NEW YORK--(BUSINESS WIRE)--AIG Life & Retirement, a division of American International Group, Inc. (NYSE: AIG), today announced a number of enhancements to the Power Series of Index Annuities designed to increase the level of flexibility and choice in these retirement accumulation and income solutions.
With the new Lifetime Income Plus Flex℠ and Lifetime Income Plus Multiplier Flex℠ features1 (also known as guaranteed living benefit riders), prospective customers now have the ability to:
- Change coverage options between single and joint life to meet varying income needs and life events, such as marriage, divorce or death.
- Take withdrawals without losing their annual step-ups and doubling guarantee.2
- Access money and not lock in their withdrawal percentage for life – until they are ready to start retirement income.
Moreover, the newly enhanced Power Series of Index Annuities now also provides policyholders access to the Russell 2000®, a U.S. small-cap stock index, and the MSCI EAFE, an international stock index. These two indices have been added to the existing S&P 500®, PIMCO Global Optima and ML Strategic Balanced options to provide greater choice and diversification as well as exposure to markets that may not be well-represented in other index annuities.
“Needs for retirement can change over time, sometimes quite dramatically,” said Todd Solash, President, Individual Retirement at AIG. “The Power Series of Index Annuities offers a breadth of accumulation choices and an extra dimension of income flexibility that can help our policyholders ensure they are protected during one of the most important phases of their lives. With the prospect of a very long life, unpredictable markets and higher healthcare costs, it’s critical for individuals to build a balanced portfolio that offers protections and guarantees, along with the flexibility to take income when needed.”
The Power Series of Index Annuities is among the few retirement savings products that combine tax-deferred growth potential, principal protection against market downturns and retirement income that’s guaranteed to last for life. Lifetime Income Plus Flex and Lifetime Income Plus Multiplier Flex are available in select Power Series Index Annuities for an annual fee.
Last month, AIG Life & Retirement announced Plan for 100, a new initiative focused on educating and empowering individuals, employers and financial advisors to help Americans prepare for longer lives and, in turn, retirements that could last four decades or more. The initiative, with its 100-year theme complementing the centennial celebration at AIG, includes the launch of a new website (Planfor100.com) and podcast series to raise awareness about the impact of increased longevity and educate Americans about potential solutions.
Index annuities are not a direct investment in the stock market. They are long-term insurance products with guarantees backed by the claims-paying ability of the issuing insurance company. They provide the potential for interest to be credited based in part on the performance of the specified index, without the risk of loss of premium due to market downturns or fluctuations. Index annuities may not be suitable or appropriate for all individuals.
Withdrawals may be subject to federal and/or state income taxes. An additional 10% federal tax may apply if you make withdrawals or surrender your annuity before age 59½. Consult your tax advisor regarding your specific situation.
MSCI EAFE is an international equity index that tracks the performance of large- and mid-cap stocks from developed markets around the world, excluding the U.S. and Canada. The product referred to herein is not sponsored, endorsed, or promoted by MSCI, and MSCI bears no liability with respect to any such product or any index on which such product is based. The contract contains a more detailed description of the limited relationship MSCI has with American General Life Insurance Company and any related product.
RUSSELL 2000® is an equity index that tracks the performance of small-cap stocks in the U.S. The index annuity product to which this disclosure applies (the “Product”) has been developed solely by American General Life Insurance Company (“AGL”). The “Product” is not in any way connected to or sponsored, endorsed, sold or promoted by the London Stock Exchange Group plc and its group undertakings (collectively, the “LSE Group”). FTSE Russell is a trading name of certain of the LSE Group companies.
All rights in the Russell 2000® Index (the “Index”) vest in the relevant LSE Group company which owns the Index. “Russell®”, “Russell 2000®”, “FTSE®”, “Russell®”, and “FTSE Russell®” are trade mark(s) of the relevant LSE Group companies and are used by any other LSE Group company under license. “TMX®” is a trade mark of TSX, Inc. and used by the LSE Group under license.
The Index is calculated by or on behalf of FTSE International Limited or its affiliate, agent or partner. The LSE Group does not accept any liability whatsoever to any person arising out of (a) the use of, reliance on or any error in the Index or (b) the purchase of or operation of the “Product”. The LSE Group makes no claim, prediction, warranty or representation either as to the results to be obtained from the “Product” or the suitability of the Index for the purpose to which it is being put by AGL.
The Power Series of Index Annuities is issued by American General Life Insurance Company (AGL), Houston, Texas. The Power Index Elite Variable Annuity is issued by The Variable Annuity Life Insurance Company (VALIC), Houston, Texas. AGL and VALIC are members of the American International Group, Inc. (AIG) family of financial services companies. The underwriting risks, financial and contractual obligations and support functions associated with the annuities issued by AGL or VALIC are its responsibility. AGL does not solicit business in the state of New York. Annuities and riders may vary by state and are not available in all states.
Not FDIC or NCUA/NCUSIF Insured
May Lose Value • No Bank or Credit Union Guarantee
Not a Deposit • Not Insured by any Federal Government Agency
About AIG Life & Retirement
AIG Life & Retirement, a division of AIG, brings together a broad portfolio of protection, retirement savings, investment and lifetime income solutions to help people achieve financial and retirement security. The business consists of four operating segments – Individual Retirement, AIG Retirement Services, Life Insurance and Institutional Markets – and holds longstanding, leading market positions in many of the markets it serves.
AIG Life & Retirement includes AIG member insurance companies American General Life Insurance Company (Houston, TX), The United States Life Insurance Company in the City of New York, and The Variable Annuity Life Insurance Company (VALIC), Houston, TX as well as their affiliates. Securities products are distributed by AIG Capital Services, Inc., member FINRA. Additional information about AIG Life & Retirement can be found at www.linkedin.com/showcase/aig-life-&-retirement.
American International Group, Inc. (AIG) is a leading global insurance organization. Building on 100 years of experience, today AIG member companies provide a wide range of property casualty insurance, life insurance, retirement solutions, and other financial services to customers in more than 80 countries and jurisdictions. These diverse offerings include products and services that help businesses and individuals protect their assets, manage risks and provide for retirement security. AIG common stock is listed on the New York Stock Exchange.
Additional information about AIG can be found at www.aig.com | YouTube: www.youtube.com/aig | Twitter: @AIGinsurance www.twitter.com/AIGinsurance | LinkedIn: www.linkedin.com/company/aig. These references with additional information about AIG have been provided as a convenience, and the information contained on such websites is not incorporated by reference into this press release.
AIG is the marketing name for the worldwide property-casualty, life and retirement, and general insurance operations of American International Group, Inc. For additional information, please visit our website at www.aig.com. All products and services are written or provided by subsidiaries or affiliates of American International Group, Inc. Products or services may not be available in all countries, and coverage is subject to actual policy language. Non-insurance products and services may be provided by independent third parties. Certain property-casualty coverages may be provided by a surplus lines insurer. Surplus lines insurers do not generally participate in state guaranty funds, and insureds are therefore not protected by such funds.
1 Available for an annual fee of 1.0%; certain conditions or limitations may apply.
2 Certain conditions or limitations may apply.