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AIG life insurance review 2021
Last updated:
Get wide universal life options or long term policy lengths, if you can get approved.
finder.com's rating: 4 / 5 ★★★★★
Bottom line: AIG has one of the widest list of policies to choose from, though you might not get accepted or get a decent rate if you have a pre-existing condition.
18 to 75
Issue Age
$5,000 to $2,000,000
Coverage
Depends on the policy
Medical Exam Required
Details
| Policies | Term, Whole, Universal, Quality of Life, Permanent, Guaranteed Issue Whole Life Insurance, Accidental Death Insurance |
|---|---|
| Coverage maximum | $2,000,000 |
| Term lengths | 10, 15, 20, 25, 30, 35 years |
| Medical exam required | Depends on the policy |
| Available states | All states except NY and MT |
| Issue age | 20 - 85 years old |
Pros
- Range of unique riders, like the lifestyle income rider that lets you withdraw up to 10% of your policy’s value each year after your 85th birthday
- Multiple types of universal life policies for a variety of needs and investment risks
Cons
- Lengthy claims process of several weeks for approval and payment
- Strict underwriting
| Riders |
Accelerated death benefit rider Accidental death benefit rider Child rider Waiver-of-premium rider |
|---|
Expert review
Review by
Sarah George
sarah.george@finder.comSarah George is a writer at Finder who unravels complicated topics about insurance, business and finance. She's been wordsmithing for nearly five years, after earning an English education degree. Her insurance know-how has been featured on CarInsurance.com. You can usually find Sarah sipping hot tea and talking through movie plots in her downtime.
Expert review
AIG life insurance offers higher death benefits than typical, up to $2 million for some policies. Its term policies span as long as 35 years, and its seven universal life policies include options that invest in the S&P 500.
However, AIG’s approval guidelines can be stricter than other insurers — not helpful if you have pre-existing conditions. Also, its customer ratings aren’t the highest, which may affect your decision if you’re looking for top-rated service.
Otherwise, its high coverage, long terms and low starting rates might be worth a quote.
AIG life insurance rates
We pulled quotes from Policygenius to get estimated monthly premiums for a $500,000, 20-year term life policy from AIG for a man and woman in great health. AIG costs right at the average for this policy type.
| Age | Man | Woman |
|---|---|---|
| 20 | $25.22 | $19.66 |
| 25 | $25.22 | $19.66 |
| 30 | $25.94 | $20.64 |
| 35 | $27.23 | $23.21 |
| 40 | $36.46 | $30.86 |
| 45 | $57.88 | $44.63 |
| 50 | $92.08 | $68.91 |
| 55 | $144.88 | $107.73 |
| 60 | $257.65 | $185.53 |
| 65 | $473.00 | $338.58 |
| 70 | $951.18 | $672.32 |
What affects my rates with AIG?
To reach AIG’s Preferred Plus class, you’ll need to meet its strict requirements:
- Blood pressure. Your reading should be 140/85 until age 60 or 150/85 if you’re over age 60.
- Cholesterol and HDL ratio. If your HDL ratio is 5.0 or below, your overall cholesterol must be under 215. For an HDL ratio of 4.5 or below, your cholesterol should be under 290.
- Driving record. You shouldn’t have DUIs, suspensions or reckless driving within seven years.
- Family history. Your parents can’t have a history of coronary artery disease or cancer before age 60. The restriction lifts after age 65.
- Personal history. If you’re not age 60, a cancer diagnosis or another impairment may disqualify you for preferred rates.
- Tobacco use. You must prove that you haven’t touched tobacco over the past five years.
How to get a quote from AIG life insurance
With AIG, you can start the quote process online, using these steps:
- From AIG’s individual life insurance page, click Get A Quote for the type of policy you are interested in.
- You’ll be taken to a page where you can enter your personal information, including contact info, nicotine use, birthdate, height and weight, and desired coverage amount. Then click Get Your Free Quote.
