AIG Invests in Cybersecurity, Investigations Firm, K2 Intelligence

American International Group Inc. as acquired a minority stake in K2 Intelligence, an corporate investigations firm.

The companies said they have agreed to co-develop products and services to help AIG’s customers mitigate cyber risk and to explore opportunities in other industry segments.

Terms were not disclosed.

K2 Intelligence advises governments, companies, boards and individuals.

K2 Intelligence’s specializes in cyber investigations and defense, anti-money laundering and regulatory compliance, complex investigations and disputes, data analytics and visualization, and integrity monitoring and compliance.

AIG said its clients face risks associated with cybersecurity, construction projects, merger transactions, global real estate transactions, liability exposures in higher education and personal insurance needs.

“Supporting our clients against cyber attacks means providing much more than insurance to transfer the risk,” said John Doyle, chief executive officer, AIG Commercial Insurance, in the announcement.

K2 Intelligence’s cyber capabilities include intelligence, incident response, defense strategy, executive training, assessments, and due diligence. AIG said these services complement its CyberEdge risk mitigation and insurance products.

“Cybersecurity must transition to a dynamic and proactive defense that employs investigative tools to collect and analyze information both from internal and external sources,” said Jeremy Kroll, president and CEO, K2 Intelligence.

K2 Intelligence was founded in 2009 by Jeremy Kroll, K2 Intelligence’s CEO, and Jules Kroll, who is considered to be the originator of the modern corporate investigations industry. Based in New York, K2 Intelligence has approximately 300 employees with global operations in London, Madrid and Tel Aviv.

The Krolls formed K2 Intelligence after they sold their former investiagtions firm company, Kroll Inc., to Marsh & McLennan for $1.9 billion in 2004. The new company has grown to 300 employees in offices worldwide. Marsh & McLennan sold off Kroll for $1.13 billion in 2010 to a form headed by former Marsh CEO Michael Cherkansky.

AIG has worked with Kroll Inc. to offer personal security services to its Private Cleint Group clients.