AIG Life Insurance for Seniors Review: Fair & Balanced
last updated on March 7, 2022Most likely you’re here today because you are considering buying an AIG Life Insurance policy, either for yourself as a senior, or for someone else, like your parents.
If you are looking for a fair and balanced review of how AIG Life Insurance works… and want to know what “fine print” to be aware of, then this article is for you!
I’ll review how the AIG life insurance plan for seniors works in detail, so you can decide if it’s a good fit for your life insurance goals.
Let’s get started!
Looking for a quote for life insurance or burial insurance? Click here and see what you may qualify for. If you’d prefer to talk live, call 888-626-0439 to speak with us directly.
Quick Navigation Article Links
Who Is AIG?
Founded in 1995, American International Group (AIG) is one of the largest international life insurance companies. The company has its headquarters in New York, NY.
AIG life insurance policies are issued through American General Life Insurance Company (AGL) and The United States Life Insurance Company (US Life) in the City of New York.
AIG offers a number of life insurance policy types including term life insurance, quality of life, permanent life insurance, universal life insurance, and whole life insurance.
How does the AIG life insurance plan for seniors work?
AIG’s Guaranteed Issue Whole Life Insurance or Guaranteed Acceptance Whole Life Insurance coverage is designed to meet the needs of seniors aged between 50 and 80.
This insurance is a good fit for anyone who is looking for a smaller coverage amount. This amount is usually enough to cover final expenses such as burial and other end-of-life costs or to pay off medical bills and credit card debts.
How much coverage can you get?
The coverage typically ranges from $5,000 to $25,000.
How do premiums work?
The premiums for AIG’s Guaranteed Issue Whole Life Insurance policies are fixed and will not increase during the life of the policy, as long as the premiums are being paid.
Simply put, AIG’s life insurance plan for seniors is permanent protection that lasts a lifetime.
Are there health questions? Need to take an exam?
You can automatically qualify for Guaranteed Issue Whole Life Insurance regardless of your age and health.
As you can’t be turned down due to medical reasons, there is no need to undergo a medical exam or answer health-related questions when applying.
What About The “Fine Print?”
Before you make a Guaranteed Issue Whole Life Insurance purchase, it’s essential to understand all the details of the product and read the fine print. Here are a few things to keep in mind:
- To take out this insurance, you must provide your social security number.
- The insured must be the owner of the policy, but the payor may be different from the insured.
- There is a 30-day free look period during which you can cancel the policy without penalty.
- There is an annual policy fee of $24.
- Policy replacements and conversions are not allowed.
- You can only purchase one policy in a 12-month period for maximum coverage of $25,000.
- The Most Concerning Fine Print: The AIG guaranteed issue death benefit is graded. This means that your entire death benefit will not be available for the first two years of your contract.
In fact, there is a reduced death benefit amount in the first two years if the cause of death is not accidental.
The payment for death due to suicide or other non-accidental death causes in this period is limited to 110% of the premiums paid until then. After that, you will be eligible for the full insured coverage.
Bottom line: No matter what your health… good or bad… while AIG will offer life insurance to seniors on a guaranteed issue basis, you will NOT get first day, full death benefit coverage, no matter what!
Why is this a problem?
Because there are life insurance plans for seniors that may cover your full death benefit, even if you have a history of health issues.
More to come on that later.
Pros of AIG’s senior plan
Here’s a wrap-up of the advantages of taking out an AIG life insurance plan for a senior:
- Guaranteed Issue Whole Life Insurance policies are issued to seniors between the ages of 50 and 80.
- Acceptance is guaranteed and all applicants qualify regardless of their age or health condition.
- The guaranteed issue includes benefits typically available only in more expensive policies.
- The application and approval processes is quick and simple.
- The wait time is very short. Most applications take 15 minutes or less to process.
- Guaranteed Issue Whole Life Insurance is permanent life insurance. That means that the policy will last your whole life and never expire, as long as you are paying your premiums.
- Living benefits such as chronic and terminal illness benefits are included at no extra cost.
- It is possible to add a rider to your life insurance contract such as the accelerated death benefit, for example. It allows you to accelerate a portion of your death benefit should a qualifying illness occur. You can also access 50% of the death benefit if your physician determines you have less than 24 months to live.
Cons of AIG’s senior plan
Lastly, here are some notable drawbacks to consider prior to purchasing an AIG Guaranteed Acceptance burial insurance policy:
- AIG Guaranteed Issue Whole Life Insurance policy is more expensive than other types of life insurance. This means that your premiums will be higher for the same amount of coverage. In other words, you may qualify for coverage elsewhere at a lower price.
- This type of life insurance product is best suited for seniors who are otherwise uninsurable due to their age or health condition. FYI, most of our senior clients qualify for a life insurance plan that can get first day full coverage, even with a history of health issues.
- AIG Life Insurance website offers limited information about their senior plan. They include links to brochures that allow you to review the small print but accessing these documents is not always easy. Speaking to an agent is highly recommended if you are interested in the AIG senior plan. We at Buy Life Insurance For Burial can help you get an AIG Guaranteed Issue Whole Life plan or another type of plan if you can qualify for something better.
- AIG doesn’t offer online quotes for their senior plan. You are required to provide your email and phone number for an agent to call you back. We have access to AIG Senior Plan quotes and can get them to you in a matter of seconds.
Why Get A Second Opinion?
AIG Guaranteed Issue Whole Life Insurance may be suitable for people who want the protection of permanent life insurance coverage but who due to health concerns may not qualify for any other permanent life insurance plans.
This option makes sense if you are between 50 and 80 years old, not in great health, and need life insurance coverage for anticipated end-of-life costs.
But here’s the thing…
Most of our senior clients at Buy Life Insurance For Burial qualify for a program better than what AIG’s Guaranteed Issue policy offers.
And in most cases, that means a better price AND better quality of coverage.
Look. You don’t know when your last day here on Earth is gonna be, right?
So why risk taking out coverage that doesn’t fully cover you, when you may qualify for coverage that does?
We can help!
At Buy Life Insurance For Burial, not only can we help you get an AIG Guaranteed Issue coverage plan if that’s all you can qualify for…
…We may also qualify you for first-day full natural death life insurance coverage, meaning you’re covered immediately after you pay your first premium.
All else equal, this is the preferred strategy to get life insurance in place.
We do this by shopping the variety of companies we have access to, in order to bring you the best value life insurance policy you qualify for.
How to get a free quote
There are two ways for us to get you a free quote:
- Call now: Our direct number is 888-626-0439. Call us there now. We’ll give you a free life insurance quote within 10 minutes. There’s no obligation to buy and our friendly operators won’t pressure you at all.
- Request a quote online: Fill out the form at the top or side of your screen to request a free quote. You’ll see prices right away and get an idea of what you may qualify for.