AIG Life & Retirement — an arm of American International Group Inc. — has started using the Legg Mason Quality Dividend Index .
The index, which is designed for use with AIG index annuities, reflects the performance of high-quality companies that have a strong record of paying dividends on common stock.
AIG will start by using the index with the Power Series of Index Annuities products, what are issued by AIG’s American General Life Insurance Company subsidiary.
QS Investors LLC, a Legg Mason Inc. subsidiary, is in charge of developing and administering the index.
AIG will distribute the annuities that include the index through independent broker-dealers, and through banks and other financial institutions, the company says.