Registration Nos. 33-43390
811-2441
As filed with the Commission on October 14, 1997
--------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-4
REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF 1933
Pre-Effective Amendment No. ___ ___
Post-Effective Amendment No. 15 X
and/or
REGISTRATION STATEMENT UNDER THE INVESTMENT COMPANY ACT OF 1940
Amendment No. 63 X
AMERICAN GENERAL LIFE INSURANCE COMPANY
SEPARATE ACCOUNT D
(Exact Name of Registrant)
AMERICAN GENERAL LIFE INSURANCE COMPANY
(Name of Depositor)
2727-A Allen Parkway
Houston, Texas 77019-2191
(Address of Depositor's Principal Executive Officers) (Zip Code)
(713) 831-3632
(Depositor's Telephone Number, including Area Code)
Steven A. Glover, Esq.
Associate General Counsel and Assistant Secretary
American General Life Insurance Company
2727-A Allen Parkway, Houston, Texas 77019
(Name and Address of Agent for Service)
Copies of all communications to
Freedman, Levy, Kroll & Simonds
1050 Connecticut Avenue, N.W., Suite 825
Washington, D.C. 20036
Attention: Gary O. Cohen, Esq.
Approximate Date of Proposed Public Offering: Continuous
It is proposed that this filing will become effective (check appropriate box)
|X| Immediately upon filing pursuant to paragraph (b) of Rule 485
|_| On __________________ pursuant to paragraph (b) of Rule 485
|_| 60 days after filing pursuant to paragraph (a)(1) of Rule 485
|_| On __________________ pursuant to paragraph (a)(1) of Rule 485
<PAGE>
If appropriate, check the following:
|_| This post-effective amendment designates a new effective date for a
previously filed post-effective amendment
Pursuant to the provisions of Rule 24f-2 under the Investment Company Act of
1940, Registrant has elected to register an indefinite number or amount of its
securities under the Securities Act of 1933. That election was previously
filed in Registrant's Form N-4 registration statement (File No. 2-49805 and
File No. 811-2441). Registrant filed a Rule 24f-2 Notice on February 24, 1997,
for its most recent fiscal year ended December 31, 1996.
<PAGE>
EXPLANATORY NOTE
----------------
Registrant is filing this Post-Effective Amendment No. 15 solely for the
purposes of adding to the Registration Statement a new Division of Registrant,
changing the name of one of Registrant's existing Divisions, stating that the
Fixed Account is not available in Oregon, adding an automatic transfer plan to
the Guaranteed Interest Rate paid in the Fixed Account and a related exhibit,
and revising tax disclosure to reflect amendments to the Internal Revenue Code
that become effective in 1998.
Registrant does not intend for this Post-Effective Amendment No. 15 to
amend or delete, any other part of this Registration Statement, except as
specifically noted herein.
<PAGE>
REGISTRATION STATEMENT ON FORM N-4
PART C
OTHER INFORMATION
EXPLANATORY NOTE:
This filing amends Part C of this Registration Statement only to the extent
specifically noted below.
ITEM 24. FINANCIAL STATEMENTS AND EXHIBITS
<TABLE>
(b) Exhibits
<S> <C>
5(c)(x) Specimen form of Special Offer-Dollar Cost Averaging from the 1-
Year Guarantee Period (For new Contracts only).
</TABLE>
<PAGE>
SIGNATURES
As required by the Securities Act of 1933 and the Investment Company Act
of 1940, the Registrant, American General Life Insurance Company Separate
Account D, certifies that it meets the requirements of Securities Act Rule
485(b), for effectiveness of this Amendment to the Registration Statement and
has duly caused this Amendment to the Registration Statement to be signed on
its behalf, in the City of Houston, and State of Texas on this 10th day of
October 1997.
AMERICAN GENERAL LIFE INSURANCE AMERICAN GENERAL LIFE INSURANCE
COMPANY SEPARATE ACCOUNT D COMPANY
(Registrant) (Depositor)
By: /s/ROBERT F. HERBERT, JR. By:/s/ROBERT F. HERBERT, JR.
------------------------------- -------------------------------
Robert F. Herbert, Jr. Robert F. Herbert, Jr.
