The annuity products offered by Western National from financial institutions across the United States include fixed-income annuities, variable annuities, single-premium deferred annuities and tax-deferred annuities as of 2015. In 1998, American General Corporation acquired Western National Life Insurance company. AIG Annuity Insurance Company changed its name to Western National Life Insurance Company in 2009, reports Bloomberg.
The American General Life Insurance Company is part of a family of companies operated by AIG, according to the company’s website. AIG provides retirement products and services along with annuities designed to help individuals generate retirement income. The Polaris variable annuity is a retirement investment offered by AIG designed for growth potential through asset accumulation.
Annuities are contractual financial obligations sold by institutions to accept funds from investors so they receive streams of payments at some point in the future, explains Investopedia. Annuities provide retirees with passive income when the annuity reaches the annuitization phase, also known as the income phase. During the accumulation phase, the annuity starts accumulating assets that guarantee payments to retirees during the income phase.
Investment companies and life insurance companies primarily sell annuities to the general public. Life insurance companies use annuities as a hedge against other products they offer. Investors can structure their annuities so they receive payment for a fixed amount of time, such as 20 years, once there is a lump sum deposit, explains Investopedia.