AMERICAN GENERAL LIFE INSURANCE COMPANY CLAIMS PAYING ABILITY RATING REAFFIRMED AT 'AAA'
CHICAGO, Jan. 27 /PRNewswire/ -- Duff & Phelps Credit Rating Co. has reaffirmed the claims paying ability rating of American General Life Insurance Company (AGL) at AAA' (Triple-A). The rating reflects the company's excellent asset quality, low operating leverage, and strong parent. AGL is a stock life insurance company based in Houston with admitted assets of $4.5 billion and adjusted surplus of $1.1 billion at Sept. 30, 1992. The company is a wholly owned subsidiary of American General Corporation (American General), a consumer financial services organization with $38.9 billion of total assets and $4.5 billion of shareholders' equity at Sept. 30, 1992. The Variable Annuity Life Insurance Company (VALIC) is a major subsidiary of AGL with admitted assets of $16.7 billion and adjusted surplus of $722 million at Sept. 30, 1992. VALIC is a retirement annuity company rated AAA' (Triple-A) by Duff & Phelps. AGL's operating leverage ratio (including VALIC) was 14.72 times at quarter-end. This level was stronger than industry norms given AGL's business mix. AGL has excellent asset quality. Bonds represented 58 percent of total invested assets at Sept. 30, 1992. Below investment grade securities made up 5 percent of the bond portfolio. VALIC and other affiliated investments represented 19 percent of invested assets. Mortgage loans comprised 13 percent of total invested assets at quarter- end. AGL's mortgage portfolio has significantly out-performed the life insurance industry averages. -0- 1/27/93 /CONTACT: Julie A. Burke, CPA of Duff & Phelps, 312-368-3158/ (AGC)
CO: American General Life Insurance Company ST: Texas IN: INS SU: RTG
PS -- NY071 -- 9661 01/27/93 12:26 EST
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|Date:||Jan 27, 1993|
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