NEW YORK (Reuters) - American International Group, the world's leading insurer, on Monday said it had asked the New York Stock Exchange and the Securities and Exchange Commission to look into heavy short-selling of its stock.

Short-sellers look to make profits by selling stock they don't own, in the hope of buying shares later at a lower price.

"AIG (AIG: down $0.94 to $69.85, Research, Estimates) stock is trading down significantly," the company said in a statement. "We have observed considerable short selling in the stock and have requested that the New York Stock Exchange and the Securities and Exchange Commission investigate this activity," it added.

Shares of the firm, the largest underwriter of commercial and industrial insurance in the United States and the second-largest U.S. life insurer, were $1.19 lower at $69.60 in afternoon trading on the New York Stock Exchange.