The Ultimate AARP Life Insurance Review [Rates & Secrets Revealed]
last updated on March 24, 2022Are you looking into New York Life AARP? Do you want to learn more about the products they offer and the fine print? Well, you are in the right place.
In this article, I’m going to spend a lot of time describing the pros and cons of each AARP-New York Life insurance product. You will learn what each product offers as well as details about the trade offs each product comes with.
But more importantly… I’m going to show you the fine print of each life insurance product. That way you can compare and contrast each product AARP offers, so you can decide if these policies are right for you.
Ever heard a friend or family member complain about losing out on their insurance payout because they didn’t understand the fine print? Well, I am here to make sure that is not you!
What is the wait period? Will my rates increase? And what could cause me to lose my coverage?
I will answer those questions and much more! Just keep reading!!!
Looking for a quote for life insurance or burial insurance? Click here and send me a message with details of what you’re wanting to accomplish. If you’d prefer to talk live, call 888-626-0439 to speak with me directly.
Here’s An Overview Of Today’s Topics:
- Video Reviews
- Who Is New York Life AARP Good For?
- How Do New York Life AARP Insurance Plans Work?
- What Are The Health Questions?
- Available Plans
- New York Life AARP Pro’s
- New York Life AARP Con’s
- New York Life AARP Customer Reviews
- New York Life AARP Customer Service
- Canceling Policies
- How Much Does It Cost?
- How Does Making A Claim Work?
- How Long Does It Take To Receive My Benefits?
- Are There Better Options?
- Final Thoughts
- Company Background
- FAQs
Video Reviews
If you would prefer to watch a video to learn about New York AARP, take a look at my video reviews below.
- Take a look at this video that gives an overview of their products and the fine print you need to understand. Click the link below.
New York Life AARP Life Insurance 2021 [Fine Print?]
- Take a look at this video to learn more about AARPs Term and Guaranteed Acceptance products. Click the link below.
AARP New York Life Insurance – Is It Right For You? (Term, Permanent, Guaranteed Life)
- Lastly, watch this video to learn about the secreted and fine print gotcha clauses you need to understand. Click the link below.
The ULTIMATE AARP Life Insurance Review [Secrets Revealed]
Keep reading to find the same information and answers to your questions.
Who Is New York Life AARP Good For?
AARP life is a life insurance company that mainly works with those over 50. AARP provides coverage with no medical exam for seniors and a guaranteed acceptance plan for people who have serious health issues.
They offer three main plans for adults and seniors. Each plan has its own benefits.
New York AARP may be a good choice if you want:
- Guaranteed Acceptance coverage
- Coverage of up to $100,000
- An accelerated death benefit
- Coverage that accepts a smoker
Before making your final decision, read this article. While the guaranteed acceptance plan may seem attractive, there are MAJOR trade offs you need to know about. There are also issues with coverage within the first two years.
Keep reading to find out more.
How Do New York Life AARP Insurance Plans Work?
AARP offers three main plans for adults and seniors. These plans offer a range of coverage and features. You can select insurance that provides coverage for a set period of time or “term.” That kind of insurance will end at a specific age. You could opt for permanent insurance that never ends for more long term coverage.
The third kind of insurance New York AARP offers guarantees insurance coverage for anyone if you fall within the accepted age range. This insurance is best for those with trouble qualifying for term or permanent insurance.
New York ARP offers 30-day satisfaction guaranteed. This is basically a free-look period. This is a time frame where you can purchase your plan and have the coverage, if you decide you don’t want the coverage within the 30 days you can cancel your policy and get a refund.
All products they offer are guaranteed acceptance or simplified offer. That means AARP assumes you are a higher risk individual so your payments are higher than other providers.
Whatever plan you choose, there is fine print you need to understand. You also need to consider the cost in relation to New York AARP’s competitors. There are many insurance companies out there, and they do not all cost the same.
