AIG Life & Retirement and Annexus Launch X5 Accelerator Annuity

AIG Life & Retirement, a leading provider of annuities, today announced the launch of the X5 Accelerator Annuity^SM in partnership with Annexus, an innovator in delivering retirement solutions to the marketplace. X5 Accelerator is issued by American General Life Insurance Company, a member company of American International Group, Inc., and marketed through a network of Annexus-contracted independent distribution companies.

The newest addition to the X5 suite of index annuities, X5 Accelerator is a powerful accumulation and income solution with an innovative design that emphasizes income growth from the outset to help consumers generate more income for retirement. The product’s front-end acceleration features include a bonus equal to 35% of the premium that is immediately added to the lifetime income benefit, as well as a multiplier that can increase lifetime income by 250% of net interest earned every year during the accumulation phase.

“X5 Accelerator offers consumers a valuable head start on their retirement planning with an immediate bonus and a strong multiplier,” said Bryan Pinsky, President, Individual Retirement, AIG Life & Retirement. “We are excited to continue our work with Annexus to provide their network of financial professionals with more options and flexibility for increased retirement income and security.”

X5 Accelerator offers exclusive indices developed by premier asset managers PIMCO and Morgan Stanley Investment Management to provide upside growth potential. X5 Accelerator also provides principal protection against market downturns so principal cannot be lost.

“A real concern for many retirees is how to keep pace with rising costs and how to reduce the risk of running out of money in retirement,” said Don Dady, Annexus Co-founder. “With the addition of X5 Accelerator, the X5 Suite offers financial professionals and their clients more choice and flexibility in creating a personalized retirement plan that can help them overcome these risks.”

Additionally, X5 Accelerator includes the potential for an enhanced beneficiary benefit, that may provide a greater inheritance, plus a unique benefit that doubles the annual income should the policyholder become confined to a nursing home or other qualified facility. These features, along with the guaranteed lifetime income benefit, are subject to an annual fee.