Why Did American National Stop Selling Life Insurance?

Brookfield Asset Management’s acquisition strategy focused on American National’s existing book of business and investment portfolio rather than growing new policy sales. Industry analysis suggests Brookfield views the in-force policies as a stable, long-term investment generating predictable cash flows without the expense and regulatory complexity of new business acquisition.

Are There Any Exceptions Where They Still Write Policies?

Limited group insurance and credit life products remain available through specific financial institutions and employers, but individual consumers cannot purchase new American National life insurance policies directly or through agents. Some specialty commercial lines continue operating, but these don’t include traditional life insurance products consumers typically seek.

What Should Existing Policyholders Know?

Most importantly, your existing American National life insurance policy remains valid and enforceable under the original contract terms. Brookfield’s acquisition doesn’t void or automatically change your coverage, premiums, or death benefits. State insurance regulations require maintaining all policy obligations regardless of ownership changes.

How Are Current Policies Protected?

Based on our analysis of similar acquisitions, existing policyholders maintain several layers of protection. State guarantee associations provide backup coverage if financial issues arise, typically protecting at least $300,000 in death benefits per policyholder. Your original contract terms remain legally binding, and Brookfield has publicly committed to honoring all existing obligations.

For those with existing conditions who might struggle finding new coverage, our guide to life insurance approvals with pre-existing medical conditions provides strategies for securing additional protection if needed.

How Stable Is American National Under Brookfield?

Key insight: American National maintains solid financial ratings despite the ownership change, with A.M. Best affirming their A (Excellent) rating with a stable outlook. Brookfield’s massive $850 billion in assets under management provides substantial backing, though the focus has shifted from growth to portfolio management.

What Do the Current Ratings Mean?

Traditional approach includes examining multiple rating agencies for comprehensive assessment. American National’s A rating from A.M. Best indicates strong ability to meet ongoing insurance obligations. While this represents a slight decline from their historical A+ rating, it remains well within the “secure” range for policyholder protection.

Will Claims and Service Continue Normally?

Industry data shows American National continues processing death claims within standard timeframes, typically 7-30 days for straightforward cases. Their claims department remains fully operational with dedicated staff handling beneficiary requests, though some policyholders report longer phone wait times compared to pre-acquisition service levels.

What Service Changes Have Occurred?

Based on our experience assisting clients with American National policies, the most notable changes include reduced agent support (many agents no longer represent them), limited online account features compared to actively writing carriers, and fewer customer service representatives resulting in longer hold times during peak periods.

How Should Beneficiaries File Claims?

Our recommended strategy involves contacting American National directly at their claims hotline rather than trying to work through former agents who may no longer have access. Gather the policy number, death certificate, and beneficiary identification before calling. Electronic claim submission remains available, though the process hasn’t been modernized like actively competing carriers.

What Changes Might Affect Current Policies?

Most importantly, guaranteed elements of your policy cannot change – death benefits, guaranteed premiums on term policies, and guaranteed minimum interest rates on permanent policies remain locked. However, non-guaranteed elements like dividend rates, current interest credits above guarantees, and some optional riders might adjust within contract provisions.

Could Premiums Increase?

Traditional approach includes understanding your specific policy type. Level term life premiums remain fixed throughout the term period. Whole life premiums on older policies stay constant. Universal life premiums could increase if cash values underperform or if you have increasing death benefit options, but these possibilities existed in the original contract regardless of ownership.

Where Should New Buyers Look Instead?

Key insight: With American National effectively closed to new individual life insurance business, prospective buyers must evaluate actively writing carriers. The good news – numerous highly-rated companies offer comparable or superior products with modern features, competitive pricing, and robust digital experiences American National couldn’t match even before the acquisition.

Which Carriers Fill American National’s Market Position?

Our analysis identifies several carriers successfully serving markets American National previously targeted. Protective Life offers competitive term rates with living benefits, Pacific Life provides strong universal life options with flexible underwriting, and Prudential maintains comprehensive product lines with particular strength in higher face amounts.

For comprehensive comparisons of currently active carriers, our expert broker rankings of the top 10 life insurance companies provides detailed analysis of carriers actually writing new policies with competitive features and pricing.

What If You Specifically Wanted American National?

Some consumers specifically sought American National due to agent relationships or company reputation. Our recommended strategy involves identifying what attracted you to American National – Texas heritage leads to USAA (for military) or State Farm, while preference for mutual-style ownership suggests Northwestern Mutual or New York Life as alternatives.

Those prioritizing quick approval without medical exams should explore our analysis of the top no-exam life insurance companies offering instant or accelerated underwriting with coverage available in days rather than weeks.

What Were American National’s Key Products?

Understanding American National’s historical product portfolio helps existing policyholders recognize what they own and assists former customers in finding equivalent coverage elsewhere. Their Signature series whole life policies and Anico-Flex universal life products represented their core permanent insurance offerings before the market exit.

How Did Their Products Compare to Current Market Options?

Based on our analysis of in-force American National policies, their products offered solid but unremarkable value. Term rates typically fell in the middle tier, whole life dividends lagged mutual company leaders, and universal life crediting rates matched industry averages. Modern carriers now offer enhanced living benefits, accelerated underwriting, and digital features American National never developed.

What Is the Timeline for Changes?