What Are The Health Questions
Let’s Look At 3 Health Questions On The AARP Life Insurance Application
Here are the 3 health questions that AARPs Life Insurance program asks:
- In the past two years, have you had treatment for or been diagnosed by doctors having heart trouble, stroke, cancer, lung disease or disorder, diabetes, liver, kidney disease, AIDS, AIDS Related Complex, or immune system disorder?
- In the past two years have you been admitted to or confined in a hospital sanitarium, nursing home, extended care, or special treatment facility in numbers?
- In the past three months, have you consulted a doctor or had treatment or diagnostic tests of any type?
Ultimately, the problem here is if you answer “yes” to any of these 3 questions, you’re completely knocked out.
Also, New York Life will ask prescription history questions, too. This means certain prescription drugs may cause you to get declined for the term life insurance product, as well..
What’s the biggest problem with AARP’s term life insurance application?
If you have diabetes – even if it’s just plain diabetes and you take pills or even a diet to manage it – you’re out of luck. You’re NOT going to be able to get coverage with them.
Add to the knock out list:
- Heart trouble which is pretty wide-ranging,
- Strokes, or mini-strokes,
- Any types of cancer,
- COPD, chronic bronchitis, perhaps even asthma, or
- Liver or kidney disease.
These health conditions get you knocked out and incapable of getting life insurance coverage.
Available Plans
AARP offers 3 types of life insurance products through its partnership with New York Life.
Let’s do a quick breakdown of looking at these products and investigating how they work.
AARP Level Benefit Term Life Insurance
With AARP’s Term product you can get between $10,000 to $100,000 in life insurance coverage. You have the ability to customize the amount of coverage that you want as long as you can qualify.
The Good
- There’s no waiting period.
- There’s no medical exam, just a few health questions to answer.
- The applications are simple. There’s just a few questions and you can do more if you want to.
The Bad
- You cannot choose your term.
- The policy will expire at 80 no matter what.
- Acceptance is based on your answers to the medical questions in the application.
- Your premiums will go up every time you renew coverage.
Eligibility for the AARP term life insurance product is for folks ages only 50 to 74 AND current AARP members.
This means if you’re 75 or older, you cannot get a term life insurance product with them. If you’re interested in term insurance, you’re going to have to find another life insurance provider.
The Fine Print Problems
Take a look at the screenshot below. This is a picture of their fine print. Notice the bolded text.
It says “Your initial premium is based on your age at issue; premiums increase as you enter each new five year band and will be based on current rates at the time. Age bands begin at 45- 49, and then at 75- 79. Coverage ends at age 80.”
So there are two BIG problems here:
- Your rates increase every five years
- And, your coverage will automatically end at 80 years of age.
This means your coverage will continue to get more expensive and then your coverage will eventually automatically end. So you could potentially outlive your coverage.
So you pay into an expensive insurance plan and at 80 you can say goodbye to the coverage! Doesn’t sound like a good plan to me at all!
So what’s another option? Permanent coverage.
Permanent Life Insurance
Basically, unlike the term life insurance product, once you take out the permanent life insurance product, the premiums are locked in. New York Life cannot cancel your coverage because of age or health.
The Good
- New York Life cannot cancel your coverage because of age or health. The only way this coverage would cancel is if you ask to cancel it or stop paying the premiums.
- AARP’s permanent life insurance product does NOT require medical exams.
The Bad
There is only one mayor con to this plan.
- You may not qualify if you answer “Yes” to the health questions.
Since we operate as brokers for life insurance companies at Buy Life Insurance For Burial, we think the biggest shortcoming of AARP-New York Life’s Permanent Life Insurance is that the underwriting leaves many applicants in a position NOT to qualify for coverage.
As we discussed earlier about the term life insurance product, the following issues may result in a decline with the Permanent Life Insurance product:
- Lung disease (COPD, emphysema, sarcoidosis, asthma)
- Liver problems like Hepatitis history,
- Recent heart history issues (heart attacks, strokes, stints, bypasses, seizures, etc), and,
- Diabetes (of all kinds, even if you’re just on the pill)
Why is this bad?
