1. Healthcare

QoL Index Plus II
Protection + Accumulation + Distinctive Living Benefits
Introducing a breakthrough
approach to financial security.
QoL Index Plus II
We are reinventing life insurance to respond to the
needs of families and businesses – now and in the future.
Now, with a single product, have the opportunity to achieve:
•A
ffordable death protection with extended guarantees to
enhance the financial security of your family or business.
• T he potential for cash accumulation based in part on the movement
of a major market index, with protection from losses solely due to market downturns.
•V
aluable living benefits that can help provide needed cash should you suffer
a qualifying illness or condition.
•A
ccess to cash during the policy’s first five years, thanks to the protected money feature
that allows withdrawal of any payments that were made above a required minimum.
(Certain policy restrictions may apply.)
• P lus, the ability to apply for discounted term life insurance for yourself,
your spouse or your children as new needs or opportunities arise.*
* Subject to company rules.
2
We’re changing the ways Americans
think about, purchase and use life insurance!
QoL Index Plus II can help deliver the
long-term financial protection you’re looking for.
Life insurance can be a key component of your family or business financial plan.
The death benefit is usually income tax-free and can be used to help provide
income for a surviving spouse, pay off the mortgage, fund college educations,
or for any other purpose. It can also be used to help ensure the survival of a
business or fund a succession strategy.
With QoL Index Plus II, the death benefit can be guaranteed for the lesser of
25 years or to age 80, so long as you pay the affordable premium specified
in your policy. After the guarantee period, the death benefit may continue on
a non-guaranteed basis, based on current assumed charges, interest crediting
and premium payments.
The policy also includes provisions that will allow you to apply for additional,
discounted term life coverage for yourself, your spouse or your children
(subject to the Company’s current underwriting rules). Think of it as a financial
foundation you can build on as your needs change or new opportunities arise.
If you’re looking for peace of mind and long-term financial
protection through a versatile life insurance product,
consider QoL Index Plus II.
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QoL Index Plus II creates the potential
for attractive cash accumulation.
While index universal life insurance is not an investment, it
does provide you with the potential to earn index interest
crediting based in part on an underlying index while
providing downside market protection. It offers the
potential to build cash value on a tax-deferred basis,
which is available to you through withdrawals or loans
from your policy. Interest crediting is based in part on the
performance of the S&P 500, subject to an annual minimum
of 0.25 percent (regardless of index performance) and an
annual index cap rate or participation rate.
Participation Rate Account
QoL Index Plus II offers three interest crediting strategies.
You may choose a single strategy, or allocate your funds
to a combination of two or all three.
Declared Interest Account
Index Cap Account
Interest crediting is based in part on changes in the value of
the S&P 500 over the duration period of an index interest
account, subject to a maximum cap. Even when S&P 500
values decline, your policy is protected by a guaranteed
interest rate minimum of 0.25 percent. In other words, your
policy values can increase, but they will never go down
solely as a result of market downturns.
4
This account provides another way to participate in potential
upward movement of the S&P 500 over time. Interest is
credited based on a percentage (Participation Rate) of the
change in value of the S&P 500 over the duration period of an
index interest account which is declared by the company. As
with the Index Cap Account, your policy value can increase,
but will never go down solely due to market downturns. The
minimum annual interest rate is 0.25 percent.
Interest crediting is declared by the company and credited
monthly. The guaranteed minimum is 2.00 percent, but the
declared rate may be higher.
Downside protection
is a powerful
advantage.
If you choose one or more index
interest crediting strategies, your
policy is protected from negative
performance of the S&P 500
When the S&P 500 rises over the course of a year, index
interest crediting can cause your policy value to increase
based on your allocations.
S&P 500
S&P 500
Policy
Value
Policy
Value
Market Upswings
Market Upswings
When the value of the S&P 500 falls from the beginning
to end of the index year, your policy value is protected by
minimum interest rate guarantees Policy
Value
Policy
Value
S&P 500
Market Downswings
S&P 500
Market Downswings
5
How Different Accounts May Credit Interest
Bethany, Clark and Margo each purchase an QoL Index Plus policy with a $10,000 net annual premium.
Bethany decides to place all of her money in the Participation Rate Account, because she thinks the S&P
500 has the potential to go up and wants the opportunity to maximize index interest crediting. Clark
chooses to place all of his money in the Index Cap Account because he feels more confident in the
possibility of a steady gain each year. Margo is the most conservative, so she is most comfortable
placing her entire Net Premium in the Declared Account.