Senior Vice President of Senior Vice President
American General Life
Insurance Company
As required by the Securities Act of 1933, this Amendment to the
Registration Statement has been signed by the following officers and directors
of American General Life Insurance Company in the capacities and on the dates
indicated.
<TABLE>
<CAPTION>
Signature Title Date
----------- ------- ------
<S> <C> <C>
RODNEY O. MARTIN, JR.* Principal Executive Officer October 10, 1997
--------------------------
(Rodney O. Martin, Jr.)
ROBERT F. HERBERT, JR.* Principal Financial and October 10, 1997
-------------------------- Accounting Officer
(Robert F. Herbert, Jr.)
</TABLE>
<TABLE>
<CAPTION>
DIRECTORS
-------------
<S> <C>
ROBERT M. DEVLIN* JOHN V. LaGRASSE*
-------------------------- -------------------------
(Robert M. Devlin) (John V. LaGrasse)
MICHAEL G. ATNIP* RODNEY O. MARTIN, JR.*
-------------------------- -------------------------
(Michael G. Atnip) (Rodney O. Martin, Jr.)
DAVID A. FRAVEL* JON P. NEWTON*
-------------------------- -------------------------
(David A. Fravel) (Jon P. Newton)
ROBERT F. HERBERT, JR.* PETER V. TUTERS*
-------------------------- -------------------------
(Robert F. Herbert, Jr.) (Peter V. Tuters)
/s/STEVEN A. GLOVER
--------------------------------------
*By Steven A. Glover, Attorney-in-Fact October 10, 1997
</TABLE>
<PAGE>
EXHIBIT INDEX
<TABLE>
<S> <C>
5(c)(x) Specimen form of Special Offer-Dollar Cost Averaging from the 1-
Year Guarantee Period (For new Contracts only).
</TABLE>
<PAGE>
AMERICAN GENERAL LIFE INSURANCE COMPANY
SEPARATE ACCOUNT D
GENERATIONS (TM)
COMBINATION FIXED AND VARIABLE ANNUITY CONTRACT
SUPPLEMENT DATED OCTOBER 14, 1997
TO
PROSPECTUS DATED MAY 1, 1997
This supplement amends the prospectus for the following reasons:
1. Effective October 14, 1997, Separate Account D has added a Strategic
Stock Division. The Division invests in shares of the Strategic Stock
Portfolio, which has been added to the Van Kampen American Capital Life
Investment Trust (the 'Trust"). Also effective October 14, 1997, Separate
Account D has changed the name of its existing Real Estate Securities Division
to the Morgan Stanley Real Estate Securities Division. The Division invests in
shares of the Trust's Morgan Stanley Real Estate Securities Portfolio, which
has also changed its name.
2. Also effective October 14, 1997, American General Life Insurance
Company ("AGL") may, from time to time, offer new contract owners a higher
Guaranteed Interest Rate for Fixed Account Guarantee Periods associated with a
dollar cost averaging feature than for other Guarantee Periods of the same
duration that are not associated with a dollar cost averaging feature. In
addition, the Fixed Account will no longer be available for contracts
purchased in Oregon.
3. The Taxpayer Relief Act of 1997, which became law on August 5, 1997,
changed the taxation of individual retirement annuities in several respects.
The above changes require several modifications in the prospectus, as
follows:
1. NEW SERIES OFFERED AND CHANGE IN SERIES NAME
ON PAGES 1, 7, 8, AND 14, REPLACE THE TERM "REAL ESTATE SECURITIES" WITH THE
TERM "MORGAN STANLEY REAL ESTATE SECURITIES," AND, IN EACH CASE, ADD THE
PHRASE "STRATEGIC STOCK" IMMEDIATELY THEREAFTER.
