Frequently Asked Questions
Q: How Long Has ASL Been In Business?
A: Over 64 years. ASL was founded on April 6, 1954 in Phoenix, AZ and has been a licensed life insurer since April 22, 1954.
Q: What is ASL’s Rating?
A: ASL does not pay to be rated by any of the rating agencies. Despite the fact that we have a 30+ year history
of consistent profitability and dollar-for-dollar one of the strongest balance sheets in the industry, because we
are a small, niche life insurer, not doing business in a large number of states with a large array of products, we
do not fit the model the rating agencies require to receive an “A” rating. Therefore, we choose to not “pay to
play” and instead refer people to our company’s proven history of profitability and exceptional solvency as
hard evidence of our financial strength and solvency.
Q: How Can Someone Independently Verify ASL’s Solvency?
A: There are two ways one can independently verify ASL’s financial strength and solvency:
Available upon request is a “2017 Independent Comparative Report” prepared by Standard Analytical
Services, Inc. as of December 31, 2016. This report compares ASL’s key financial ratios with the 25
largest life insurance companies. A couple key ratios included in this report are:
- Solvency Ratio (Assets for each $100 of liabilities)
- Average of 25 largest life insurance co's = $106.19
- American Savings Life = $141.37
- Surplus Funds (Amount of stockholder surplus per $100 of policy reserves)
- Average of 25 largest life insurance co's = $13.52
- American Savings Life = $47.93
- The Company’s audited financial statements. A copy of ASL’s 12-31-2017 audited statutory financial statement is available on the Stockholders Page of the Company's website.
Q: How Can ASL Afford to Pay Above-Market Interest on its Annuities?
A: ASL has a very different business model than the typical life insurance company. We operate with a LOW
overhead. We do not have high executive salaries and bonuses and extensive layers of management. We also
have LOW marketing and sales expenses. We have directly appointed agents and we pay modest
commissions. We also have a proven history of profitability that is significantly better than industry averages.
Q: How Does ASL Invest Its Assets?
A: For over 64 years, ASL has maintained the same investment model of investing the majority of its assets in a very conservative yet profitable niche real estate loan product we call Not So Hard MoneyTM. These secured loans are unique because we only loan on average 55% of the property’s value while earning an average of 8-9% interest. The Company has been consistently profitable, even through the 2007-2010 real estate market
correction and accompanying “Great Recession.”
We invite you to learn more about American Savings Life online at www.AmericanSavingsLife.com or call us at our home office (480-835-5000 or toll-free 1-800-880-2112) and we will be happy to answer all of your questions.
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