Term life insurance from AARP offers coverage over a fixed period of time, or term. During the term, premiums increase as you enter into the next five-year age band. This can make budgeting unpredictable.
For instance, if you buy coverage at age 66, your rate will be based on the 65- to 69-year-old age group. At 70, your rate will increase and remain the same until you turn 75.
AARP’s Level Benefit Term Life Insurance is available to AARP members ages 50 to 74 and lasts until age 80. You can get $10,000 to $150,000 in coverage ($100,000 in Montana and New York) when you apply online. If you want more than $150,000 in coverage, you can call to work directly with an agent.
AARP’s term life insurance policy does not require a medical exam. When you apply, you’ll need to answer several health questions that are used to determine your eligibility and premium.
Another feature of AARP’s term life insurance is a built-in Guaranteed Exchange Option Rider. If you’re eligible, it allows you to convert your AARP term life insurance policy into permanent coverage when the term ends, without taking a medical exam or answering any health questions.
AARP Whole Life Insurance
Whole life insurance is a type of permanent life insurance coverage that can last for the duration of your life, as long as you pay the premium. Unlike a term life policy, whole life insurance policies include a cash value component that you can typically borrow or withdraw from. Whole life insurance is usually much more expensive than term life coverage.
AARP Permanent Life Insurance is a whole life insurance policy available for AARP members between age 50 and 80. You can get up to $50,000 in coverage when you apply online, but higher coverage limits are available if you work with an agent. There’s no medical exam required and your premium will never increase.
Once you turn 95 (or earlier, depending on your state), your policy is deemed “paid up.” That means your policy will remain in effect for the rest of your life, but you don’t have to continue making monthly payments.
AARP Guaranteed Issue Life Insurance
Guaranteed issue life insurance, also known as guaranteed acceptance life insurance, doesn’t require a medical exam or health questions. Everyone who applies gets approved, regardless of health.
Although it can be a good life insurance option for people who can’t qualify for other coverage, guaranteed issue life insurance generally has very low limits and is more expensive than whole or term life coverage.
AARP’s Guaranteed Acceptance Life Insurance is available to applicants between ages 50 and 80 (up to age 75 in New York). You can apply for up to $25,000 online, but higher coverage limits are available if you work with an agent.
AARP’s Guaranteed Acceptance Life Insurance policy builds cash value, which can be withdrawn or borrowed if you need to access money while you are still living. Plus, your policy is “paid up” once you turn 95 (in most states), and your premium payments end.
This policy has graded death benefits for the first two years. Beneficiaries may not be eligible for the full death benefit if you die within two years of buying the policy.
Compare AARP With Other Insurers
New York Life company structure
Stock
AM Best financial strength rating of New York Life
A++ (Superior)
Maximum term life coverage amount
$150,000
A.M. Best financial strength rating
A+ (Superior)
Compare Quotes
Compare quotes from participating carriers via Policygenius.com
A.M. Best financial strength rating
A+ (Superior)
Compare Quotes
Compare quotes from participating carriers via Policygenius.com
FAQs
Through its New York Life partnership, AARP is one of the most stable insurers in America. Its whole life coverage with no medical exam is another plus, but they have limited death benefits during the first two years.
Is insurance through AARP worth it? ›
Insurance from AARP through The Hartford offers a variety of insurance coverages, helpful discounts and even a telematics insurance program. However, this insurance is only available to AARP members and their families, and it doesn't typically come at the cheapest rates when compared to other providers.
At what age does AARP life insurance end? ›
Does coverage end at a certain age? No. AARP Guaranteed Acceptance Life insurance allows you to keep coverage for your lifetime, as long as you pay your premiums.
What life insurance company does AARP use? ›
The AARP Life Insurance Program is underwritten by New York Life Insurance Company, New York, NY 10010. AARP membership is required for Program eligibility.
Is AARP a good life insurance for seniors? ›
AARP is a good life insurance option for seniors with pre-existing conditions, but rates are high for healthy seniors.
How much is AARP life insurance a month? ›
How much is AARP life insurance per month? AARP life insurance can cost as little as $11 monthly or as high as $900. The final price depends on the type of policy (whole, term, or guaranteed acceptance), product, age, gender, state of residence, and health.
How much is AARP after the first year? ›
Membership is as little as $12 for your first year with automatic renewal and $16 per year after that; it's risk-free and can be canceled at any time. AARP also offers multi-year membership plans.
Should a 75 year old buy life insurance? ›
Life insurance can cover end-of-life expenses
A good reason for seniors to have life insurance is to cover final expenses, says Lori Gross, financial and investment advisor at Outlook Financial Center in Troy, Ohio. Insurance makes it so you're "not leaving that burden on a loved one."
Should a 75 year old have life insurance? ›
But it's always a good idea to have life insurance, no matter your age. It will enable you to leave something behind to your loved ones and make sure they aren't stuck with your outstanding medical bills, income taxes, utility payments, and burial expenses.
Is life insurance worth it after 70? ›
Many people in their 60s and 70s may no longer need life insurance. They may have already paid off the house, stopped working, sent the kids off to care for themselves or accumulated enough assets to offset the need for life insurance. But sometimes buying or maintaining a life insurance policy over age 60 makes sense.
If you only need coverage for a few years while your children are growing up, for example, then term life insurance may be the right choice. But if you want lifetime coverage and the ability to build cash value, then consider whole life insurance.
Do AARP members get free life insurance? ›
As an AARP member, you can apply for up to $100,000 in life insurance to help protect your family and receive free life insurance information from AARP Life Insurance Program from New York Life. For more information, go to our Member Benefits page or call New York Life at 1-800-865-7927.
Does AARP life insurance go up every year? ›
Whereas Term Life rates rise whenever you enter a new five-year age band, Permanent rates stay the same over the life of the policy.
What is the payout for AARP death benefits? ›
Payouts are typically a percentage of the policy's face value, up to 80 percent. These benefits may not be available for people with preexisting conditions, and payouts of accelerated benefits will reduce the amount available to beneficiaries when the policyholder dies.
How much does AARP charge for life insurance? ›
How much is AARP life insurance per month? AARP life insurance can cost as little as $11 monthly or as high as $900. The final price depends on the type of policy (whole, term, or guaranteed acceptance), product, age, gender, state of residence, and health.
