of more than $1.5 billion for the year 1991, the company's annual report shows.

Overall revenues amounted to $16.9 billion in 1991, "a year in which most of the world insurance industry faced continuing problems'', group chairman Mr.

Maurice R. Greenberg said.

The results, which also saw pretax income rise 11.6 percent to $2.02 billion, prompted Mr. Greenberg to add that AIG's financial condition is "extremely strong''.

Other results show a 15.7 percent increase in shareholders' equity to $11.5 billion and asset growth of 19.2 percent to $69.4 billion.

Net cash flow for investment from general insurance operations totalled $1.8 billion, including interest and reinvested dividends. General insurance loss reserves increased by $1.14 billion to a total of $15.8 billion.

Despite what Mr. Greenberg said was an unusually high level of catastrophe losses, AIG's combined ratio was 100.4 compared to 99.6 in 1990. 1991 catastrophic property losses totalled $68 million, primarily the result of the eruption of Mount Pinatubo in the Philippines, and devastating typhoons in Japan that resulted in the largest reported insured losses in Japanese history.