Universal life buyers are often faced with a difficult choice. Those who opt for the security of fixed products have to accept today’s low interest rates. On the other hand, those who choose the growth potential of variable products have to live with the inherent volatility.
AG Elite Value Index UL from American General Life Insurance Company (American General Life) offers benefits from both choices — the potential for higher credited interest rates when the index used with the policy is up, and the safety of principal with a minimum guaranteed interest rate when the index is down.1
AG Elite Value Index UL provides the flexibility to choose each year, beginning with the first policy anniversary, between indexed interest crediting linked to the annual growth of the Standard & Poor’s 500 Composite Stock Price Index (S&P 500 Index),2 subject to a cap (explained below), or excess interest crediting set by American General Life. Either way, a 1.0 percent minimum annual interest rate is guaranteed.
With the indexed interest option, your policy is credited a minimum guaranteed rate of 1.0 percent throughout the year, plus any additional indexed interest at policy year-end based on a current company-declared cap rate and any annual growth in the S&P 500 Index2 in excess of the guaranteed interest rate.3 If the fixed interest option is chosen, the policy is credited with a company-declared current interest rate at the end of each policy month.
Compounding the growth potential of AG Elite Value Index UL products are tax-advantaged cash
accumulation benefits. AG Elite Value Index UL offers additional tax benefits, including tax-advantaged distributions through policy loans and withdrawals,4 and income-tax-free death benefit proceeds.5 |
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The cap rate is the maximum percentage amount used to set the indexed interest percentage forAG Elite Value Index UL. If the actual annual percentage growth in the S&P 500 Index,2 excluding
dividends, exceeds the cap rate, the cap rate is used to calculate the indexed interest percentage. The cap rate is determined at the beginning of each policy year and is applicable for that year’s indexed interest only.
The initial cap rate will be guaranteed for one year. After the first policy year, the cap rate may be changed annually on the policy anniversary by American General Life.
- The flexibility to choose each year (beginning with the first policy anniversary) between indexed interest crediting based, in part, on the S&P 500 Index2 and excess interest crediting applying rates set by American General Life
- 100 percent participation rate
- Minimum death benefit $100,000
- Maturity Extension Rider extends coverage past the original maturity age of 100, provided the policy is in force7
- Income-free tax death benefit5 and tax-deferred cash value accumulations5
- Tax-advantaged distributions through flexible withdrawals4 and loans6
- Issue ages: 0 - 90
- Indexed interest rider
- Maturity extension riders
- Terminal illness rider
Get more information regarding AG Elite Value Index UL and other American General life insurance products. 
1 Available through indexed interest rider
2 "Standard & Poor’s®", "S&P®", "S&P 500®", "Standard & Poor’s 500" and "500" are trademarks of The McGraw-Hill Companies, Inc. and have been licensed for use by American
General Life. This product is not sponsored, endorsed, sold or promoted by Standard & Poor’s, and Standard & Poor’s makes no representation regarding the advisability of purchasing this product.
3 The account balance will not be adjusted for the S&P 500 Index in the year of the insured’s death or surrender. Any premiums received after an anniversary are not eligible for
indexed interest until the following policy year.
4 Consult with your tax professional to determine if these transactions trigger a taxable event. Withdrawals are subject to a 19-year decreasing surrender charge schedule.
5 Based on current federal income tax laws
6 Preferred loans subject to terms of the policy and available after 10 years
7 Policies may be subject to tax consequences when continued beyond the maturity date. The policy may not qualify as life insurance under Internal Revenue Code after age 100. Policy owners should consult a qualified tax advisor before electing this option.
8 See the riders for complete details. There may be a charge for each rider selected. Adding or deleting riders and increasing or decreasing coverage under existing riders can have tax consequences. Policy owners should consult a qualified tax advisor.
Policies issued by:
American General Life Insurance Company
A subsidiary company of American International Group, Inc. (AIG)
2727-A Allen Parkway, Houston, TX 77019
Policy Form Number 05441
Indexed Interest Rider Form Number 05770
Maturity Extension Riders, Form Number 99110, 99111
Terminal Illness Rider Form Number 91401
The underwriting risks, financial obligations and support functions associated with the products issued by American General Life Insurance Company (American General Life) are its responsibility. AIG does not underwrite any insurance policies referenced herein. American General Life is responsible for its own financial condition and contractual obligations. American General Life does not solicit business in the state of New York. Policies and riders not available in all states. Guarantees are subject to the claims-paying ability of the issuing insurance company.
This policy is not insured by the FDIC, the Federal Reserve Board or any similar agency. The policy is not a deposit or other obligation of, nor is it guaranteed or endorsed by, any bank or depository institution