<PAGE>
IN THE TABLE ON SERIES' ANNUAL EXPENSES THAT APPEARS ON PAGE 7, ADD THE
FOLLOWING INFORMATION FOR THE NEW STRATEGIC STOCK SERIES:
<TABLE>
<CAPTION>
[Management [Other Expenses [Total Series
Fees After After Expense Operating
Expense Reimbursement] Expenses]
Reimbursement]
<S> <C> <C> <C>
Strategic Stock 0.50% 0.15% 0.65%
</TABLE>
IN THE EXAMPLES THAT APPEAR ON PAGES 7 AND 8, ADD THE FOLLOWING INFORMATION
FOR THE NEW STRATEGIC STOCK SERIES:
<TABLE>
<CAPTION>
[1 year] [3 years] [5 years] [10 years]
<S> <C> <C> <C> <C>
Strategic Stock $76 $111 N/A N/A
[page 7]
</TABLE>
<TABLE>
<CAPTION>
[1 year] [3 years] [5 years] [10 years]
<S> <C> <C> <C> <C>
Strategic Stock $22 $ 66 N/A N/A
[page 8]
</TABLE>
IN THE FIRST SENTENCE OF THE FIRST PARAGRAPH ON PAGE 14, REPLACE THE WORD
"SIXTEEN" WITH THE WORD "SEVENTEEN," AND REPLACE THE WORD "SEVEN" WITH THE
WORD "EIGHT."
2. FIXED ACCOUNT CHANGES
AT THE END OF THE FIRST PARAGRAPH IN THE SECTION TITLED "THE FIXED ACCOUNT" ON
PAGE 16, ADD THE FOLLOWING SEPARATE PARAGRAPH:
The Fixed Account is not available under Contracts purchased in Oregon.
AFTER THE SIXTH SENTENCE IN THE SECOND FULL PARAGRAPH ON PAGE 17, ADD THE
FOLLOWING SENTENCE:
One or more Guarantee Periods may be offered with a required dollar cost
averaging feature. (SEE "Transfers.")
-2-
<PAGE>
IN THE THIRD LINE OF THE FOURTH PARAGRAPH ON PAGE 20, AFTER THE WORDS
"ONE-YEAR GUARANTEE PERIOD," INSERT THE FOLLOWING PHRASE:
(or any other Guarantee Period that is available at that time)
AT THE END OF THE FIRST SENTENCE OF THE FOURTH PARAGRAPH ON PAGE 20, ADD THE
FOLLOWING:
This kind of automatic transfer plan is also referred to as a dollar cost
averaging plan, under which the Owner will select the amount to be transferred
and the period of time over which transfers are to occur. We may offer certain
automatic transfer plans to new Contract Owners who are not presently owners
of any annuity contract offered by AGL or an affiliate of AGL. Under such
plans, we will establish the period of time over which equal monthly transfers
will be made, and we may offer a higher Guaranteed Interest Rate, set forth in
a prospectus supplement, than would otherwise be available for another
Guarantee Period of the same duration that is not offered under such plans.
ENHANCED RATE--THE GUARANTEED INTEREST RATE FOR THE GUARANTEE PERIOD THAT IS
PRESENTLY AVAILABLE UNDER THE AUTOMATIC TRANSFER PLAN, REFERRED TO ON PAGE 20
OF THE PROSPECTUS, IS 2.70% GREATER THAN THE GUARANTEED INTEREST RATE FOR A
GUARANTEE PERIOD OF THE SAME DURATION THAT IS NOT AVAILABLE UNDER SUCH AN
AUTOMATIC TRANSFER PLAN.
3. INDIVIDUAL RETIREMENT ANNUITY CHANGES
ON PAGE 35, SUBSTITUTE THE FOLLOWING IN PLACE OF ALL OF THE TEXT PRESENTLY IN
THE PARAGRAPH TITLED "PURCHASE PAYMENTS":
Individuals who are not active participants in a tax qualified retirement
plan may, in any year, deduct from their taxable income purchase payments for
an IRA equal to the lesser of $2,000 or 100% of the individual's earned
income. In the case of married individuals filing a joint return, the
deduction will, in general, be the lesser of $4,000 or 100% of the combined
earned income of both spouses, reduced by any deduction for an IRA purchase
payment allowed to the spouse. Single persons who participate in a tax-
qualified retirement plan and who have adjusted gross income not in excess of
$25,000 may fully deduct their IRA purchase payments. Those who have adjusted
gross income in excess of $35,000 will not be able to deduct purchase
payments, and for those with adjusted gross income between $25,000 and $35,000
the deduction is phased out based on the amount of income. Beginning in 1998,
the income range over which the otherwise deductible portion of an IRA
purchase payment will be phased out for single persons will increase,
-3-
<PAGE>
as follows: 1998--$30,000 to $40,000; 1999--$31,000 to $41,000; 2000--$32,000
to $42,000; 2001--$33,000 to $43,000; 2002--$34,000 to $44,000; 2003--$40,000
to $50,000; 2004--$45,000 to $55,000; and 2005 and thereafter--$50,000 to
$60,000.
