Effective September 17, 2018, we are pleased to announce lower rates on Select-a-Term nationwide (including New York) in certain issue ages and risk classes. The rate changes include decreases and some increases. Both annual and monthly rates are very competitive.

Here’s how strong we are in the $500,000 and above market:

  •  Nationwide, nearly 80% of the premium rates rank in the top 2 and 86% rank in the top 3
  • In New York, over 87% of the premium rates rank in the top 2 and 90% rank in the top 3

What’s Changed?

  • Lowered the monthly modal factor for Select-a-Term issued by American General Life Insurance Company (AGL) from 8.65% to 8.55% improving it’s competitive position on a monthly basis
  • Rates now vary between Select-a-Term policies issued by AGL and policies issued by The United States Life Insurance Company in the City of New York (US Life)
  • Select-a-Term has a new minimum face amount of $100,000 that applies to both AGL and US Life business. As of September 17, 2018, application submission platforms will not allow a new case to be started that is below the new $100,000 minimum face. Applications in progress prior to September 17, 2018 and received during the transition will get the old product and rates. Applications received after the transition below the minimum $100,000 death benefit, will not be accepted. Please see transition rules for additional details.

No Change

  • Modal factors on the US Life (New York) product remain the same

We continue to be focused on you and the needs of your clients. Choose Wisely. Choose Select-a-Term.

Invaluable Flexibility
Select-a-Term offers a unique mix of flexibility and reach:

  • Guaranteed level term coverage for 18 durations, including 10-year and 15 through 30 years and a 35-year term, with renewable coverage until age 95 for older clients
  • Select-a-Term remains convertible to the earlier of age 70 or the end of the level term period
  • Extended conversion eligibility to the full suite of AGL and US Life products for the first 8 years for 10 year term durations, or the first 10 years for term durations of 15 years and greater
  • A competitive conversion credit feature, where a portion of the term premium is applied to the new permanent policy. This feature is available under the same conversion eligibility rules.

Transition Rules for General Distribution

  • New product rates and $100,000 minimum face amount requirements are effective September 17, 2018
  • Applications received in the Home Office before September 17, 2018 will automatically receive the old product rates
  • Applications received in the Home Office starting September 17, 2018 and through October 16, 2018
    • During this transition period, applications received with face amount less than $100,000 will be given the old product and old rate
    • During this transition period, applications received with face amounts of $100,000 or greater will manually be given the product with the lowest rates prior to policy issue
  • Applications received in the Home Office on October 17, 2018 or later will automatically receive the new product rates and must have a minimum face amount of $100,000
  • Reissue requests to new plan will not be honored
  • New applications submitted to replace existing inforce coverage with the new rates will not be honored within 90 days of the existing coverage going inforce

AG Quick Ticket

  • New product rates and $100,000 minimum face amount requirements are effective September 17, 2018
  •  Applications received in the Home Office before September 17, 2018 will automatically receive the old product rates
  •  Applications received in the Home Office starting September 17, 2018 and through October 31, 2018
    • During this transition period, applications received with face amount less than $100,000 will be given the old product and old rate
    • During this transition period, applications received with face amounts of $100,000 or greater will manually be given the product with the lowest rates prior to policy issue
  •  Applications received in the Home Office on November 1, 2018 or later will automatically receive the new product rates and must have a minimum face amount of $100,000
  • Reissue requests to new plan will not be honored
  • New applications submitted to replace existing inforce coverage with the new rates will not be honored within 90 days of the existing coverage going inforce

State Approvals
As of September 17, 2018, the new rates for Select-a-Term are approved in all states.

Corporate Headquarters:
604 Harper Avenue, Jenkintown, PA 19046 | P: 800.543.5555 / 215.517.4080 | F: 800.343.0804 / 215.517.4087

Miami Office:
3470 NW 82nd Avenue, Suite #670, Doral, FL 33122 | P: 800.683.3077 / 305.908.6700 | F: 800.343.0804

Securities offered through The Leaders Group, Inc. Member FINRA/SIPC 26 W. Dry Creek Circle, Suite 800, Littleton, CO 80120, 303-797-9080.

BrokerCheck

Premier Brokerage Services is not affiliated with The Leaders Group, Inc.

Copyright @2020 Premier Brokerage Services Inc.