Let’s see how each hypothetical policy owner’s initial $10,000
Net Premium may earn interest over a five-year period.*
For example purposes, let’s assume the following:
Current Declared interest rate: Index Cap: Participation Rate:
4.75% (2% guaranteed)
10% maximum rate (0.25% guaranteed)
60% (0.25% guaranteed)
YEAR 1
S&P 500 = 1,100
S&P 500 = 1,000
Bethany: Participation Rate Account
$10,000 net premium
+ $600 interest crediting
$10,600 account value
Clark: Index Cap Account
$10,000 net premium
+ $1,000 interest crediting
$11,000 account value
Margo: Declared Account
$10,000 net premium
+ $475 interest crediting
$10,475 account value
6
*
For illustrative purposes only. Individual results may vary.
YEAR 2
S&P 500 = 1,120
Bethany: Participation Rate Account
$10,600 account value
+ $116 interest crediting
$10,716 account value
Clark: Index Cap Account
$11,000 account value
+ $200 interest crediting
$11,200 account value
Margo: Declared Account
$10,475 account value
+ $498 interest crediting
$10,973 account value
Bethany: Participation Rate Account
$10,743 account value
+ $3,021 interest crediting
$13,764 account value
Clark: Index Cap Account
$11,228 account value
+ $1,123 interest crediting
$12,351 account value
Margo: Declared Account
$11,494 account value
+ $546 interest crediting
$12,040 account value
YEAR 5
S&P 500 = 1,600
YEAR 4
S&P 500 = 1,410
Bethany: Participation Rate Account
$13,764 account value
+ $1,113 interest crediting
$14,877 account value
YEAR 3
S&P 500 = 960
Bethany: Participation Rate Account
$10,716 account value
+ $27 interest crediting
$10,743 account value
Clark: Index Cap Account
$12,351 account value
+ $1,235 interest crediting
$13,586 account value
Margo: Declared Account
$12,040 account value
+ $572 interest crediting
$12,612 account value
Clark: Index Cap Account
$11,200 account value
+ $28 interest crediting
$11,228 account value
Margo: Declared Account
$10,973 account value
+ $521 interest crediting
$11,494 account value
The examples shown above illustrate interest
only and do not take into account any monthly
deductions or charges which could, in some
cases, offset any gains in interest and could
actually result in a decrease in policy value.
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Use Protected Money to accumulate
extra savings for any purpose!
When you fund the policy above the required Benchmark Premium, the additional
money deemed is “Protected Money.” During the policy’s first 5 years, Protected
Money is not subject to surrender charges or any other fees, and is available in
various ways (certain policy restrictions may apply).
Think of Protected Money as a potential way to help supplement your retirement
savings, assist with your children’s college education, or provide an emergency
fund during tough financial times.
While life insurance policies typically take some time to begin accumulating cash
value, Protected Money in your QoL Index Plus II policy is available to
you immediately.
Take comfort in benefits you can
use while you’re still living.
At no additional charge, QoL Index Plus II includes living benefits provisions that are
among the most respected in the industry. If you have a qualifying critical, chronic or
terminal illness, you can apply to receive a portion of your life insurance benefit
now, before your death. The money may be used for any purpose – including
supplemental income, medical expenses or long-term care.
Your coverage is reduced by the amount of death benefit accelerated, which may
also reduce the amount of premiums required to keep any remaining benefit in force.
See pages 10 and 11 for more details.
* The Benchmark Premium is a level annual premium which is intended to carry your policy to or close
to maturity on a current (non-guaranteed) assumption basis assuming 1) a 6% illustrated rate and 2) that
premiums have been paid on time at the beginning of each policy year.
**Based on current federal tax law, partial withdrawals are reportable to the policy owner and may be
taxable. Limitations apply.
For more information about accelerated
benefits and how they work, including
important consumer disclosures,
8
please refer to our Quality of
Life…Insurance brochure or visit
For the first 5 policy years, apply for term life
coverage with a premium discount for yourself,
your spouse or your children.
Your QoL Index Plus II policy entitles you to save on the purchase of additional
term life coverage as new needs or opportunities arise. The savings may result
from discounts to policy fees, aggregation discounts, or both, through our QoL
Advantage program.
Add term life coverage for your spouse.
Buy a policy up to your QoL Index Plus II Associated Term coverage amount.
The fee and volume discounts can make this coverage more affordable.
Add tactical term life coverage for any purpose –
and any time span.