Similarly, the otherwise deductible portion of an IRA purchase payment
will be phased out, in the case of married individuals filing joint tax
returns, with adjusted gross income between $40,000 and $50,000, and in the
case of married individuals filing separately, with adjusted gross income
between $0 and $10,000. Beginning in 1998, the income range over which the
otherwise deductible portion of an IRA purchase payment will be phased out for
married individuals filing joint tax returns will increase as follows:
1998--$50,000 to $60,000; 1999--$51,000 to $61,000; 2000--$52,000 to $62,000;
2001--$53,000 to $63,000; 2002--$54,000 to $64,000; 2003--$60,000 to $70,000;
2004--$65,000 to $75,000; 2005--$70,000 to $80,000; 2006--$75,000 to $85,000;
and 2007 and thereafter--$80,000 to $100,000.
Also beginning in 1998, a married individual filing a joint tax return,
who is not an active participant in a tax qualified retirement plan, but whose
spouse is an active participant in such a plan, may, in any year, deduct from
his or her taxable income purchase payments for an IRA equal to the lesser of
$2,000 or 100% of the individual's earned income. For such an individual, the
income range over which the otherwise deductible portion of an IRA purchase
payment will be phased out is $150,000 to $160,000.
ON PAGE 35, ADD THE FOLLOWING LANGUAGE AFTER THE FOURTH SENTENCE IN THE
PARAGRAPH TITLED "DISTRIBUTIONS FROM AN IRA.":
Beginning in 1998, these exceptions also include distributions for qualified
first-time home purchases for the individual, a spouse, children,
grandchildren, or ancestor, subject to a $10,000 lifetime maximum, and
distributions for higher education expenses for the individual, a spouse,
children, or grandchildren.
ON PAGE 36, ADD THE FOLLOWING LANGUAGE IMMEDIATELY BEFORE THE PARAGRAPH TITLED
"SIMPLIFIED EMPLOYEE PENSION PLANS."
ROTH IRAs
Beginning in 1998, individuals may purchase a new type of non-deductible
IRA, known as a Roth IRA. Purchase payments for a Roth IRA are limited to
$2,000 per year. This limitation is phased out for adjusted gross income
between $95,000 and $110,000 in the case of single taxpayers, between $150,000
and $160,000 in the case of married taxpayers filing joint returns, and
between $0 and $15,000 in the case of married
-4-
<PAGE>
taxpayers filing separately. An overall $2,000 annual limitation continues to
apply to all of a taxpayer's IRA contributions, including Roth IRAs and
non-Roth IRAs.
Qualified distributions from Roth IRAs are entirely tax free. A qualified
distribution requires that the individual has held the Roth IRA for at least
five years and, in addition, that the distribution is made either after the
individual reaches age 59-1/2, on the individual's death or disability, or as
a qualified first-time home purchase, subject to a $10,000 lifetime maximum,
for the individual, a spouse, child, grandchild, or ancestor.
An individual may make a rollover contribution from a non-Roth IRA to a
Roth IRA, unless the individual has adjusted gross income over $100,000 or the
individual is a married taxpayer filing a separate return. The individual must
pay tax on any portion of the IRA being rolled over that represents income or
a previously deductible IRA contribution. For rollovers in 1998, the
individual may pay that tax ratably in 1998 and over the succeeding three
years. There are no similar limitations on rollovers from a Roth IRA to
another Roth IRA.
-5-
<PAGE>
AMERICAN GENERAL LIFE INSURANCE COMPANY
SEPARATE ACCOUNT D
GENERATIONS (TM)
COMBINATION FIXED AND VARIABLE ANNUITY CONTRACT
SUPPLEMENT DATED OCTOBER 14, 1997
TO
PROSPECTUS DATED MAY 1, 1997
AS SUPPLEMENTED MAY 27, 1997
This supplement amends the prospectus for the following reasons:
1. Effective October 14, 1997, Separate Account D has added a Strategic
Stock Division. The Division invests in shares of the Strategic Stock
Portfolio, which has been added to the Van Kampen American Capital Life
Investment Trust (the 'Trust"). Also effective October 14, 1997, Separate
Account D has changed the name of its existing Real Estate Securities Division
to the Morgan Stanley Real Estate Securities Division. The Division invests in
shares of the Trust's Morgan Stanley Real Estate Securities Portfolio, which
has also changed its name.