Because there are TONS of life insurance and burial insurance companies that will insure people with these problems at the same (or even BETTER) premium ranges, while potentially giving you first-day full natural and accidental coverage!
Don’t believe me? Call me and I will show you! Call 888-626-0439 to speak with me directly.
Who Is The Permanent Life Product Designed For?
AARP’s permanent life insurance product is best-suited for someone who:
- Does NOT want premium increases… EVER, and
- Values life-long life insurance protection that does NOT cancel due to reaching a specific age.
- Wants life insurance coverage between $5,000 to $50,000.
Basically, if you need your life insurance to flat-out GUARANTEE it will pay to your beneficiary without risk of canceling due to age, then the Permanent Life product might suit your fancy.
The Permanent Life product is similar to a whole life insurance product.
How Does Whole Life Insurance Work?
Whole life insurance never goes up in premium. And your coverage never cancels due to age or health. As long as you qualify, you get first-day full coverage for BOTH natural and accidental death.
The reason people buy whole life insurance is because a guarantee of having protection in place at ANY age is vitally important.
Guaranteed Life Insurance
The Guaranteed Acceptance Life Insurance Product is what you’re offered if you cannot medically qualify for the other two products. This is a product meant for those who have had trouble getting health insurance in the past or who have severe illness or conditions now.
People with health issues can apply and be accepted for this coverage because there are no health questions involved when applying.
This plan is the ace card for anyone struggling to get coverage. The downside though, is that this kind of guaranteed coverage costs more because the insurance company is taking on more risk by insuring you.
Here are the features and benefits of AARP’s Guaranteed Acceptance Life Insurance Product:
- You can apply for up to $25,000 in coverage.
- There’s no medical exam or health questions
- Guaranteed rates that will never increase .
- Permanent insurance which you can keep your entire lifetime.
- The acceptance is guaranteed. They have mentioned there’s limited benefits.
While this product may sound great, there are some serious trade offs you need to be aware of!
The Fine Print Problems
The terms for Guaranteed Acceptance are:
“Because acceptance is guaranteed, death from natural causes during the first two years of coverage just pays a portion of the benefit amount. During this period your beneficiary receives an amount equal to 125% of the premiums paid. Full benefits will be paid for accidental deaths from the first day coverage. “
What this means is that if you get the Guaranteed Acceptance Life Insurance Plan and then die from natural causes within the first two years you will not receive benefits. You ONLY get your money back plus an additional 25% of whatever premiums you’ve paid in.
Potentially MILLIONS of people 50 and older will get offered this 2-year natural death waiting period policy by AARP due to their tight underwriting standards.
There are numerous options available for diabetics and those people commonly denied full coverage by AARP. In many cases, you may qualify for first-day full natural coverage, even with the health issues that AARP turned you down on.
If you die due to accidental causes within the first two years, your beneficiary will receive the benefits.
Likelihood Of Accidental Death
The CDC provides statistics that show accidental deaths account for 5.4% of overall deaths in the United States. Most deaths are due to disease or medical conditions. Read more about the percentages of deaths and what causes them here.
The leading cause of deaths for Americans 65 and older are: Heart Disease, Cancer, and Stroke.
For those 65 and older, the percentage of deaths caused by accidents goes down to 1.9%. So the likelihood of you passing due to an accident decreases the older you get. Read CDC this PDF report to learn more about the causes of death for seniors.
So the bottom line, having insurance coverage that only covers accidental death for two-years is NOT a good option for anyone. There is a 94% chance you will pass due to a health condition or natural causes if you are under 65. If you are over 65, that jumps to 98% chance.
What’s The Biggest Benefit To AARP’s Guaranteed Acceptance Program?
The one saving grace that AARP’s guaranteed acceptance program does offer is that their prices for people who truly need guaranteed issues are some of the best.
Hopefully, we’ll find a company that does fully cover you from the first day at an even better price than AARP.
