American General Life
American General Life Companies (American General) has introduced AG Choice Index GUL, a fixed index interest, flexible premium, adjustable universal life insurance product with secondary guarantee provisions.
AG Choice Index GUL offers policyholders long term guarantees along with the ability to allocate premium to index accounts providing the potential to accumulate significant cash value. The product offers a combination of strong death benefit protection, options to customize coverage guarantees to fit individual circumstances, and policy features that provide the potential to build cash value that can be accessed in the future as needs change.
AG Choice Index GUL provides the opportunity to capture some of the upside of the equity markets while providing a minimum 1 percent guarantee to help lessen this volatility. Key benefits of AG Choice Index GUL include: Guaranteed death benefit coverage up to age 121, with issue ages from 0-90 (in most states); a flexible continuation guarantee that allows policyowners to select their guarantee period and premium funding period; one-year index interest crediting based in part on the one-year, point-to-point growth of a domestic index with cap rate and guaranteed interest rate of 1 percent (index does not reflect dividends); five-year index interest crediting based in part on three global indices with automatic overweighting of the two best-performing indices; minimum death benefit protection of $100,000, with a choice of two death benefit options (level or increasing); a combination of death benefit guarantees with the ability to accumulate significant cash value; two loan options that provide policyholders
with more flexibility than most competing products; monthly index accounts that allow flexible scheduling of premium payments; and the option of 24-month rolling targets (may not be available in all states).
Also for purposes of maintaining the death benefit guarantee, 1035 exchange premiums received during the first 12 months after the date of issue are treated as if received on the date of issue. Policy withdrawals are allowed (subject to certain restrictions and conditions) anytime after the first policy year, and clients have a variety of loan options to access cash values; an overloan protection rider ensures policies won’t lapse with large outstanding loan balances. Multiple other riders are available to meet individual needs.
