2022 American General Life Insurance Review • (Now AIG) • Benzinga – Benzinga
Minimum CoverageNo stated minimumMaximum CoverageNo stated maximumEligible AgesUp to age 90Term Lengths10 to 30 years# of Rider Options4
AIG American General Life offers a variety of life insurance products, including term, whole life and universal life insurance.
Term Life Insurance
AIG offers term life insurance products to policyholders aged between 20 and 80. Term life policies are available for 10, 15, 30 and 35 years. The coverage amounts can range from $50,000 to $10,000,000. All policies are available with level premiums and can be renewed for a one-year term up to 95 years of age. Term policies can also be converted until age 70. For insureds below 55 years old, a return of premium policies may also be available.
AIG American General Life offers the following term life policies:
Select-A-Term is unique in that you can choose the coverage period that suits you best from 17 options. A typical insurance company offers only four possibilities. Because of its flexibility, it is a good choice for many consumers.Return of Premium Term provides a return of premiums paid if you outlive your policy term. This product might be worth considering if you are looking for a guaranteed payment whether you die or live.
Standard features of American General Life Insurance term policies:
Benefits accrue faster.End of life illness: 50% of the death benefit is available for disease or chronic conditions that are expected to cause death within the next 12 months.Chronic illness: Partially distributed death benefit is available for those who are unable to perform two or more of the activities necessary for daily living or are cognitively impaired.
You can customize an AIG American General Term Life Policy with the following riders:
Accidental Death Benefit pays a death benefit in addition to your base policy’s death benefit if you die from specific accidental injuries.Child Rider pays a death benefit up to the rider amount to the insured parent upon the death of an insured child.Disability Income pays a monthly benefit to the primary insured if the primary insured is unable to work due to an injury or illness that is covered.Terminal Illness pays up to 50% of the death benefit not to exceed $250,000 for a qualified terminal illness.Waiver of Premium waives the premium in the event of total disability of the named insured after six months.Select Income pays a monthly benefit to the beneficiary after the death of the named insured.
Term life insurance is an excellent option if you are looking for a lower investment and do not anticipate that you will need life insurance in the future or if you want to convert to a permanent plan later.
Permanent Life Insurance
The policy is effective as long you pay the premiums. Premiums are higher because of two features. First, you pay for the death benefit, which will be left to your loved ones. You can also access a tax-deferred cash value account throughout your life.
American General offers two types of permanent life insurance:
Guaranteed Issue Whole Life is a no-medical-exam permanent life policy with a death benefit of up to $25,000. Universal Life is a permanent policy that allows you to change the death benefit and premium paid over time .
Standard features of American General Life Insurance permanent life policies:
Coverage is available to advanced ages.The policy generates cash value on a tax-deferred basis.The cash value can be borrowed.Cash value is guaranteed.Whole life policy premiums are set and do not change.Universal life premiums can be adjusted by the insured.
You can customize an AIG American General Permanent Life Insurance with the following riders:
Accidental Death Benefit pays a death benefit in addition to your base policy’s death benefit if you die from specific accidental injuries.Child Rider pays a death benefit up to the rider amount to the insured parent upon the death of an insured child.Disability Income pays a monthly benefit to the primary insured if the primary insured is unable to work because of an injury or illness that is covered.Terminal Illness pays up to 50% of the death benefit not to exceed $250,000 for a qualified terminal illness.Waiver of Premium waives the premium in the event of a total disability of the named insured after six months.Select Income pays a monthly benefit to the beneficiary after the death of the named insured.
American General Guaranteed Whole Life is an excellent choice for those aged 50 to 80 looking for guaranteed permanent protection with a budget-friendly fixed premium. In addition, its Universal Life policy is a perfect choice for those just starting in life or recently married who prefer the flexibility to change the death benefit or premiums over time.
Many customer service options can be performed online, including:
Paying your billChecking your payment statusUpdating your addressChanging your beneficiariesMessaging customer service
You must contact AIG American General Life directly or email to cancel coverage.
It will also allow you to notify the company online about a death. You can call AIG American General Life directly or your agent can submit information to the claims section.
AIG American General Life Insurance Company has received a lower-than-average rating from the Better Business Bureau and J.D. Power, but a higher-than-average rating from Moody’s and AM Best. In addition, its NAIC complaint index is lower than the industry average.
BBB Rating3AM Best RatingA+NAIC Complaint Index0.75Moody’s RatingA2J.D. Power Rating742
American General Life has competitive term life insurance premiums, especially at higher death benefit amounts. Its guaranteed whole life and universal life premiums compare favorably with the competition.
American General Life does not have a smartphone app. Nor can you apply online without a representative contacting you. However, you can sign in on its website to pay premiums online for its life insurance products. You can also make recurring payments using this feature.
Furthermore, you can update or modify your beneficiaries using the platform. To get a quote or apply for coverage, you must speak to an agent. Depending on the insured’s age and the coverage amount requested, a medical exam may be required. However, medical exams are not necessary for the guaranteed whole life policy.
American General Life vs. Competitors
American General Life stands out from its competition in several ways. First, many consumers like its no-medical-exam guaranteed issue whole life policy. Others find its term premiums attractive, especially at higher death benefit amounts. Finally, the flexibility of its universal life policy is appealing to those who may need to change their death benefit or adjust premiums down the road.
