AIG American General has launched its AIG ROP Select-a-Term, a new term life insurance product underwritten by American General Life Insurance Company and The United States Life Insurance Company in the City of New York, subsidiaries of American International Group.

American International Group (AIG) has said that AIG ROP (return of premium) Select-a-Term enables policy owners to choose the term duration that meets their needs and, if they live to the end of the level-term period, have their base policy premiums returned.

With AIG ROP Select-a-Term, applicants can choose from 17 term durations, which include a 15-year term or any length from 20 through 35 years. This combination of security and flexibility allows consumers to link their term policy to specific life events, while simultaneously saving money on premiums by only buying as much insurance as they need.

In addition to the refund of premium at the end of the term, policy owners can borrow from the cash value accrued in their policy and still keep their coverage in force. Policy owners also have the option of converting their term policy to a permanent life insurance policy.

AIG ROP Select-a-Term also has additional features and riders that provide consumers extra security in the case of unforeseen circumstances: accidental death benefit; child rider; disability income rider; and terminal illness rider.

Leigh Harrington, vice president and term product manager for AIG American General, said: Not only does an AIG ROP Select-a-Term policy allow a consumer to have the security of affordable life insurance, but it can also be a financial tool since the premiums returned at the conclusion of the policy term can be used for a myriad of purposes that are completely at the discretion of the policy owner.