HOUSTON ‚Äď February 21, 2019 ‚Äď American International Group, Inc. (NYSE: AIG), whose domestic life insurers are leaders in the term life insurance market, announced today the setting of some of the lowest premiums in years for Select-a-Term¬ģ, the flagship term product issued by American General Life Insurance Company (AGL) and The United States Life Insurance Company in the City of New York (US Life). Select-a-Term features improved rates for policies with longer term durations and death benefit amounts of $250,000 and above for certain issue ages and risk classes.
‚ÄúAs part of our ongoing commitment to protecting individuals, families and businesses, we‚Äôre pleased to offer a wide range of solutions for diverse needs and budgets,‚ÄĚ said Rod Rishel, Chief Executive Officer, Life Insurance, AIG. ‚ÄúWith Select-a-Term‚Äôs new rate structure, our distribution partners have the opportunity to offer customizable life insurance at even more competitive prices.‚ÄĚ
AGL and US Life have robust positions in the $500,000 and above market for term life insurance. Nationwide, nearly 70 percent of the Select-a-Term premium rates rank in the top two and 85 percent rank in the top three. In New York, more than 85 percent of the premium rates rank in the top two and 91 percent rank in the top three.
Select-a-Term policies offer an innovative mix of flexibility and reach, including guaranteed level term coverage for 18 durations, including 10-year, 15- through 30-year, and 35-year terms, with renewable coverage until age 95. Additionally:
- Select-a-Term remains convertible to a permanent life insurance policy until the insured attains age 70 or the level-term period ends (whichever occurs first).
- The product offers extended conversion eligibility to the full suite of AGL and US Life permanent life insurance products (excluding Survivorship Universal Life policies) for the first eight years of contracts with 10-year term durations or the first 10 years of contracts with term durations of 15 years and longer.
- Select-a-Term offers a competitive conversion credit feature that allows a portion of the term premium to be applied to the new permanent policy. This feature is available under the same conversion eligibility rules.
For more details on Select-a-Term‚Äôs superior flexibility and nationwide competitive pricing, plus key resources for financial professionals, visit www.aig.com/termlife. For the New York product resources, visit www.aig.com/newyorkproducts.