SUPPLEMENT OF INVESTMENT OPTION CHANGES

Dated September 5, 2017

To the variable annuity prospectuses dated May 1, 2017

Allianz Alterity^®

Allianz Rewards^®

Issued by

Allianz Life Insurance Company of North America and Allianz Life Variable Account B

This supplement updates certain information contained in the prospectus that you should

keep for future reference.

1. Effective October 16, 2017, the Investment Options available in your product are changing. The following table includes the Investment Options that will be available and the Investment Options that are closing. We no longer allow assets to move into the closed Investment Options either by Purchase Payments or transfers. Please note that we no longer accept additional Purchase Payments on these products unless your Contract was issued in Connecticut, Florida, or New Jersey.

Available Investment Options

Closed Investment Options

ALLIANZ FUND OF FUNDS AZL® Balanced Index Strategy Fund AZL® DFA Multi-Strategy Fund AZL® Moderate Index Strategy Fund AZL MVP FusionSM Dynamic Balanced Fund AZL MVP FusionSM Dynamic Conservative Fund AZL MVP FusionSM Dynamic Moderate Fund AZL® MVP Balanced Index Strategy Fund AZL® MVP Growth Index Strategy Fund BLACKROCK AZL® Government Money Market Fund DIMENSIONAL AZL® DFA Five-Year Global Fixed Income Fund(1) GATEWAY AZL® Gateway Fund PIMCO PIMCO VIT Global Core Bond (Hedged) Portfolio PIMCO VIT Total Return Portfolio PYRAMIS AZL® Pyramis® Total Bond Fund PYRAMIS/GEODE AZL® Pyramis® Multi-Strategy Fund

BLACKROCK BlackRock Global Allocation V.I. Fund FIDELITY Fidelity VIP FundsManager® 50% Portfolio Fidelity VIP FundsManager® 60% Portfolio FRANKLIN TEMPLETON Franklin Income VIP Fund Franklin U.S. Government Securities VIP Fund Templeton Global Bond VIP Fund PIMCO PIMCO VIT All Asset Portfolio PIMCO VIT Emerging Markets Bond Portfolio PIMCO VIT Global Bond Portfolio (Unhedged) PIMCO VIT Global Multi-Asset Managed Allocation Portfolio PIMCO VIT High Yield Portfolio PIMCO VIT Real Return Portfolio PIMCO VIT Unconstrained Bond Portfolio

(1) New Investment Option – see p.2 for further information.

As of 4 p.m. Eastern Time on October 13, 2017, we no longer allow assets to move into a closed Investment Option either by Purchase Payments or transfers, including automatic investment plan (AIP) payments, dollar cost averaging (DCA) program transfers, and flexible rebalancing transfers. We will automatically remove any closed Investment Options from your allocation instructions for any future Purchase Payments or transfers (including DCA and flexible rebalancing transfers). If we do this, we will proportionately reallocate 100% of the amount you previously allotted to the closed Investment Options among your remaining selected Investment Options. If you have no remaining Investment Options we change your allocation instructions so that 100% is allocated to the AZL Government Money Market Fund.

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If all, or if all but one, of the Investment Options you selected for a flexible rebalancing program are closed, the flexible rebalancing program will end.

If you are participating in the DCA Fixed Option program and all of the Investment Options you are transferring into are closed, the DCA Fixed Option program will end.

If you are participating in the Standard DCA Option program and the Investment Option from which you are transferring is closed, or if all of the Investment Options you are transferring into are closed, the Standard DCA Option program will end.

Assets in closed Investment Options will remain in those Investment Options until we receive alternate instructions from you.

2. Effective October 16, 2017, we are adding the following Investment Option to your product: AZL DFA Five-Year Global Fixed Income Fund. Here is some important information about this Investment Option.

The following is added to the Investment Options table in the prospectus:

Investment Management Company and Adviser/Subadviser	Investment Option Name	Asset Class	Investment Objective	Principal Investment Strategies (Normal market conditions)
DIMENSIONAL FUND ADVISORS
Managed by Allianz Investment Management LLC/Dimensional Fund Advisors LP	AZL DFA Five-Year Global Fixed Income Fund	Global Bond	The Fund seeks to provide a market rate of return for a fixed income portfolio with low relative volatility of returns, and seeks to focus the eligible universe on securities with relatively less expected upward or downward movement in market value	Invests generally in a universe of U.S. and foreign debt securities maturing in five years or less. Under normal circumstances, the fund will invest at least 80% of its net assets in fixed income securities that mature within five years from the date of settlement

Investment Option	Management fees	Rule 12b‑1 fees	Service fees	Other expenses	Acquired fund fees and expenses	Total annual fund operating expenses before fee waivers and/or expense reimbursements
DIMENSIONAL FUND ADVISORS
AZL DFA Five-Year Global Fixed Income Fund	.60	.25	-	.05	-	.90

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