- An AIG agent will call you to provide a quote and discuss your life insurance options with you.
What types of life insurance coverage does AIG offer?
AIG issues a variety of options for term and permanent life insurance. Its lineup includes:
- Term life. AIG’s term life policy, Select-A-Term, offers temporary coverage for 10, 15, 20, 30 or 35 years. You can convert your policy to a permanent plan before age 70.
- Universal life. Unlike many insurers, AIG sells seven universal policies offering flexible premiums and death benefits. You’ll build cash value with investment portfolios or indexes like the S&P 500.
- Whole life. The insurer offers a guaranteed issue whole life policy for people between ages 50 and 85. It offers lifelong protection without a medical exam and builds cash value at a fixed interest rate.
Does AIG offer burial insurance?
Yes. Seniors ages 50 to 85 qualify for AIG’s burial insurance with coverage ranging from $5,000 to $25,000. This guaranteed-issue policy means that you won’t need a health questionnaire or medical exam.
AIG also stands out with living benefits, rare for final expense policies. If you’re diagnosed with a terminal illness, you can advance up to 50% of the death benefit for end-of-life expenses — minus an administrative fee.
What riders can I add to my life insurance policy?
You can bridge any gaps in your coverage with these common riders:
- Accelerated death benefit. Provides an early tax-free payout if you’re diagnosed with a terminal or chronic illness. You may qualify for a preset monthly portion of the death benefit.
- Accidental death benefit. Pays double the death benefit if your death is a result of an accident.
- Child. Provides temporary coverage for your children up to age 25 and up to a $25,000 maximum.
- Waiver of premium. Waives premium payments if you become fully disabled.
AIG reviews and complaints
While AIG isn’t accredited by the Better Business Bureau (BBB), the organization awards AIG a B rating as of October 2020, reflecting that the company hasn’t resolved several complaints filed against it.
The BBB also records over 300 complaints for AIG from 2017 to 2020, citing slow responses and trouble with claims payments. However, these ratings reflect the company’s products overall, not just its life insurance.
In J.D. Power’s 2020 Life Insurance Study, AIG ranked 15 out of 23 companies surveyed. It scored 742 of 1,000 points for customer satisfaction, a below-average score in the industry.
| AM Best financial rating |
A |
| BBB accredited | Yes |
| BBB rating | A+ 1/5 out of 10 customer reviews |
| Trustpilot score | 2.5/5 out of 5 customer reviews |
| JD Power score | 742 |
| Customer reviews verified as of | 18 January 2021 |
AIG finances
AIG is highly rated for its financial stability, but it’s had its share of bad press. The company faced controversy after receiving an $85 billion bailout from the US government during the 2008 financial collapse.
AIG has since rebounded to become one of the world’s largest insurance providers.
How does AIG compare to other companies?
AIG offers more policy options than you’ll find with most companies, including a term life policy that can last up to 35 years and convert to permanent life later plus seven different universal life options.
However, AIG has strict criteria for its preferred rates, so you might compare its quotes with other companies to make sure you’re getting the best deal. The company is also slow to respond to a high number of complaints filed with the BBB.
AIG’s cost does fall in line with other policies on the market. With AIG, a healthy, 30-year-old man can buy a 20-year, $500,000 term life policy for $25.94, right at average according to our sample rate comparisons.
Compare life insurance companies like AIG
Wondering how AIG’s coverage and benefits stacks up to competitors? Tap the Compare box to see up to four companies side by side.
Frequently asked questions about AIG
Life insurance ratings
★★★★★ — Excellent
★★★★★ — Good
★★★★★ — Average
★★★★★ — Subpar
★★★★★ — Poor
Our experts analyze life insurance companies to help you to find the strongest possible policy and premium for your family’s needs. We assess their financial strength, customer satisfaction, policy features and riders. We then give each insurer a score between one and five stars that reflects their offering and reputation in the industry.