American Insurance Company -
American Insurance Company History
American Insurance Company (OAIC) was founded in 1939. For
almost 60 years, Old American Insurance's mission has been
to provide peace of mind to the senior market and, in turn,
enhance the quality of life for both policyholders and their
American has more than one billion dollars of life insurance
in force. Old American Insurance operate in 45 states and
the District of Columbia and currently have more than 300,000
Old American Story
From the beginning, products and
marketing efforts were directed primarily to the age group
commonly designated "senior citizens."
first, the company sold only limited accident insurance policies
to men and women, ages 50 to 85. After a few years, company
officials recognized their selected market also had a specific
need for life insurance. As a result, on July 17, 1944, an
amendment to the companys Articles of Incorporation
permitted it to write life insurance as well as accident and
sickness insurance. All products were designed as supplemental
coverage insurance to supplement the basic life and/or
health insurance people should already own.
company no longer offers health care insurance products. However,
a great number of these policies are still in force and being
administered by Old American.
life insurance products have been of the "final expense"
nature smaller face amounts of life insurance to pay
for final expenses.
From 1939 to 1966, Old American operated almost exclusively
as a direct marketing company and became recognized within
the industry for its considerable expertise and success in
that genre. When agency operations began in 1966, soliciting
consumer inquiries for agents the "Planned Production"
concept was a natural extension of the companys
direct marketing activities.
obtaining the various state licenses and expanding agency
operations, Old American developed an idea called the "model
office" which became the genesis of how they operate
agency territories today. In the "model office,"
a territory is defined geographically and is exclusive to
an individual General Agent Manager.
When a number of savings and loan associations nationwide
suffered extreme financial difficulties in the early 90s,
many of the financially-troubled associations, including Cen
Trust Bank who owned Old American at the time, were closed
down and taken over by the federal government.
1991 Old American was purchased by Kansas City Life Insurance
Company, and a new chapter of company history began. Kansas
City Life Insurance was established in 1895 in Kansas City,
Mo. Kansas City Life markets individual life and annuity and
group life and health products.
Old Americans objective is
to be the premier provider of quality insurance and related
services to seniors. The companys strength of purpose
and spirit of innovation are as strong as ever. With the strength
of the Kansas City Life group of companies and with Old American's
agency force now serving as their sole distribution system,
Old American have the means necessary to achieve their on-going
objectives as they move into the 21st century.
Old American Insurance Company Final Expense Insurance
more than ever, choosing an insurance provider represents
an investment in your future.
American, the company that brings you the Peace of MindSM*
life insurance products, is backed by . . .
than 50 years experience in understanding and serving
the life insurance needs of seniors.
than one billion dollars of life insurance in force.
than 300,000 policyholders in 44 states.
addition, Old American is a member of the Kansas City Life
Insurance Company group of companies. Founded in 1895, Kansas
City Life has more than 100 years experience in providing
for the needs of its policyholders.
there had been a death in your family yesterday, what would
you be doing today? The Peace of Mind Plan is designed to
assist in planning final arrangements to minimize problems
for those who remain.
. . .
will your loved ones handle your affairs after youre
they know what kind of arrangements to make and what your
they know where you keep your important papers and other
you drawn up a current will?
will your funeral and other burial arrangement bills be
will settle up expenses incurred and associated with your
Peace of MindSM* plan helps put your affairs in order by providing
you with these valuable benefits:
whole life insurance policy that can pay up to $15,000
in cash to help provide for your final or any other expenses.
Peace of Mind Planning Guide to assist you in planning
your final arrangements and recording your wishes.
living will which is a written document of your desires
regarding the degree to which you wish to receive medical
attention in the event of terminal illness.
vital document registry form which spares your loved ones
from the difficult and frustrating task of arranging your
financial affairs by providing a confidential record of
all your documents, accounts and other vital information.
ways Peace of MindSM* protects you:
American guarantees that you are eligible to apply for
either their Budget Master Whole Life (Issue Ages 50 -
85) or the Increasing Benefit Whole Life (Issue Ages 50
- 80). Both plans also have 10- and 20-year payment options
American guarantees that the regular premium on your policy,
based on your present age, will never be increased as
you grow older. The policy benefits will never be reduced
for as long as the policy remains in force.
American guarantees that the company will never cancel
your policy for any reason as long as you continue to
pay your premiums. You alone have the right to keep the
policy in force.