Cover the cost of your mortgage for 22 years. Protect the cost of a college education
for Billy in 13 years, Susie in 11 years and your new baby in 18 years. You pick the
term. You pick the purpose. You pick the amount. And we’ll bundle it in – with all the
discounts applicable to you.
Other Benefits and Riders:
Children’s Term Insurance Rider
Term life coverage for children is surprisingly inexpensive. Coverage from $5,000
to $25,000 is available for each child, and policies are guaranteed convertible to
permanent coverage up to age 25.
www.qualityoflifeinsurance.com
9
QoL Accelerated Benefit Rider
The following information describes the Qualifying Events
under the SelectChoice Accelerated Benefit Rider (see rider
for details):
The rider is designed to provide two types of accelerated
benefits: the Defined Accelerated Benefit (DAB) and the
Flexible Accelerated Benefit (FAB).
Qualifying Chronic Illness*
Defined Accelerated Benefit (DAB)
ADLs: Bathing, Dressing, Toileting, Transferring,
Continence, Eating
Flexible Accelerated Benefit (FAB)
A Qualifying Chronic Illness is an illness or physical condition
that was initially certified by a licensed healthcare practitioner
within the past 12 months and permanently affects the Insured
Person so that he or she:
• Is unable to perform at least two of the six Activities of
Daily Living (ADLs); or
• Requires
substantial supervision by another person to
protect the Insured Person from threats to health and
safety due to severe cognitive impairment.
Qualifying Critical Illness*
The following critical illnesses or conditions are Qualifying
Critical Illnesses under the rider:
• Major Heart Attack
•C
oronary Artery Bypass
• Stroke
• Invasive Cancer
•B
lood Cancers: Leukemia,
Lymphoma, and Multiple Myeloma
•M
ajor Organ Transplant
• End Stage Renal Failure
• Paralysis
• Coma
• Severe Burn
Qualifying Terminal Illness*
A Qualifying Terminal Illness is an illness or physical condition
that is certified by a physician to be reasonably expected to
result in the insured’s death within 24 months from the date
of certification.
The DAB is an optional benefit which provides for payment of a
predetermined portion of the applicable life insurance benefit
upon the occurrence of a Qualifying Event. The DAB for the
initial Qualifying Event, where a claim is made, is determined
as a fixed percentage between 5% -15% of the maximum
applicable life insurance benefit that can be accelerated
under the policy. The DAB for a subsequent Qualifying Event is
calculated using a reduced percentage (20% of the initial DAB
percentage). There will be a charge for the rider if the DAB
percentage is greater than zero.
The FAB provides for acceleration of all or a portion of the
remaining life insurance benefit that may be accelerated after
any DAB is paid. Any portion of the life insurance benefit that
is elected to be accelerated as a FAB is subject to an actuarial
discount, administrative charge, and payment of any unpaid
but due policy premiums and will always be less than the
portion of the base life insurance benefit accelerated.
• The amount offered as a FAB will, in significant part, be
dependent upon any change in mortality of the Insured
Person in question between the time the applicable life
insurance policy with the FAB was underwritten and the time
any particular FAB claim is filed and considered. Changes
in health and other factors will have varying effects on the
mortality of different Insured Persons. Circumstances will
vary among individual Insured Persons.
• The amount offered as a FAB is determined by the company
after a claim is submitted and, when accepted, is payable
to the Owner as a lump sum.
* SelectChoice ABR benefits and definitions may vary in some states and/or not be available in all states. The maximum amount of life insurance benefit that
may be accelerated is subject to the Maximum Elected Death Benefit, which is the lesser of the current life insurance benefit or a lifetime maximum amount of
$1,500,000. Benefit eligibility is subject to limitations and/or Waiting Period, Elimination Period and exclusion requirements. Please read the rider carefully
for a complete definition of benefits and the conditions applying to the rider.
10
How Does Acceleration Work?
The SelectChoice Accelerated Benefit Rider (ABR) allows
the Owner to receive a portion of the Insured Person’s life
insurance benefit under the policy during the Insured Person’s
lifetime, upon submission of required documentation regarding
a Qualifying Event.*
• If you are eligible, you will be offered the opportunity,
when you receive your benefit election form, to purchase
coverage to replace the amount accelerated. However,
the costs of that coverage may be significantly higher.
