American General Life Insurance Company, a member of American International Group, has introduced its AIG Protection Advantage VUL, a new variable universal life insurance product that offers long-term guaranteed death-benefit protection while allowing clients to choose their investment allocation.

AIG Protection Advantage VUL provides producers and policy owners with a model asset allocation plan – a tool designed to simplify and tailor, for each client, elements of this sophisticated insurance product. The model asset allocation plan allows the advisor and consumer to identify the consumer’s risk tolerance and to then select the appropriate allocations from a suite of professionally managed portfolios.

Among the portfolio options are a diverse line of investment choices, including top-rated funds from investment categories not commonly offered in the VUL market: PIMCO VIT CommodityRealReturn Strategy, the Vanguard VIF REIT Index Portfolio, and Oppenheimer’s Global Securities fund.

By combining long-term guarantees with the flexibility of variable universal life insurance, as well as giving the client control over the choice of investment options, American International Group’s (AIG) Protection Advantage VUL allows clients the ability to take full advantage of the financial vehicle that is a variable universal life insurance policy.

Don Ward, president of financial institution marketing group at AIG American General, said: Advisors have told us that many of their younger clients want to have insurance driven by market performance, but with a guarantee that they will not lose the death benefit if the market does not perform. By giving clients downside risk protection and upside market opportunity, we are giving them the best of both worlds.