Advance Premium Deposit

About Our 4.0% Minimum Interest Rate Advance Premium Deposit Account

The Advance Premium Deposit (APD) account lets you save additional money for the future. You may deposit funds into an APD account to save for your child or grandchild, yourself, or to pay future premiums.

Your optional savings in the Advance Premium Deposit account can earn a minimum guaranteed interest rate of 4.0% per year. There is only a $5 minimum balance and never any account fees*.

The maximum APD account balance is $7,000 for each $10,000 of life insurance death benefit coverage. In other words, a $14,000 APD account for a $20,000 life insurance policy.

For example, if you have two $10,000 Youth Life Insurance Plan policies on two of your children or grandchildren, you could keep up to $14,000 in your Advance Premium Deposit (APD) account earning at least 4.0% interest. A Parent or Grandparent can link multiple children’s accounts conveniently into one APD account.

*Fees may be charged for special services requested by the APD account owner (e.g.: wire transfer requests).

Frequently Asked Questions

How do I make deposits into my APD savings account?

You may include a deposit with the insurance application, or at any time afterwards you may mail or drop off deposits at our corporate office in downtown Mesa, Arizona.

How do I make withdrawals from my APD savings account?

You may request to withdraw any or all of your APD account balance in person or by mail. Since the savings account is optional, you may close it at any time and still keep the life insurance policy in force.

How do I pay premiums from my APD account?

Premiums will only be paid from your APD account 30 days after they are due if you do not pay them by check. This ensures your life insurance policy does not lapse in coverage unintentionally.

Opening your APD account

Opening your Advance Premium Deposit (APD) account would be indicated on the Youth Life insurance application or can be established anytime afterwards. The Premium Deposit Agreement Endorsement is available for your review and will be included with the life insurance policy.

An IRS Form W-9 is required to be submitted to American Savings Life’s home office prior to establishing the APD account that will be linked to the life insurance policy. The APD savings account is separate from the life insurance policy with APD interest earnings reportable to the IRS.

Click here to download the APD Endorsement and IRS Form W-9

What Our Customers Are Saying...

“Having the opportunity to have my premiums paid automatically from my APD account gives me great peace of mind.”
Trent Allen

“My children use their APD accounts for saving their own money. When they saw how much interest they were earning they decided that saving money is fun!”
Myrna Memmott

The Advance Premium Deposit account is linked for advance premiums of a life insurance policy but is not internal to the life insurance policy. APD account interest earnings are not tax-deferred, are not tax-free upon death, and are reportable as taxable interest. Refer to the APD Agreement Endorsement. The Advance Premium Deposit account is not a product of, nor is it a deposit of, nor is it guaranteed by any bank or credit union and is not insured by the FDIC or any other federal agency. All guarantees are backed by the financial strength and claims-paying ability of American Savings Life Insurance Company, 935 E. Main Street, Mesa, Arizona 85203-8849. Available only in Arizona and Utah. Youth Life Plan policy form C9999.