Laddering
Policies issued by American General Life Insurance Company ("AGL“)
FOR FINANCIAL PROFESSIONAL USE ONLY-NOT FOR PUBLIC DISTRIBUTION
Laddering
What is Laddering?
Laddering means you buy multiple
smaller policies that custom tailor
your needs rather than one large
policy.
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FOR FINANCIAL PROFESSIONAL USE ONLY-NOT FOR PUBLIC DISTRIBUTION
Here’s How it Works
Step 1: Identify your needs
Step 2: Determine how long you need coverage
Step 3: Determine the amount for those needs
Step 4: Buy multiple smaller term policies that match your
needs exactly instead of a larger policy
By laddering your policies, you purchase the
right amount of coverage in a cost-effective way.
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FOR FINANCIAL PROFESSIONAL USE ONLY-NOT FOR PUBLIC DISTRIBUTION
See It In Action
Larry, age 39, has two children, ages 5 and 8. He wants to purchase
life insurance to provide for his family in the following situations:
 $250,000 of coverage on himself until his youngest child reaches
the age of 21
 $500,000 of coverage until retirement at age 62 to protect his
family’s income needs
 $250,000 of coverage to pay off his mortgage, which has 27
years remaining
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FOR FINANCIAL PROFESSIONAL USE ONLY-NOT FOR PUBLIC DISTRIBUTION
See It In Action
 Larry could buy a single $1 million policy, but the closest available
term period offered by other companies would be 30 years.
 If he drops the policy after 27 years when his longest need
expires, he would have paid $29,808 over the 27 year period.
 With AG Select-a-Term, he can buy a separate policy for each of
his three situations.
 Building his life insurance on his terms saves him more than
$8,000, even if he were to drop the 30-year policy after 27 years.
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FOR FINANCIAL PROFESSIONAL USE ONLY-NOT FOR PUBLIC DISTRIBUTION
See It In Action
$250,000
16 Years
$176.50
$2,824.00
$500,000
23 Years
$449.00
$10,327.00
$250,000
27 Years
$311.50
$8,410.50
$937.00
$21,561.50
$1,104.00
$29,808.00
$1,000,000
30 Years
1 Not an actual case. Presented for illustrative purposes only. Example assumes each policy is kept in force for its full level-premium term period.
2 Preferred Plus underwriting class. Premium rates current as of August 31, 2015, rates may vary by state. Premiums available for other rate classes, ages
and payment plans. Premium charges depend on evidence of insurability. Premiums increase at the end of the guaranteed level premium period if renewed.
Death benefit remains level.
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FOR FINANCIAL PROFESSIONAL USE ONLY-NOT FOR PUBLIC DISTRIBUTION
Questions
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FOR FINANCIAL PROFESSIONAL USE ONLY-NOT FOR PUBLIC DISTRIBUTION
Important Information
Policies issued by: American General Life Insurance Company (AGL), 2727-A Allen Parkway,
Houston, Texas 77019. AG Select-a-Term Policy Form Number 07007, AG Select-a-Term Policy Form
Number ICC10-07007, Accidental Death Benefit Rider Form Number 79002, Child Rider Form
Number 79410, Disability Income Rider Form Number 06305, Terminal Illness Rider Form Number
91401, Waiver of Premium Rider Form Number 79001, Select Income Rider Form Number 08818,
AG ROP Select-a-Term Policy Form Number 10001, Term Conversion Option Endorsement
AGLC103527. The underwriting risks, financial and contractual obligations and support functions
associated with products issued by AGL are the issuing insurer’s responsibility. Guarantees are
subject to the claims-paying ability of the issuing insurance company. American General Life
Companies, www.americangeneral.com, is the marketing name for a group of affiliated domestic life
insurers, including AGL. Important: Prior to soliciting business, be certain that you are appropriately
licensed and appointed with the insurer and that the product has been approved for sale by the
insurer in that state. If uncertain, contact your American General Life Companies representative for
assistance.
FOR PRODUCER USE ONLY — NOT FOR DISSEMINATION TO THE PUBLIC
AGLC106903
© 2015. All rights reserved.
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FOR FINANCIAL PROFESSIONAL USE ONLY-NOT FOR PUBLIC DISTRIBUTION