New York Life AARP Pro’s
The main pros of New York Life AARP are:
- No Medical Exam
- Competitive Guaranteed Acceptance Insurance Pricing
- Convenient Online Quotes and Application
- Manage Account Details Online
No Medical Exam
New York Life AARP usually does not require an applicant to undergo any medical exam to apply for coverage. This means it is more likely you will qualify for coverage.
Competitive Guaranteed Acceptance Insurance Pricing
New York Life AARP’s pricing for guaranteed acceptance is pretty competitive compared to other insurance providers.
Convenient Online Quotes and Application
You can visit New York Life AARP’s website and request an online quote for a specific kind of coverage online. With certain products you can apply online too. However, keep in mind this pro is something the majority of insurance providers have. It is common to provide online access to applications and account details.
Manage Account Details Online
Once you have coverage, you can access your account online and make adjustments. If you need to confirm details of your coverage or change a beneficiary you can do so in your online account.
New York Life AARP Con’s
The main cons of New York Life AARP are:
- Limited Coverage
- Rate Increases
- Auto Canceling Coverage
- Strick Health Questions
Limited Coverage
New York Life AARP has coverage that goes up to $100,000. If you want more coverage, New York Life AARP’s website says to call them. But there is no guarantee you will be able to qualify for that coverage. There are many alternative insurance providers who can offer coverage well above $100,000.
Rate Increases
With New York Life AARP’s term insurance product, the rate will increase as you get older. Expect regular premium increases every 5 years.
Auto Canceling Coverage
With their term insurance, your insurance automatically terminates at 80. So if you outlive the policy your coverage is gone the day you turn 80 and you will need to find and purchase new coverage.
Strick Health Questions
New York Life AARP does require applicants to answer some health questions when applying for coverage. These are called “knockout” questions. If you answer yes, you don’t get coverage. The questions include:
- Heart trouble which is pretty wide-ranging,
- Strokes, or mini-strokes,
- Any types of cancer,
- COPD, chronic bronchitis, perhaps even asthma, or
- Liver or kidney disease.
So, while their guaranteed acceptance product and other options may initially sound good, I assure you I have access to better options that are cheaper, provide higher benefits, and that are easier to qualify for.
If you would like to compare those options give me a call at 888-626-0439.
New York Life AARP Customer Reviews
The National Association of Insurance Commissioners (a company which provides information on insurance providers) rates insurance companies complaints by a ratio. They have found the national average of complaints to be a ratio of 1.0.
New York Life AARP received a complaint ratio of 0.24 in 2021. This is significantly lower than the national estimated average of 1.0. It is also much lower than many of the insurance providers I have written on.
Take a look at that rating information here.
Consumer Affairs rates New York AARP a 4.⅕. Take a look at the review here. Some complaints cutlers had mentioned the rising premium costs.
New York Life AARP Customer Service
Because New York Life is not technically an insurance provider, you will need to contact the company that ARP markets insurance for. New York Life pays fees to AARP which allow them to use their name. So when you have any customer service issues or complaints you will need to contact AARP directly.
You can do so by calling 800-607-6957. Their customer service lines are open Monday to Friday 8 a.m. to 8 p.m. ET. They are also open Saturdays 9 a.m. to 5 p.m. ET.
Canceling Policies
As I mentioned earlier, New York AARP offers a 30-day satisfaction guarantee. If you decide you don’t want your plan within 30 days of purchasing it you can cancel your coverage and receive a refund.
If you decide you don’t want your coverage after 30 days, you can contact AARP and cancel your policy. However it is unlikely you will receive your premium.
To cancel your coverage call 800-607-6957. Their customer service lines are open Monday to Friday 8 a.m. to 8 p.m. ET. They are also open Saturdays 9 a.m. to 5 p.m. ET.
How Much Does It Cost?
To get an idea of what a policy would cost with New York ARP take a look at the charts below.