Most importantly, no immediate changes affect existing policyholders – your coverage continues indefinitely under original terms. However, the long-term trajectory suggests gradual service degradation as Brookfield focuses on portfolio optimization rather than customer experience enhancement.

What Should Policyholders Expect Long-Term?

Industry analysis suggests Brookfield might eventually sell the block of policies to another carrier specializing in closed-book management. This wouldn’t invalidate coverage but could further reduce service quality. Some policyholders might receive buyout offers for cash value policies, though accepting remains optional.

Seniors with American National policies should particularly consider supplemental coverage options. Our review of the best final expense insurance companies identifies carriers specializing in smaller policies that can provide additional protection without replacing existing coverage.

Frequently Asked Questions

Can I still buy American National life insurance?

Direct answer: No, American National stopped selling new individual life insurance policies to consumers in 2022.

Following the Brookfield acquisition, American National exited the individual life insurance market and no longer accepts applications for new policies. Existing policyholders maintain their coverage, but new customers must choose from actively writing carriers like Protective, Banner, or Guardian. Some group and specialty commercial products remain available through specific channels, but traditional individual life insurance is completely unavailable.

Is my existing American National policy still valid?

Direct answer: Yes, all existing American National policies remain fully valid and enforceable under their original terms.

The Brookfield acquisition doesn’t invalidate or modify existing policies. Your death benefit, premium structure, and contract guarantees remain unchanged. State insurance regulations require honoring all policy obligations regardless of ownership changes. Continue paying premiums as scheduled, keep beneficiary information updated, and your coverage continues exactly as originally structured.

Should I replace my American National policy?

Direct answer: Generally no, unless you can qualify for significantly better coverage at lower cost with improved health or age considerations.

Existing American National policies remain valid with guaranteed benefits that new policies might not match. Consider replacement only if your health has improved dramatically, you smoke quit over 12 months ago, or you discover major pricing advantages elsewhere. Always secure new coverage before canceling existing policies, and consult with an independent broker to evaluate whether replacement makes financial sense given surrender charges and new contestability periods.

Who handles American National claims now?

Direct answer: American National maintains their own claims department, though under Brookfield ownership with potentially reduced staffing.

Claims processing continues through American National’s existing infrastructure. Beneficiaries should call their dedicated claims line directly rather than trying to work through former agents. Processing times remain within industry standards (7-30 days for straightforward claims), though some beneficiaries report longer hold times and less responsive service compared to pre-acquisition experiences. Document all interactions and keep detailed records.

Will my American National premiums increase?

Direct answer: Guaranteed premiums cannot increase, but non-guaranteed universal life premiums might adjust within contract provisions.

Term life and traditional whole life premiums remain fixed as originally structured. Universal life policies could see premium increases if cash values underperform or if you selected increasing death benefit options, but these possibilities existed in your original contract. The ownership change doesn’t create new opportunities for premium increases beyond what your policy already allowed.

What happens if American National fails financially?

Direct answer: State guarantee associations would protect policyholders up to statutory limits, typically $300,000 in death benefits.

While American National maintains adequate financial ratings, state guarantee associations provide backup protection if insolvency occurred. Coverage limits vary by state but generally protect $300,000 in death benefits and $100,000 in cash surrender values. Brookfield’s substantial resources ($850 billion under management) make failure unlikely, though the company’s shift away from growth raises long-term questions about commitment to the insurance operations.

Can I increase coverage on my American National policy?

Direct answer: No, American National no longer offers coverage increases, additional riders, or policy modifications beyond what’s guaranteed in existing contracts.

Since American National stopped writing new business, they cannot increase existing coverage amounts or add new riders. If you need additional life insurance, you must apply with an actively writing carrier. Consider keeping your American National policy for its existing coverage while supplementing with new policies from companies currently in the market. Our brokers can help identify carriers offering the best rates for additional coverage needs.

How do I contact American National for service?

Direct answer: Call their customer service line directly, as many former agents no longer have access to policy information.

American National maintains customer service operations, though with reduced staffing and longer wait times. Their website provides basic policy information access, though the interface hasn’t been modernized. For complex service needs, calling during off-peak hours (early morning or late afternoon) typically results in shorter hold times. Document all conversations including representative names, dates, and confirmation numbers for important changes.

Final Assessment: American National’s Legacy and Your Options

American National’s transformation from a proud Texas institution to a closed-book operation under private equity ownership represents a cautionary tale about industry consolidation. While existing policyholders remain protected under their original contracts, the company’s exit from new business fundamentally changes its relevance for insurance consumers.

For existing policyholders, the message remains reassuring but sobering: your coverage continues, claims will be paid, and contract guarantees remain enforceable. However, expect minimal service improvements, no coverage expansion options, and potential long-term transitions to other carriers. Monitor annual statements carefully, keep beneficiary information current, and consider whether supplemental coverage from active carriers makes sense given your inability to increase American National coverage.

New insurance seekers must look elsewhere entirely. The good news – today’s life insurance market offers superior options to what American National provided even at their peak. Modern carriers deliver better pricing, enhanced living benefits, streamlined underwriting, and digital experiences that American National never achieved. The company’s exit, while disruptive for loyal customers and agents, opens opportunities to explore innovative insurers better positioned for long-term growth and service.

For those seeking alternatives, comparing multiple carriers becomes essential. Our comprehensive guide to the best life insurance companies analyzes actively writing insurers across multiple criteria, helping you find superior coverage options to replace or supplement American National policies.