Old American Insurance Company - Income Replacement Protection
the beat of a heart, a wife becomes a widow, a husband a widower.
every one of lifes great changes, except this one, gives
us time to prepare. But who among us is really ever prepared
for all the changes that occur with the loss of a spouse?
Social Security Benefits and other lost income, paying funeral
and other expenses.
When a spouse dies, most survivors face two major challenges:
How to get by on a reduced monthly income.
How to pay funeral and other expenses.
widowed is a tragic experience, both emotionally and financially.
While only the passing of time erases the emotional trauma,
advance planning can help you avoid financial shock or hardship.
Deep down, everyone knows that if they are married and live
long enough, they will likely become widowed. But, did you
know that your combined Social Security retirement income
could be reduced by at least one-third and possibly up to
one-half upon the death of either spouse? Monthly income could
be reduced even further if you were also to lose part of a
Which of the following statements best describes what you
I could handle a reduced income without any problem.
would need to make some adjustments in my spending.
would have to change my current lifestyle.
would face a significant financial hardship.
living on Social Security or a fixed retirement income has
become increasingly difficult. Its even harder to live
with reduced monthly income. Thats why Old American
developed Joint Security Plus Income ProtectorÒ *,
a first-to-die whole life insurance policy that helps provide
for the one who is left behind.
may not be available in all states.
Security Plus Income Protector
Joint Security Plus Income Protector is a joint first-to-die
life income protector insurance contract covering two people
(generally a husband and wife). In other words, you own one
policy that insures both of you. Regardless of who dies first,
the insurance pays a single death benefit to the named beneficiary.
life insurance proceeds may be used to cover funeral or any
other expenses, such as unpaid medical bills, or to provide
replacement income for lost Social Security and other retirement
benefits. You can tailor the amount and duration of monthly
benefits for a period of two to 10 years to best meet the
income needs of the survivor.
couples who depend on Social Security benefits for the majority
of their monthly retirement income, Old American can help
fill the gap and provide security for you and your loved one.
Valuable Policy Features
Death Benefit Payment Option
In addition to meeting income replacement, funeral and
other expense needs, Joint Security Plus Income Protector
also provides benefits when you may need them most
during a terminal illness of either insured. If that happens,
you can elect to receive a one-time payment of up to 50 percent
of the life insurance proceeds, while youre still living,
to use for medical expenses or other needs.
At death, the beneficiary may elect to take a lump-sum
payment. If the proceeds qualify, Old American will place
them in an interest-bearing money market account called the
Personal Growth Account. The PGA offers the surviving spouse:
check-writing privileges to pay funeral expenses and other
interest earnings on funds left in account;
flexibility to use and/or close the account as he/she
sees fit; and
time to make long-term financial decisions.
Old American Insurance Company - Juvenile Insurance
its for your children or grandchildren, choosing an
insurance provider represents an investment in their future.
. . . a gift . . . a treasure . . . a responsibility
Our children and grandchildren are the promise of tomorrow.
They bring us both joy and concern. One major concern is the
childs health and welfare; another is good education.
You want to keep them happy and healthy and provide them with
every possible benefit. But higher education comes at a high
cost and a tragic accident or illness could result in financial
hardship. To cover these and other expenses, some life insurance
policies require a lifetime of payment. Some also raise premiums
when the child reaches adulthood. Over the years, all those
premiums could add up to far more than the death benefit.
of Mind for TomorrowSM* is a whole life insurance policy requiring
only 10 years of premium payments that will never total more
than the death benefit. With this policy, premiums are limited
to just 10 years, but the child is covered for life. Should
the childs death occur during the payment period, the
benefit is paid in full.
policy also can help pay the cost of education. Once cash
value is sufficient, you can borrow against that amount for
college or other expenses. If unexpected future health problems
occur making the child uninsurable, this policy will always
Old American offer their Discount Pre-Payment Plan. With this
plan, you can shorten the 10 years of premiums to one single
payment, which equals seven and one-half years of premiums.
You could save nearly 25 percent. And the death benefit equals
nearly five times the premiums paid. For example, if you insured
a two-week-old child for $5,000, 10 years of payment would
equal $1,290. Your discount single premium would be just $976.63,
saving you $313.37!
Peace of Mind for Tomorrow, you have benefits that last a
lifetime. Lifelong insurance coverage is paid up in no more
than 10 years. A death benefit that will never be less than
the sum of premiums paid. Cash values available for policy