Take a look at the prices with New York AARP with term insurance at $100,000.
| Age | Man | Woman |
| 50–54 | $79.00 | $52.00 |
| 55–59 | $116.00 | $69.00 |
| 60–64 | $171.00 | $108.00 |
| 65–69 | $236.00 | $154.00 |
| 70–74 | $342.00 | $272.00 |
Go over the prices to get permanent insurance at different coverage rates. Remember, rates for permanent life insurance coverage do not increase.
| Amount | Man | Woman |
| $2,500 | $9.00 | $7.00 |
| $5,000 | $17.00 | $13.00 |
| $10,000 | $33.00 | $25.00 |
| $25,000 | $79.00 | $60.00 |
| $50,000 | $157.00 | $119.00 |
Take a look at some numbers for their guaranteed acceptance coverage. See the chart below.
| Coverage Amount | Man 50 | Woman 50 |
| $2,500 | $142 | $121 |
| $5,000 | $273 | $229 |
| $10,000 | $533 | $446 |
| $15,000 | $794 | $664 |
How Does Making A Claim Work?
To make a claim with New York ARP you will need to call (800) 695-5165. While on the phone with a representative you report the death and the representative will walk you through the process of making a claim.
How Long Does It Take To Receive My Benefits?
After you make a claim and send in all the documents you will need to wait anywhere from 10 to 30 days for the benefits to be paid out. Most insurance companies pay out benefits within ten days.
If the claim is delayed for any reason you will be notified. Claims could be delayed because the documents are not correct, the beneficiary is not the person who completed the claim, or other filing issues.
Are There Better Options?
Yes, there are better options. Each person will have different needs and a different budget. To make sure you find the best plan available you need to compare your options. To do this you need to look at different companies.
Broadening your search will allow you to find the most competitive rates with the best coverage.
There will be other companies who offer cheaper rates and better overall coverage. Contact us and we will do the shopping around for you. Let us know your needs and we will go to work. Call 888 626 0439.
Alternatives To New York Life AARP
AARP is NOT the only organization to offer life insurance to seniors.
There are literally HUNDREDS of other organizations (like mine for example) that fight hard to get competitively-priced life insurance in place for seniors across America.
Before you pull the trigger with AARP’s Term, Permanent, or Guaranteed Acceptance Life Insurance Programs, consider the alternatives first with an independent broker. A second opinion costs you nothing.
As you reviewed earlier in my article, the price differential between AARP’s life insurance products and the other options is tremendous.
There is a HUGE difference in price when it comes to the term products and permanent policies that AARP offers. It’s very simple to find better life insurance deals elsewhere.
Who wants to pay MORE money for life insurance when you don’t have to?
Final Thoughts
I most certainly recommend getting a second opinion and comparing other companies. You may find a cheaper option with better coverage.
When making your decision, you need to have clarified what you want and need out of your insurance coverage. Take a look at the ideas below and make sure you know what you want.
Do you need/want:
- Cheap payments
- A high benefit
- No medical exam
- Coverage really fast
- Coverage for your kids
- Coverage for your spouse
- Something else
If you already know what you want out of a plan give us a call. We can provide you with your options and get that second opinion in a matter of minutes!
It only takes 5 to 10 minutes! Give us a call at 888-626-0439. Based on your needs, I’ll pull up a few options and explain why and how they’ll work for you.
If you decide you’re happy with the plan I find, the application process is very straightforward. And I can guide you every step of the way.
Most of the time it’s completely online or over the phone. Plus, a health examination is often unnecessary.
Overall, the process usually takes a couple of days, sometimes sooner. If you’re approved, you’ll get a notification and receive your policy in the mail about several weeks later.
If you can’t get a hold of me on 888-626-0439, don’t panic! You can leave a message, and I’ll get back to you within 24 hours. Your options to contact me are:
- Request a quote here, or,
- Call me at 888-626-0439. Leave a message if you can’t reach me. I talk to a lot of people all day. I’ll get back to you quickly.
Company Background
AARP isn’t actually the company providing the insurance. AARP functions as an endorser of different insurance products like life and burial insurance. New York aarp’s main function is to serve as a marketing outlet for life insurance.