Types of plans
Term, Permanent, Universal, Whole
Age Requirements
All ages
1 Minute Review
AIG Life Insurance is known as one of the biggest insurers in the entire world. Its services are offered to millions of customers throughout more than 80 countries. The agency also provides a wide range of insurance and investment products for businesses. According to Fitch and S&P, an A+ rating best suits AIG Life while an A2 rating from Moody’s alon and an A rating from AM Best perfectly supports just how much of a positive reputation the company radiates overall. AIG Life proves that there is more than term life insurance and the ability to cover everything is possible.
Best For
Life insurance as an investment tool
Parents, individuals and businesses
Anyone in need of several insurance options
Pros
Unique variants of traditional life insurance policies
Variety of term lengths for term life policies
Business services offered to help protect your bottom line
Multipolicy discounts available
Cons
Low score for customer satisfaction
Unavailable in some states (New York and Maine); some states only available online (Pennsylvania)
get started
securely through Fabric Life Insurance’s
website
Age Requirements
21 – 60
1 Minute Review
Fabric offers term life insurance, free digital will creation and other tools to help you better your family’s financial life. They’re the one stop shop for young families looking for financial security.
Fabric offers 10, 15, 20, 25 and 30 year term options and coverage ranging from $100,000 to $5 million.
Fabric offers highly reviewed online customer service through its app and website and has the highest TrustPilot rating in its class.
Best For
No exam required for most
Those who want to avoid the hassle of insurance salesmen
New or expecting parents looking for a broader suite of financial tools
Pros
Affordable premiums
Free digital will creation
Free app with helpful tools for parents
Apply and see your rate in less than 10 minutes
Cons
No term life coverage in New York or Montana
Can’t increase coverage after purchasing
Types of plans
Universal, Term, Whole
Age Requirements
18 – 100
1 Minute Review
Northwestern Mutual offers a variety of life insurance policies that are suitable for a wide range of people. Policies are available in all 50 states, although some policies and riders may not be available in every state. The company has strong financial strength ratings and an above-average rating when it comes to consumer complaints.
To get a quote from Northwestern Mutual, you have to talk to one of its agents. However, you can browse information on its website and use the coverage calculator tool to estimate how much life insurance coverage is recommended for your family.
Best For
Affordable term life insurance that can be converted to a permanent life insurance policy later
Adding riders to a life insurance policy
Pros
Strong financial strength ratings and a low number of consumer complaints
Several types of life insurance policies available
Offers other financial planning, insurance and investment products and services
Cons
Lack of clarity about the product offerings on Northwestern Mutual’s website
Can’t get a quote or apply directly for a policy online
Get started
securely through Bestow Life Insurance’s
website
Disclosure: *excludes New York
1 Minute Review
Bestow offers 2 kinds of life insurance policies: 20-year level term policy or a 10-year level term policy.
Through its policies, you may qualify for up to $1 million in term life insurance. That may seem like a sizeable sum, but if you have a spouse and children, you have to consider the cost of things beyond your mortgage, such as daycare and eventually college, as well as the loss of wages over time.
Bestow uses its proprietary technology to underwrite your insurance policy, so the application process is much faster than with traditional life insurance companies. They’re also backed by Munich Re and North American Company for Life and Health Insurance, 2 A+ rated insurance companies.
Best For
People who are looking for short-term life insurance
Individuals who don’t want to go through the hassle of having a medical exam or blood work done to get coverage
Pros
Plans start at just $8/month
Decent coverage options if you need insurance quickly and without hassle
Cons
Offers 2 types of plans; does not offer whole or universal life insurance policies
The 10- and 20-year plans not available to users under 21 or older than 55
Types of plans
Term, Universal, Whole, Final Expense
Age Requirements
18 – 80
1 Minute Review
With more than 12 million active customers, Transamerica Corp. is one of the biggest names in the life insurance industry. Transamerica offers a wide array of life insurance products — everything from term to a variety of permanent life insurance products, including whole, universal and variable life.
Transamerica life insurance policies are available to anyone ages 18 to 80, with coverage starting at just $25,000 and going as high as $10 million. In addition to term and permanent life insurance policies, Transamerica offers final expense insurance and any number of riders to help customers customize their policies.
Best For
Coverage with chronic conditions
High benefit policies
Smokers
Pros
Term life policy quotes and purchase available online
Wide array of products
Comprehensive online resources
No medical exam required for many term policies
Cons
Below-average scores from the National Association of Insurance Commissioners (NAIC) and J.D. Powers
Policies purchased through agents only
Disproportionate number of customer complaints
American General Life: Additional Options
AIG American General Life also offers supplemental insurance products such as long-term care and disability, along with investment products such as mutual funds and annuities. Moreover, AIG offers property and casualty insurance, including automobile and commercial insurance.
Frequently Asked Questions
Is American General Life the same as AIG?
1
Is American General Life the same as AIG?
asked 2022-01-20
Maurice Draine
1
American General Life was acquired by AIG in 2001.
Answer Link
answered 2022-01-20
Benzinga
How long does it take to receive a death benefit check?
1
How long does it take to receive a death benefit check?
asked 2022-01-20
Maurice Draine
1
Once the claim is approved, death benefit checks typically go out within 5 to 7 working days.
Answer Link
answered 2022-01-20
Benzinga