2. Also effective October 14, 1997, American General Life Insurance
Company ("AGL") may, from time to time, offer new contract owners a higher
Guaranteed Interest Rate for Fixed Account Guarantee Periods associated with a
dollar cost averaging feature than for other Guarantee Periods of the same
duration that are not associated with a dollar cost averaging feature. In
addition, the Fixed Account will no longer be available for contracts
purchased in Oregon.
3. The Taxpayer Relief Act of 1997, which became law on August 5, 1997,
changed the taxation of individual retirement annuities in several respects.
The above changes require several modifications in the prospectus, as
follows:
1. NEW SERIES OFFERED AND CHANGE IN SERIES NAME
ON PAGES 1, 7, 8, AND 14, REPLACE THE TERM "REAL ESTATE SECURITIES" WITH THE
TERM "MORGAN STANLEY REAL ESTATE SECURITIES," AND, IN EACH CASE, ADD THE
PHRASE "STRATEGIC STOCK" IMMEDIATELY THEREAFTER.
<PAGE>
IN THE TABLE ON SERIES' ANNUAL EXPENSES THAT APPEARS ON PAGE 7, ADD THE
FOLLOWING INFORMATION FOR THE NEW STRATEGIC STOCK SERIES:
<TABLE>
[Management [Other Expenses [Total Series
Fees After After Expense Operating
Expense Reimbursement] Expenses]
Reimbursement]
<S> <C> <C> <C>
Strategic Stock 0.50% 0.15% 0.65%
</TABLE>
IN THE EXAMPLES THAT APPEAR ON PAGES 7 AND 8, ADD THE FOLLOWING INFORMATION
FOR THE NEW STRATEGIC STOCK SERIES:
<TABLE>
<CAPTION>
[1 year] [3 years] [5 years] [10 years]
<S> <C> <C> <C> <C>
Strategic Stock $76 $111 N/A N/A
[page 7]
</TABLE>
<TABLE>
<CAPTION>
[1 year] [3 years] [5 years] [10 years]
<S> <C> <C> <C> <C>
Strategic Stock $22 $ 66 N/A N/A
[page 8]
</TABLE>
IN THE FIRST SENTENCE OF THE FIRST PARAGRAPH ON PAGE 14, REPLACE THE WORD
"SIXTEEN" WITH THE WORD "SEVENTEEN," AND REPLACE THE WORD "SEVEN" WITH THE
WORD "EIGHT."
2. FIXED ACCOUNT CHANGES
AT THE END OF THE FIRST PARAGRAPH IN THE SECTION TITLED "THE FIXED ACCOUNT" ON
PAGE 16, ADD THE FOLLOWING SEPARATE PARAGRAPH:
The Fixed Account is not available under Contracts purchased in Oregon.
AFTER THE SIXTH SENTENCE IN THE SECOND FULL PARAGRAPH ON PAGE 17, ADD THE
FOLLOWING SENTENCE:
One or more Guarantee Periods may be offered with a required dollar cost
averaging feature. (SEE "Transfers.")
-2-
<PAGE>
IN THE THIRD LINE OF THE FOURTH PARAGRAPH ON PAGE 20, AFTER THE WORDS
"ONE-YEAR GUARANTEE PERIOD," INSERT THE FOLLOWING PHRASE:
(or any other Guarantee Period that is available at that time)
AT THE END OF THE FIRST SENTENCE OF THE FOURTH PARAGRAPH ON PAGE 20, ADD THE
FOLLOWING:
This kind of automatic transfer plan is also referred to as a dollar cost
averaging plan, under which the Owner will select the amount to be transferred
and the period of time over which transfers are to occur. We may offer certain
automatic transfer plans to new Contract Owners who are not presently owners
of any annuity contract offered by AGL or an affiliate of AGL. Under such
plans, we will establish the period of time over which equal monthly transfers
will be made, and we may offer a higher Guaranteed Interest Rate, set forth in
a prospectus supplement, than would otherwise be available for another
Guarantee Period of the same duration that is not offered under such plans.