There are factors to consider before deciding whether
acceleration is right for you, including:
PLEASE NOTE: The life insurance offered with the Accelerated Benefit Rider is not stand-alone long term care insurance,
disability income insurance or other insurance designed to cover
specific costs associated with an illness or condition. Receiving
benefits under the rider will reduce the amounts available for
future acceleration under it and any other Accelerated Benefit
Rider attached to the policy. It will also reduce the base life insurance benefit and the funds available to supplement retirement or
other needs. In some cases, such reductions can result in policy
termination. The benefits paid under the rider may be less than
what is needed to cover all of the costs associated with an illness
or condition. Even though accumulated cash value may be
available to supplement retirement, it should not be relied upon
as a significant source of retirement income.
• Acceleration will reduce (or eliminate) the Insured
Person’s base life insurance benefit and policy values, if
any. Depending on the amount you accelerate, there will
be less (or no) benefit paid when the Insured dies.
•C
overage under the SelectChoice ABR terminates on the
date coverage under the policy or any covered riders terminates. We encourage you to read your policy and advise
you to consider your options carefully before ever allowing
your policy lapse for any reason, including the non-payment
of premium, especially while an ABR claim is pending.
* SelectChoice ABR benefits and definitions may vary in some states and/or not be available in all states. The maximum amount of life insurance benefit that
may be accelerated is subject to the Maximum Elected Death Benefit, which is the lesser of the current life insurance benefit or a lifetime maximum amount of
$1,500,000. Benefit eligibility is subject to limitations and/or Waiting Period, Elimination Period and exclusion requirements. Please read the rider carefully
for a complete definition of benefits and the conditions applying to the rider.
Important Information About the Accelerated Benefit Rider
• When filing a claim for Qualifying Critical Illness or
Qualifying Chronic Illness under an Accelerated Benefit Rider,
the claimant must provide to the Company a
completed claim form which must be received at its
Home Office within the time frame specified in the Rider.
• If a benefit under an Accelerated Benefit Rider is payable and
the Owner elects to receive such benefit, the Company will
provide the Owner with one (1) opportunity to elect a Flexible
Accelerated Benefit and/or a Defined Accelerated Benefit, if
applicable, under the Policy as to such Qualifying Event. To
make such an election, the Owner must complete an election
form and return it to AGL within 60 days of receipt of the
election form. The Company will not provide a later opportunity to elect a Flexible Accelerated Benefit and/or a Defined
Accelerated Benefit, if applicable, under a Policy as to the
same Qualifying Critical Illness or Qualifying Chronic Illness.
Under certain circumstances where an insured’s mortality (i.e.,
our expectation of the insured’s life expectancy) is not significantly changed by a Qualifying Critical Illness or Qualifying
Chronic Illness, the accelerated benefit may be zero.
• The failure to provide a required claim form and a
required election form within the periods set forth
for each in a Policy may preclude payment of
a benefit.
• Benefits payable under an accelerated benefit rider may
be taxable under Section 101(g) of the Internal Revenue Code
(26 U.S.C. Sec. 101(g)). If so, you may incur a tax
obligation. Neither American General Life Insurance
Company nor any agent representing it is authorized to give
legal or tax advice. Please consult a qualified legal or tax
advisor regarding questions concerning the information and
concepts contained in this material.
• Generally we will send you an IRS Form 1099-LTC if you
choose to receive an accelerated death benefit on account of
a Chronic Illness or Terminal Illness or an IRS Form 1099-R if
you choose to receive an accelerated death benefit on account
of a Critical Illness. The sum that will be included in Box 2 (Accelerated death benefits paid) of IRS Form 1099-LTC or in Box
1 (Gross distribution) of IRS Form 1099-R will be the actual
sum you received by check or otherwise minus any refund of
premium and/or loan interest included with our benefit payment plus any unpaid but due policy premium, if applicable,
and/or pro rata amount of any loan balance.
• The maximum amount of life insurance death benefits that
may be accelerated as to an Insured Person under all
accelerated benefit riders is the lesser of the existing
amount of such death benefits or a lifetime
maximum of $1,500,000.
11
• See your policy for details.
