaps and other ridiculously imprudent derivatives, the rest of AIG is a viable business that sells people insurance and makes money.
AIG’s already tarnished brand has dropped to somewhere just above that of Enron and Satan. Who will buy insurance from AIG now? If AIG isn’t selling insurance, AIG isn’t getting paid. If AIG isn’t getting paid, neither are we. And that’s a problem.
Frankly, I’d like us to get a return on our investment. Our elected officials aren’t making that any easier. - Taylor