ENHANCED RATE--THE GUARANTEED INTEREST RATE FOR THE GUARANTEE PERIOD THAT IS
PRESENTLY AVAILABLE UNDER THE AUTOMATIC TRANSFER PLAN, REFERRED TO ON PAGE 20
OF THE PROSPECTUS, IS 2.70% GREATER THAN THE GUARANTEED INTEREST RATE FOR A
GUARANTEE PERIOD OF THE SAME DURATION THAT IS NOT AVAILABLE UNDER SUCH AN
AUTOMATIC TRANSFER PLAN.
3. INDIVIDUAL RETIREMENT ANNUITY CHANGES
ON PAGE 35, SUBSTITUTE THE FOLLOWING IN PLACE OF ALL OF THE TEXT PRESENTLY IN
THE PARAGRAPH TITLED "PURCHASE PAYMENTS":
Individuals who are not active participants in a tax qualified retirement
plan may, in any year, deduct from their taxable income purchase payments for
an IRA equal to the lesser of $2,000 or 100% of the individual's earned
income. In the case of married individuals filing a joint return, the
deduction will, in general, be the lesser of $4,000 or 100% of the combined
earned income of both spouses, reduced by any deduction for an IRA purchase
payment allowed to the spouse. Single persons who participate in a tax-
qualified retirement plan and who have adjusted gross income not in excess of
$25,000 may fully deduct their IRA purchase payments. Those who have adjusted
gross income in excess of $35,000 will not be able to deduct purchase
payments, and for those with adjusted gross income between $25,000 and $35,000
the deduction is phased out based on the amount of income. Beginning in 1998,
the income range over which the otherwise deductible portion of an IRA
purchase payment will be phased out for single persons will
-3-
<PAGE>
increase, as follows: 1998--$30,000 to $40,000; 1999--$31,000 to $41,000;
2000-- $32,000 to $42,000; 2001--$33,000 to $43,000; 2002--$34,000 to $44,000;
2003-- $40,000 to $50,000; 2004--$45,000 to $55,000; and 2005 and
thereafter--$50,000 to $60,000.
Similarly, the otherwise deductible portion of an IRA purchase payment
will be phased out, in the case of married individuals filing joint tax
returns, with adjusted gross income between $40,000 and $50,000, and in the
case of married individuals filing separately, with adjusted gross income
between $0 and $10,000. Beginning in 1998, the income range over which the
otherwise deductible portion of an IRA purchase payment will be phased out for
married individuals filing joint tax returns will increase as follows:
1998--$50,000 to $60,000; 1999--$51,000 to $61,000; 2000--$52,000 to $62,000;
2001--$53,000 to $63,000; 2002--$54,000 to $64,000; 2003--$60,000 to $70,000;
2004--$65,000 to $75,000; 2005--$70,000 to $80,000; 2006--$75,000 to $85,000;
and 2007 and thereafter--$80,000 to $100,000.
Also beginning in 1998, a married individual filing a joint tax return,
who is not an active participant in a tax qualified retirement plan, but whose
spouse is an active participant in such a plan, may, in any year, deduct from
his or her taxable income purchase payments for an IRA equal to the lesser of
$2,000 or 100% of the individual's earned income. For such an individual, the
income range over which the otherwise deductible portion of an IRA purchase
payment will be phased out is $150,000 to $160,000.
ON PAGE 35, ADD THE FOLLOWING LANGUAGE AFTER THE FOURTH SENTENCE IN THE
PARAGRAPH TITLED "DISTRIBUTIONS FROM AN IRA.":
Beginning in 1998, these exceptions also include distributions for qualified
first-time home purchases for the individual, a spouse, children,
grandchildren, or ancestor, subject to a $10,000 lifetime maximum, and
distributions for higher education expenses for the individual, a spouse,
children, or grandchildren.
