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Rule 497(e)
File No. 33-58504
AIG LIFE INSURANCE COMPANY
VARIABLE ACCOUNT I
February 2, 1998
This supplement amends the prospectus dated May 1, 1997, which
offers individual deferred variable annuity contracts, as
indicated below:
The Contract -- Dollar Cost Averaging
The first sentence of this section is amended to read: The
Company currently offers an option under which Owners may dollar
cost average their allocations in the Subaccounts under the
Contract by authorizing the Company to make periodic allocations
of Contract Value from either the Money Market Subaccount or the
Guaranteed Account to one or more of the other Subaccounts.
Death Benefit -- Prior to the Annuity Date
This section is amended by revising the existing last sentence
and adding an additional sentence to read as follows: If there
has been a change of Owner from one natural person to another
natural person, the death benefit will equal the Contract Value,
unless the change in ownership results from the election, made by
a surviving spouse as designated beneficiary, to continue the
contract. All death benefit options may not be available in all
states.
Death Benefit -- Option I - Equity Assurance Plan
The last paragraph is amended to read: The Equity Assurance
Plan will cease to be in effect upon receipt by the Company of
the Owner s written request to discontinue it or upon the
allocation of Contract Values to either the Money Market
Subaccount or Guaranteed Account, unless such allocation is made
as part of Dollar Cost Averaging.
Death Benefit -- Option III - Enhanced Equity Assurance Plan
The last paragraph is amended to read: The Enhanced Equity
Assurance Plan will cease to be in effect upon written receipt by
the Company of the Owner s written request to discontinue it or
upon the allocation of Contract Values to either the Money Market
Subaccount or Guaranteed Account, unless such allocation is made
as part of Dollar Cost Averaging.
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Appendix -- Guaranteed Account Option
The following sentence is added to the end of this section: The
Guaranteed Account may not be available in all states.
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