American International Group (AIG), the insurance and financial services giant whose demise helped send shockwaves through global markets, has called on customers worldwide to remain calm, amid assurances the business is operating normally.

This applies to AIG's three Indonesian units and other affiliates across Asia, a media statement said.

In its statement, the company, which received a US$85 billion bailout, said, "AIG's life insurance, other financial services business, including the extensive Asia operations, continue to operate normally and remain fully capable of meeting their obligations to policy holders."

AIG companies in Indonesia are PT AIA Indonesia, PT AIU Indonesia and PT AIG Life. All three are in "full compliance with capital and solvency requirements under existing laws", the statement said.

The three companies have combined assets worth Rp 17 trillion ($1.78 billion).

The statement continued, "The AIG companies are fully committed to maintaining required capital levels in all of its subsidiaries and to meeting the needs of their customers around the world. Policy holders of AIG companies can rest assured that the commitment will continue to be honored."

AIG provides services in 130 countries.

"The Indonesian AIG companies are assuring the Indonesian public of our ongoing commitment to the highest standards of policyholder security and customer service," said the statement.

According to an AIG communications officer, 1.3 million Indonesians are currently holding a policy from AIG Life. Data on policy holders of the other two companies are unavailable.

None of the AIG Life customers in Indonesia have requested a termination of their policies, added the officer, who asked not to be named.

But things are a bit different in other Asian countries, with reports that thousands of customers have canceled their policies amid fears AIG would follow investment bank Lehman Brothers Holdings into bankruptcy.

The Associated Press reported that the AIA Singapore headquarters has been flooded with thousands of nervous policy holders seeking to find out the status of their policies or cash them in.

The report said that less than 0.1 percent, or about 2,000, of the company's 2 million policies in force in Singapore -- a nation of 4.6 million people -- have been terminated this week.

In another development, the head of the Singapore unit of AIG resigned Friday after 14 years with the company for reasons unrelated with the latest debacle.

Mark O'Dell, general manager of AIA Singapore, left and executive vice president Kenneth Juneau will take over immediately.

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