In other words, AARP is the “salesman” for the insurance companies it partners with, offering those products to its members.
And when it comes to the various life insurance products AARP sells to its members, New York Life is the insurer.
FAQs
Why Should I Get Life Insurance?
Insurance is one of the biggest ways you can protect your family and provide for them in the case of your death. Life is uncertain, and so is your death. None of us can predict when we will pass. So having the security blanket that life insurance provides can bring you peace of mind and allow you to focus on your family and friends while you are here.
There are many expenses a family is suddenly faced with when a loved one passes. Life insurance allows the family to continue covering daily expenses, mortgage, and other needs.
How To Find Alternative To New York Life AARP Insurance
As an independent insurance broker since 2011, I believe there are better life insurance options available. After reading this in depth review I am sure you can see that there are serious cons to choosing certain plans with New York AARP.
So, with that understanding, what can you do? Well, get a second opinion. We would be happy to help with that. No pressure or long phone calls. We can provide you with all of your options in just a few minutes. Give us a call at 888-626-0439.
We are an independent broker. This means we do not have a bias when providing you your options. With us, you can directly compare your options!
Should I Work With A Broker?
Here are the pros to working with an independent broker like Buy Life Insurance For Burial:
- I can go out into the market for life insurance and shop around for the best premium options (AARP can’t do that – they ONLY sell New York Life products).
- I can shop from different companies for better underwriting advantages for you (AARP can’t do that – they have ZERO flexibility with their underwriting parameters).
- In most cases, I can get you a better rate than what you’ve seen at AARP. You might save hundreds of dollars a year while enhancing the value of your life insurance.
So, as you can see, working with a broker allows you to get a second opinion and directly compare ALL of the options available to you.
What If I Have Pre-Existing Health Issues, Can I Still Be Covered?
The answer is YES! There are ALWAYS options for anyone in need of life insurance. Remember the Guaranteed Acceptance product we talked about?
That product is not unique to New York AARP only. That product is available with most insurance companies. The guaranteed acceptance product means that you are never asked any health questions. It doesn’t matter if you go with a different provider, that standard is always the same.
If you have bad health or have been rejected before, the Guaranteed Acceptance product allows those with bad health to qualify for coverage.
While I would not suggest a very healthy and insurable individual get a Guaranteed Acceptance plan, if you do have serious health issues, it may be a good option for you.
Your insurance options will depend on your age and health. Even if you have had health issues recently, you will qualify for some kind of life or final expense insurance.
There are Guaranteed Acceptance policies. These policies ask no questions and guarantee coverage acceptance. Contact one of our agents by clicking the Get A Quote Now button or calling 888 626 0439.
References:
- Take a look at New York AARP’s website. Browse their information and get a quote. Click the link below. AARP Life Insurance Program from New York Life
- Read a review of NY AARP Life and learn more about their products. Click the link below. AARP Life Insurance Review
- Find out the truth behind NY AARP’s products and what they will actually cost you in the long run. Click the link below. The Truth About AARP Life Insurance [Review 2022] – InsuranceForBurial.com
- A detailed review of AARP’s products and what you need to be careful of. Click the link below. The Ultimate AARP Life Insurance Review [Rates & Secrets Revealed]
- Read about AARP’s no exam policy and how that affects you. Click the link below. AARP Life Insurance Review: No-Exam Policies for Seniors – ValuePenguin
- Read a review of New York AARP and the complaints they receive. Click the link below. AARP (New York Life) Insurance Review & Complaints
- Read a review of AARP’s products, prices, and pros and cons. Click the link below. AARP Life Insurance Review
- Go over AARP’s plan details and the prices. Click the link below. Complete AARP Life Insurance Review/ Plan Details & Pricing
- Take a look at the NAIC’s complaints rating of New York a a r p. Click the link below. Results by Complaint Code
- Take a look at some of the reviews customers have left on New York AARP. You can browse their reviews here.Top 133 AARP