ON PAGE 36, ADD THE FOLLOWING LANGUAGE IMMEDIATELY BEFORE THE PARAGRAPH TITLED
"SIMPLIFIED EMPLOYEE PENSION PLANS.":
ROTH IRAs
Beginning in 1998, individuals may purchase a new type of non-deductible
IRA, known as a Roth IRA. Purchase payments for a Roth IRA are limited to
$2,000 per year. This limitation is phased out for adjusted gross income
between $95,000 and $110,000 in the case of single taxpayers, between $150,000
and $160,000 in the case of married taxpayers filing joint returns, and
between $0 and $15,000 in the case of married
-4-
<PAGE>
taxpayers filing separately. An overall $2,000 annual limitation continues to
apply to all of a taxpayer's IRA contributions, including Roth IRAs and
non-Roth IRAs.
Qualified distributions from Roth IRAs are entirely tax free. A qualified
distribution requires that the individual has held the Roth IRA for at least
five years and, in addition, that the distribution is made either after the
individual reaches age 59-1/2, on the individual's death or disability, or as
a qualified first-time home purchase, subject to a $10,000 lifetime maximum,
for the individual, a spouse, child, grandchild, or ancestor.
An individual may make a rollover contribution from a non-Roth IRA to a
Roth IRA, unless the individual has adjusted gross income over $100,000 or the
individual is a married taxpayer filing a separate return. The individual must
pay tax on any portion of the IRA being rolled over that represents income or
a previously deductible IRA contribution. For rollovers in 1998, the
individual may pay that tax ratably in 1998 and over the succeeding three
years. There are no similar limitations on rollovers from a Roth IRA to
another Roth IRA.
4. CHANGES WITH RESPECT TO THE SUPPLEMENT DATED MAY 27, 1997.
IN THE NINTH PARAGRAPH ON PAGE S-3, REPLACE THE WORD "SIXTEEN" WITH THE WORD
"SEVENTEEN," AND REPLACE THE WORD "SEVEN" WITH THE WORD "EIGHT."
-5-
<PAGE>
AMERICAN GENERAL LIFE INSURANCE COMPANY
SEPARATE ACCOUNT D
GENERATIONS (TM)
COMBINATION FIXED AND VARIABLE ANNUITY CONTRACT
SUPPLEMENT DATED OCTOBER 14, 1997
TO
STATEMENT OF ADDITIONAL INFORMATION DATED MAY 1, 1997
Separate Account D has added a Strategic Stock Division. The Division
invests in shares of the Strategic Stock Portfolio, which has been added to
the Van Kampen American Capital Life Investment Trust (the 'Trust").
Separate Account D also has changed the name of its existing Real Estate
Securities Division to the Morgan Stanley Real Estate Securities Division. The
Division invests in shares of the Trust's Morgan Stanley Real Estate
Securities Portfolio, which has also changed its name.
These changes became effective on October 14, 1997.
These changes require several modifications in the statement of
additional information, as follows:
IN EACH OF THE FOUR TABLES ON PAGE 6 OF THE STATEMENT OF ADDITIONAL
INFORMATION, REPLACE THE TERM "REAL ESTATE SECURITIES" WITH THE TERM "MORGAN
STANLEY REAL ESTATE SECURITIES."
IN THE FIRST PARAGRAPH UNDER "FINANCIAL STATEMENTS" ON PAGE 9 OF THE STATEMENT
OF ADDITIONAL INFORMATION, REPLACE THE WORDS "FORTY-THREE" ON THE FIRST LINE
WITH THE WORDS "FORTY-FOUR," AND REPLACE THE WORD "TWELVE" ON THE FOURTH LINE
WITH THE WORD "THIRTEEN."
<PAGE>
FORM OF SUPPLEMENT FOR
POSSIBLE USE FROM TIME TO TIME
TO SPECIFY DIFFERENTIAL IN GUARANTEED INTEREST RATES
THAT IS SUBJECT TO CHANGE AS RATES CHANGE
AMERICAN GENERAL LIFE INSURANCE COMPANY
SEPARATE ACCOUNT D
GENERATIONS (TM)
COMBINATION FIXED AND VARIABLE ANNUITY CONTRACT
SUPPLEMENT DATED ________________
TO
PROSPECTUS DATED MAY 1, 1997
AS SUPPLEMENTED OCTOBER 14, 1997
ENHANCED RATE--THE GUARANTEED INTEREST RATE FOR THE GUARANTEE PERIOD THAT IS
PRESENTLY AVAILABLE UNDER THE AUTOMATIC TRANSFER PLAN, REFERRED TO ON PAGE 20
OF THE PROSPECTUS, IS _______% GREATER THAN THE GUARANTEED INTEREST RATE FOR A
GUARANTEE PERIOD OF THE SAME DURATION THAT IS NOT AVAILABLE UNDER SUCH AN
AUTOMATIC TRANSFER PLAN.
