American General Life Insurance Company
1200 N. Mayfair Road
Milwaukee, WI 53226
American General has been in business since 1926. As of December 2001 American General has over $11.12 billion in assets and rank among the top insurance providers in North America. In 1997 American General became a member of the American General Financial Group, which manages over $100 billion in assets, with over 12 million policy holders. In 2007, the Life Insurance and Market Research Association Rankings (LIMRA) rated American General first in insurance issued and term life sales.
History of American General Life Companies
The story of American General Life Companies (American General) began in 1925 when the Texas Commission of Appeals made a historic ruling that enabled insurance companies to underwrite both property and casualty insurance. Our founder, Gus S. Wortham, had operated a successful insurance agency in Houston in 1915 and had a vision for such a company. With the backing of his father and several prominent business associates, he launched the American General Insurance Company on May 8, 1926, one of the first multi-line insurance companies in the nation. Three years later, American General declared its first dividend.
In 1945, American General completed the first of its own strategic acquisitions, Seaboard Life Insurance Company, making American General the only company in the southern United States to underwrite fire, life, automobile and casualty insurance. Another acquisition in 1953 in Omaha marked American General’s first expansion outside Texas. Throughout the 1960s and early 1970s, companies in Maryland, New York and Tennessee followed. By 1968, American General had reached $1 billion in total assets and began trading on the New York Stock Exchange.
In the late 1970s, American General acquired The Variable Annuity Life Insurance Company (VALIC), which marked American General’s expansion into the retirement savings market. VALIC’s co-founders spearheaded the introduction of variable annuities, a visionary strategy that has resulted in a trillion-dollar industry today.
In 1982, American General initiated its consumer finance operations, which have subsequently grown into one of the company’s key business segments. Later that year, American General completed the largest acquisition in the history of the life insurance industry at that time, with the $1.5 billion purchase of The National Life and Accident Insurance Company, which is now American General Life and Accident Insurance Company. This transformed American General into a focused financial services organization emphasizing retirement services, life insurance and consumer finance.
The financial services industry underwent dramatic regulatory changes, heightened competition and consolidation in the 1990s. In 1994, American General acquired 40 percent of Western National Corporation, the nation’s leading provider of retirement annuities sold through financial institutions. In 1995, American General completed the $1.2 billion acquisition of The Franklin Life Insurance Company, adding the Springfield, Illinois-based insurer to its network. Another important milestone occurred in 1997 with the $1.8 billion acquisition of New York-based United States Life Corporation. And when the remainder of Western National was acquired in 1998, American General became the third-largest writer of individual annuities in the nation.
Policy Description Select-a-Term
The Select-a-Term provides a level death benefit term to age 95. Current premiums are guaranteed level for the first 10, 15, 20 or 30 policy years. Policy Form No. 07007 or state variation.
Conversion Feature
The policy may be converted to a level-premium, level death benefit permanent life insurance plan of the company’s choosing during the conversion period without evidence of insurability. The conversion period extends to the earlier of the end of the level-premium period or the insured’s attainment of age 75.
Available Options
Spousal Discount
Not Available
Children’s Insurance Option (Additional Cost)
Coverage expires on the policy anniversary nearest the child’s 25th birthday or at the insured’s age 65, whichever is earlier. Minimum death benefit is ?unit ($500) and maximum is 10 units ($10,000). Available for: (a) parent’s ages 20 ?55 on policies through Table H; and (b) children age 15 days or more but less than 19 years old and not substandard rated.
Accelerated Death Benefit
Availability Varies By State.
Waiver of Premium Option (Additional Cost)
Available on policies through Table D. Coverage expires after the insured’s attainment of age 65, unless total disability on that date has existed continuously for more than 5 years. Issue ages vary depending on rate class and term length
Accidental Death Benefit Option (Additional Cost)
Available to standard rated individuals only. Maximum benefit is the lesser of $250,000 and the face amount of the base policy. Issue ages vary depending on rate class.