AIG auto unit to change name

American International Group Inc., the insurer bailed out by the government, will remove AIG from the name of a U.S. auto unit and cut 6.6% of jobs there to boost chances of finding a buyer for the business.

AIG will start calling its Aigdirect.com unit 21st Century Insurance in January, reverting to the brand of a California-based car insurer acquired last year, a spokesman said. The company will also close offices in 12 cities, AIG said. The unit had about 5,500 employees as of September 2007.