AG Choice Index 10 by American General Life Insurance Company

This fixed index annuity has 10 year surrender period and optional rider benefits. Contract minimum is $25,000. Contract owners receive a 4% premium enhancement on every premium paid in the first 30 days of the contract. AG Choice Index 10 offers choice of three interest-crediting strategies tied to S&P 500 index and a 1-year fixed interest account with minimum guaranteed interest rate. Even though there are only 3 index strategies offered, they are currently the most popular.

Optional AG Lifetime Income Plus rider guarantees a significantly higher lifetime income. This benefit provides an Income Credit added to the Income Base in the first 10 contract years, even in years when withdrawals are taken (within the feature parameters). Depending on the withdrawal percentage, a partial income credit may be applied. It also guarantees a Minimum Income Base of 200% of all eligible premiums received in the first 30 days of the contract, provided there are no withdrawals in the first 10 contract years.

This rider This rider is available for annuitants age 50-80, the annual fee is currently 0.95%, the withdrawals under the feature are not permitted prior to age 60. With this rider, annual lifetime income varies from 3.75% for an annuitant age 60(joined contract), to 6% for single adult age 75 and older.

If there are any withdrawals in the first 10 years of the contract, the Income Credit added to the Income Base under AG Lifetime Income Plus rider depends on the amount of funds withdrawn and 200% minimum income base benefit is not applied.