The taint of AIG

Anger over the retention bonuses paid to executives at the bailed-out AIG is now spilling over onto its subsidiaries. Auto-insurance division 21st Century Insurance is nervous enough that the company's president today sent out a pre-emptive damage control letter to customers. He even uses boldface type:

It is important to clarify that although the insurance companies affiliated with the 21st Century Insurance brand are subsidiaries of AIG, they have not accessed or needed any of the Federal Reserve borrowings to fund their operations. Nor have they received any capital contribution from any AIG company to support their operations. 21st Century Insurance is an organization of 6,500 employees whose mission is to deliver outstanding value and service for your auto insurance needs - a mission we are striving to achieve every day.

Read the full memo here.

I don't know if people are canceling policies over the bonuses, but I have seen a few calls for boycotting the company (such as this one).