The S&P 500 Index is a product of S&P Dow Jones Indices LLC (“SPDJI”), and has been licensed for use by American General Life (AGL). Standard & Poor’s®,
S&P® and S&P 500® are registered trademarks of Standard & Poor’s Financial Services LLC (“S&P”); Dow Jones® is a registered trademark of Dow Jones
Trademark Holdings LLC (“Dow Jones”); and these trademarks have been licensed for use by SPDJI and sublicensed for certain purposes by AGL. QoL Index
Plus II is not sponsored, endorsed, sold or promoted by SPDJI, Dow Jones, S&P, any of their respective affiliates (collectively, “S&P Dow Jones Indices”). S&P
Dow Jones Indices makes no representation or warranty, express or implied, to the owners of QoL Index Plus II or any member of the public regarding the
advisability paying premiums for AGL’s policies generally or for QoL Index Plus II particularly or the ability of the S&P 500 Index to track general market
performance. S&P Dow Jones Indices’ only relationship to AGL with respect to the S&P 500 Index is the licensing of the Index and certain trademarks, service
marks and/or trade names of S&P Dow Jones Indices or its licensors. The S&P 500 Index is determined, composed and calculated by S&P Dow Jones
Indices without regard to AGL or QoL Index Plus II. S&P Dow Jones Indices have no obligation to take the needs of AGL or the owners of QoL Index Plus II
into consideration in determining, composing or calculating the S&P 500 Index. S&P Dow Jones Indices is not responsible for and has not participated in the
determination of the prices, and amount of QoL Index Plus II or the timing of the issuance or sale of QoL Index Plus II or in the determination or calculation of
the equation by which QoL Index Plus II is to be converted into cash, surrendered or redeemed, as the case may be. S&P Dow Jones Indices has no obligation
or liability in connection with the administration, marketing or trading of QoL Index Plus II. There is no assurance that products based on the S&P 500 Index
will accurately track index performance or provide positive index interest crediting returns. S&P Dow Jones Indices LLC is not an investment advisor. Inclusion
of a security within an index is not a recommendation by S&P Dow Jones Indices to buy, sell, or hold such security, nor is it considered to be investment advice.
S&P DOW JONES INDICES DOES NOT GUARANTEE THE ADEQUACY, ACCURACY, TIMELINESS AND/OR THE COMPLETENESS OF THE S&P 500
INDEX OR ANY DATA RELATED THERETO OR ANY COMMUNICATION, INCLUDING BUT NOT LIMITED TO, ORAL OR WRITTEN COMMUNICATION
(INCLUDING ELECTRONIC COMMUNICATIONS) WITH RESPECT THERETO. S&P DOW JONES INDICES SHALL NOT BE SUBJECT TO ANY DAMAGES
OR LIABILITY FOR ANY ERRORS, OMISSIONS, OR DELAYS THEREIN. S&P DOW JONES INDICES MAKES NO EXPRESS OR IMPLIED WARRANTIES,
AND EXPRESSLY DISCLAIMS ALL WARRANTIES, OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE OR AS TO RESULTS TO
BE OBTAINED BY AGL, OWNERS OF QOL INDEX PLUS II, OR ANY OTHER PERSON OR ENTITY FROM THE USE OF THE S&P 500 INDEX OR WITH
RESPECT TO ANY DATA RELATED THERETO. WITHOUT LIMITING ANY OF THE FOREGOING, IN NO EVENT WHATSOEVER SHALL S&P DOW JONES
INDICES BE LIABLE FOR ANY INDIRECT, SPECIAL, INCIDENTAL, PUNITIVE, OR CONSEQUENTIAL DAMAGES INCLUDING BUT NOT LIMITED TO, LOSS
OF PROFITS, TRADING LOSSES, LOST TIME OR GOODWILL, EVEN IF THEY HAVE BEEN ADVISED OF THE POSSIBLITY OF SUCH DAMAGES, WHETHER
IN CONTRACT, TORT, STRICT LIABILITY, OR OTHERWISE. THERE ARE NO THIRD PARTY BENEFICIARIES OF ANY AGREEMENTS OR ARRANGEMENTS
BETWEEN S&P DOW JONES INDICES AND AGL, OTHER THAN THE LICENSORS OF S&P DOW JONES INDICES.
www.qualityoflifeinsurance.com
Policies issued by American General Life Insurance Company (AGL). Issuing company AGL is responsible for financial obligations of insurance products and
is a member of American International Group, Inc. (AIG). Guarantees are backed by the claims-paying ability of the issuing insurance company. AGL does
not solicit business in the state of New York. Products may not be available in all states and product features may vary by state. Please refer to your policy.
For Policy Forms ICC14-14888, 14888, ICC14-14012, ICC14-14018, ICC14-14390, AGLA 05AHC, AGLA EMD-DB, 14306, ICC14-14002, AGLA
09MGP, ICC11, AGLA ICIIAR, ICC11 AGLA PRIIAR, ICC10 AGLA ABR, AGLA ABR, AGLA 04CHIR, AGLA 04CRIR, AGLA 04TIR and state variations.
© 2015 AIG. All rights reserved.
8532IUL2-SCH (0115)