Overview
Cornelius Vander Starr (October 15, 1892 – December 20, 1968), sometimes known as Neil Starr, was an American businessman and founder of C.V. Starr & Co. (later known as Starr Companies) in Shanghai, China, which became AIG. AIG grew from an initial market value of $300 million to $180 billion, becoming the largest insurance company in the world.
Starr was born to parents of Dutch ancestry. His father was a railroad engineer.[1]
Starr attended University of California, Berkeley from 1910 to 1911 before dropping out and returning to his hometown of Fort Bragg, California.[2][3][4]
He joined the U.S. Army in 1918 but was never deployed overseas because World War I had ended.
Unable to resist a strong urge to travel and understand the world, he joined the Pacific Mail Steamship Company as a clerk in Yokohama, Japan.
Later that year, he traveled to Shanghai where he worked for several insurance businesses.
Starr was also an early investor in skiing at Mount Mansfield in Stowe, Vermont,[15] acquiring the Stowe Mountain Resort in 1949. It passed on to AIG in 1988.[16]
Starr Companies
In 1919 he founded what was then known as American Asiatic Underwriters (later American International Underwriters) in Shanghai, China, a global insurance and investment organization.
He was forced to move his operation to New York in 1939, when Japan invaded China.[5]
Starr worked for the Office of Strategic Services during World War II[6] and found himself engaged in such work as establishing the OSS insurance intelligence unit with William "Wild Bill" Donovan in 1943 and serving as the chief operative behind former U.S. Army Air Force officer Claire L. Chennault. Chennault is best known for coordinating the American-bankrolled American Volunteer Group (better known as the "Flying Tigers") to bring the fight to the Japanese without a declaration of war and return Generalissimo Chiang Kai-shek to dominance in China.
Starr and the OSS later backed Chiang over communist leader Mao Zedong.
In 2000, Mark Fritz wrote in the article entitled The Secret (Insurance) Agent Men for the Los Angeles Times:
"They knew which factories to burn, which bridges to blow up, which cargo ships could be sunk in good conscience. They had pothole counts for roads used for invasion and head counts for city blocks marked for incineration. They weren't just secret agents. They were secret insurance agents. These undercover underwriters gave their World War II spymasters access to a global industry that both bankrolled and, ultimately, helped bring down Adolf Hitler's Third Reich."[5]
After World War II, Starr hired O.S.S. captain Duncan Lee, a lawyer, who became the long-term general counsel of AIG.
AIG left China in early 1949, as Mao led the advance of the Communist People's Liberation Army on Shanghai,[7][8] and Starr moved the company headquarters to its current home in New York City.[9] AIG was the world's largest insurance company, and as of 2021 remains unchallenged in that respect.[10]