AIG Annuity Insurance Company Set Rate Annuity Product and Purchase Information Page for California Residents

A
n
n
u
i
t
y

H
o
m
e
p
a
g
e
•

Click
on
icon
for
Adobe
Acrobat
soft-
ware
down-
load

this page is for California Residents only
Online Annuity Information and Purchase Page for AIG Annuity Insurance Company / Set Rate Annuity

AIG Annuity Insurance Company

RATINGS

Moody's Investors Service - Aa1

2nd highest of 19 ratings (Aaa thru C)

A.M. Best Company - A+

2nd highest of 15 ratings (A++ thru F)

Standard & Poor's Corp. - AA+

2nd highest of 22 ratings (AAA thru R)

Fitch - AA+

2nd highest of 24 ratings (AAA thru DD)

Featured Annuity Product

•Set Rate Annuity (SRA)

The SRA offers stability & tax deferral to strengthen

your future financial security. The SRA is issued &

guaranteed by the AIG Annuity Insurance Company.

Bullet Points

• No up-front sales charges or annual fees

• Interest earnings are tax-deferred

• Beneficiaries can avoid the frustrations of probate

• You can receive your interest on a monthly,

..quarterly, semi-annual, or annual basis

• When you select your MVA term, you control

..the rate of interest and the length of time it is

..guaranteed.

Description

The SRA is a single premium, tax-deferred, market value

adjusted (MVA) annuity that gives you the opportunity to

choose your MVA term at the time of purchase and also

at renewal. You can select a 3, 5, 7, 9, or 10 year term.

Upon the expiration of your initial MVA term, American

General automatically renews your contract for the same

term unless you choose a different term by notifying Am-

erican General, in writing, before the end of your current

MVA term. Higher interest rates are paid for longer MVA

terms.

Issue Ages

0-85 for a non-qualified annuity

0-70 for a qualified annuity

Minimum Initial Premium

$5,000 for a non-qualified annuity

$2,000 for a qualified annuity

Minimum guaranteed Rate

3% annually

Set Rate Annuity (SRA) Withdrawals

Full or partial. withdrawals in excess. of any permitted free

amounts made during the first seven years. will be subject

to a market value adjustment & an early withdrawal charge

as shown in the following chart:

Early Withdrawal Charges**
Length of Time from	% of Amount With-
Purchase Payment	drawn in excess of
**************	Permitted Free Amounts
Policy Years	Charge
1	7%
2	6%
3	5%
4	4%
5	3%
6	2%
7	1%
8 & thereafter	0%

** - Unless your annuity is a Roth IRA, withdrawals will

be treated for. federal income tax. purposes as coming

first from earnings, taxable as ordinary income, and as

a return of principal only after earnings are exhausted.

Set Rate Annuity (SRA) Withdrawal Amounts

After the first policy year, you get one free withdrawal

each year up to 10% of your annuity value ($250 min-

imum). This free withdrawal is not subject to a market

value adjustment or early withdrawal charge. In lieu of

a single withdrawal, after 30 days the company's cur-

rent practice is to allow you to systematically with-

draw interest ($50 minimum) on a monthly, quarterly,

semi-annual or annual basis.***

You may also make a full or partial withdrawal within

the 30-day period following the end of an MVA term

without incurring a market value adjustment or an

early withdrawal charge.

*** - The company's practice of allowing immediate free...

.......withdrawals of. accumulated. interest is subject to

.......change.

Current Interest Rates

Set Rate Annuity	as of 02/05/2003/*
Term of Guarantee	Current Interest Rate	Minimum Guaranteed Rate
3 years	-----%	3.00%
5 years	-----%	3.00%
7 years	3.10%	3.00%
8 years	3.45%	3.00%
9 years	3.85%	3.00%
10 years	4.50%	3.00%

* - The interest rates presented in the Current Interest Rate

and Minimum Guaranteed Rate columns above are subject

to change at any time.

** - The interest rate that you receive on the Set Rate Annuity

(SRA) you purchase may be different than the Current Interest

Rate presented in the table above. Annuity rates are set for

each Set Rate Annuity (SRA) contract when the premium is

received with a dated application, for an SRA, that is signed

by the annuity owner(s) and the licensed agent transacting

the annuity.

How to purchase a Set Rate Annuity

(California Residents Only)

.To purchase a Set Rate Annuity

go to the following sections below:

•DOWNLOADABLE ANNUITY PURCHASE FORMS

•SUBMITTING & PROCESSING YOUR ANNUITY APPLICATION

If you need help completing the forms

send us an e-mail message with your

inquiry; please include your phone number.

•DOWNLOADABLE ANNUITY PURCHASE FORMS

CALIFORNIA RESIDENTS ONLY

Annuity Purchase Forms***/****:

Forms for cash purchase:

Deferred Annuity Application (AP68-00)

(PDF: 144k)

Set Rate Annuity Owner Acknowledgment (AIGA 316-SRA)

(PDF: 69k)

Financial Products Disclosure (AIGA 258 CA)

(PDF: 34k)

Download this form with all above forms

if transfer or exchange:

Request to Transfer Funds (AGPA 102)

(PDF: 124k)

Download this for with all above forms

if replacement is involved:

Notice Regarding Replacement (AIGA 038)

(PDF: 35k)

***These annuity forms are in Adobe Acrobat Portable Document

Format (PDF) you will need an Adobe Acrobat Reader to read and

print out these forms.

****If you are not able to download the above forms, you can call

us at 650-355-4576 (press the 1 key on your phone dialpad) and

leave your name, address, and phone number. We can send the

forms to you in the mail or call you back with any information

•SUBMITTING AND PROCESSING YOUR ANNUITY APPLICATION

CALIFORNIA RESIDENTS ONLY

Here's how you can purchase your annuity:

1). Go to the above section titled Annuity Purchase Forms

and download the forms you need.

2). Print the forms. Fill out, sign, and date the forms.

3). If you have any questions about filling out the forms please

call for assistance at 650-355-4576

4). Make out a check payable to:

.....AIG Annuity Insurance Company

in the amount that you want to invest in your annuity. Maxi-

mum annuity amount is $500,000. For deposits greater than

$500,000 call us at 650-355-4576 so we can contact AIG An-

nuity Insurance Co. to seek prior approval for the deposit.

5). Mail your check and annuity application forms to:

.....William Baker

.....Agent, AIG Annuity Insurance Company

.....3940 Chilton Lane

.....San Bruno, CA 94066

Who is the agent handling my annuity transaction?

William E. Baker

California Department of Insurance License #0489216

To check my license status with the California

Department of Insurance:

1). go to: http://www4.insurance.ca.gov/wu/licw_lic_search$.startup

2). enter: 0489216 in the box following the words "License Number"

3). click on the "Submit Query" button

We hope you enjoy visiting our site and if you have any questions

or comments, please feel free to send us an e-mail message.