EXHIBIT 5(c)(x)
AMERICAN GENERAL LIFE INSURANCE COMPANY
--------------------------------------------
A Subsidiary of American General Corporation
--------------------------------------------
Houston, Texas
AMERICAN GENERAL GENERATIONS
(graphic) Variable Annuity
- SPECIAL OFFER -
DOLLAR COST AVERAGING FROM THE 1-YEAR GUARANTEE PERIOD
(FOR NEW CONTRACTS ONLY)
_______________________________________________________________________________
TO INITIATE DOLLAR COST AVERAGE (AUTOMACTIC TRANSFER PLAN):
o Select your initial investment allocations in Section 6 of the
"GENERATIONS" Variable Annuity Application (L8771), allocating the
desired percentage to the 1-Year Guarantee Period (The minimum allocation
to the 1-Year Guarantee Period is $5,000.)
o In lieu of Section 8 of the Application, complete this form to begin
dollar cost averaging from the 1-Year Guarantee Period.
o Submit this form with your Application
_______________________________________________________________________________
SECTION I: Investment Allocations
The entire amount allocated to the 1-Year Guarantee Peirod will be transferred
in equal monthly payments over a period of 12 months to the following
Division(s) as indicated. (Use only whole percentages. Total allocation must
equal 100%.) Balances in the 1-Year Guarantee period that are subject to
dollar cost averaging pursuant to this form will earn interest at the
increased rate of _____%, which represents an increase of _____% over the
1-Year Guaranteed Interest Rate currently offered.
<TABLE>
<S> <C> <C> <C> <C> <C>
Asian Equity (95) ____% Fixed Income (84) ____% Mid Cap Value (91) ____%
Domestic Income (80) ____% Global Equity (85) ____% Money Market (92) ____%
Emerging Growth (81) ____% Government (86) ____% MS Real Estate Securities (93) ____%
Emerging Markets Equity (82) ____% Growth and Income (88) ____% Strategic Stock (96) ____%
Enterprise (83) ____% High Yield (89) ____% Value (94) ____%
Equity Growth (87) ____% International Magnum (90) ____% Other________________ ____%
</TABLE>
NOTE: ALL MONEY ALLOCATED TO THE 1-YEAR GUARANTEE PERIOD WILL BE TRANSFERRED
IN EQUAL MONTHLY PAYMENTS OVER A 12-MONTH PERIOD, BEGINNING 30 DAYS AFTER THE
CONTRACT ISSUE DATE. THE FINAL AMOUNT TRANSFERRED FROM THE 1-YEAR GUARANTEE
PERIOD WILL INCLUDE ALL OF THE REMAINING BALANCE.
_______________________________________________________________________________
SECTION II: Signatures
Your signature below indicates you have received a GENERATIONS (TM) prospectus
and authorizes your request to begin dollar cost averaging ("DCA"). All
transactions will be confirmed. Please review the information in these
statements carefully. All errors or corrections must be reported to American
General Life immediately to assure proper crediting. American General Life
will assume all transactions are accurate unless notified within 30 days.
You may elect to terminate your DCA by calling or writing American General
Life, and termination will become effective prior to the next transfer
following this notification. Upon termination, you will no longer receive the
increased interest rate. If American General Life receives another transfer or
liquidation request on the date of a DCA transfer, American General Life may
delay processing the transfer. In addition, American General Life reseerves
the right to discontinue, modify, or amend its DCA offer at any time. Any
changes made to the DCA offer will not affect Contract Owners currently
participating in DCA.
__________________________________ ________________________________________
SIGNATURE OF CONTRACT OWNER SOCIAL SECURITY NUMBER OF CONTRACT OWNER
__________________________________ ________________________________________
PRINT CONTRACT OWNER NAME SIGNATURE OF JOINT OWNER (IF APPLICABLE)
__________________________________ ________________________________________
DATE PRINT LICENSED AGENT NAME
_______________________________________________________________________________
L8966 VAGFRMDCAG
