AARP Life Insurance: Why You Should Buy Life Insurance
Life is full of Surprises. We never know when something good or bad could happen. Buying life insurance is a necessity because it ensures that you live a worry-free life. Read the article to learn everything about AARP Life Insurance.
With the increasing inflation and poverty rate, it has become hard for people to make money in today’s economy; one can never know when they’ll lose their job and end up on the streets. To prevent this from happening to your family, you need life insurance.
Life insurance is all about preserving your family’s future by giving them financial support even after death. Every family member dreams of giving their loved ones the best treatment despite all hardships in life, and life insurance brings you that opportunity on a silver plate.
There are many insurance companies in the U.S. that work to provide their citizens with the best life insurance that gives maximum benefit to the insured person. The insurance companies and government have introduced many programs; to be more specific in population categories. People who fall under the eligibility criterion can opt for those programs and make full use of them.
One of the best insurance life programs is AARP Life Insurance. It offers the best services to the insured person to bring them comfort and ensure they have no financial worries in the future. The company has given an AARP Life Insurance rates chart, making it easier to navigate and pick out the best one that is suitable for your family.
You can buy life insurance whenever you want, but it is recommended to start as early as possible. If you wish to buy AARP Life Insurance, here is a complete guide about it so that you are well aware of the details of the program.
Why life insurance?
Life insurance was introduced in the 18th century to preserve the life of laborers and financially support their families if they died. Since then, life insurance has evolved to support every citizen as long as they have a solid financial income. Now, millions of people opt for life insurance to support their beneficiaries.
Life insurance is defined as a contract signed between a policy owner and an individual to gain death benefits to their beneficiaries when they pass away. The insurance requires the insured person to pay a monthly premium based on the plan they choose for their loved ones to receive the payout.
Many people consider life insurance as a waste of money, but in truth, it is a long-time investment that ensures the safety of your loved ones. Life insurance is especially important for those who are the sole income earners of the family; it is hard to make money if the earner dies. Many parents who have little kids worry about this, so they buy life insurance to ensure their future.
There are two sectors in the insurance industry that you choose between to buy life insurance. Private and public insurance companies. Private insurance companies offer many benefits for a premium, while public insurance companies are affordable and administered under the government.
Life insurance is more than just preserving your loved ones’ future; it also gives you comfort to live a bold life instead of worrying all the time. You are only given life once, and you have to make it worth living. Do not spend the rest of your life stressing over saving up and giving the best financial support to your loved ones; invest your money in life insurance to live a life of your choice.
The decision to buy life insurance is up to you, but it is better to decide early to save yourself with high premiums.
What is AARP Life Insurance?
Now that you know the basic definition of life insurance and why it is important to buy one, you should know about various insurance programs that companies offer to facilitate purchasing and afford life insurance.
AARP Life Insurance is a life insurance program offered by New York Life insurance company to the older legal citizens of America. It is a compiled policy that New York Life offers to its members for an economical premium.
New York Life has been rated as one of the best life insurance companies because of its perfect plans and benefits; AARP Life Insurance proves it right. This program is designed by experts and the insurance company with policies that can be practical for both the insured person and the beneficiaries.
The program is mostly bought by older people because of its medical exam exemption. It facilitates people who are aged 50 or older. Many insurance companies give fewer benefits to older people because of the age factor; however, this program is solely made for older people.
This program also gives the option for parents to buy life insurance for minors. Life is a series of unexpected events, and death has no age or time limit, so life insurance should be bought under minors’ names.
Note that the AARP Life Insurance is only offered to people who are AARP members and their partners. Others have to enroll for New York Life insurance to be eligible to apply. These plans offered by AARP are exceptionally good because they tick off all the requirements for the insured person. They do not need to buy an extra policy or plans as long as they make the right decisions.
Forget all your worries of being a burden because of old age; buy AARP Life Insurance to live a happy life.
Types of AARP Life Insurance plans
New York Life offers the best services to its members who are subscribed to AARP Life Insurance. The insurance company assists older people by giving them details about death benefits that can motivate them or give them hope to live their life without any stress about financial management or loss.
To facilitate members with the best services, the AARP Life Insurance has been divided policies into types of plans that fulfill the demand of the older people:
Level Benefit Term Life
Level Benefit Term life insurance by New York Life is designed to support older people by giving them the option to pay premiums until a certain term. People who are aged between 50 to 74 and have spouses who are aged between 45 to 74. Only people belonging to this age range can apply for this program. When the insured person turns 80, the term expires; this term is set by the insurance company for the older people. So, the term is fixed for all members in this plan.
For Term Life, there are separate rates for smokers and non-smokers because it is considered an essential aspect of health. The average cost of the premium on a monthly basis is $226 for coverage of $100,000; it can be less or more based on the age of the insured person and the premium rate they pay.
Once the term ends, the annual price of the premium, which the insured person has to pay on a monthly basis, increases as the individual ages, but the death benefit remains the same percentage. You have the option to convert your term insurance into permanent coverage before turning 80.
AARP term life insurance gives back $10,000 to $100,000 to the beneficiaries; it can be more than this amount, but it depends on the plan that the insured person buys. The more expensive premium you pay, the more death benefit your loved ones can receive from the insurance company.
Level Benefit Term life insurance plan is a smart way of investing money because the age range set by the program is a risky age, and it is better to have to be safe than sorry. This plan is the perfect AARP Life Insurance for seniors.
Permanent Life insurance in AARP Life Insurance facilitates older people with permanent coverage. The program offers people aged between 50 to 80 years and their partners aged 45 to 80. This type of insurance continues for the whole life and pays out death benefits to beneficiaries upon the death of the insured person. This plan is considered to be one of the best AARP Life Insurance for seniors.
AARP Life Insurance has been mentioned with positive words among the members because it is economical for most people. The annual price of premium remains the same throughout the coverage, and usually, members do not have to pay a premium once they have paid all the required amount. According to the program, members are free from paying premiums after turning 95 years old.
This is the perfect plan for old age because in case the insured person becomes disabled or ill during the insurance, the plan pays a waiver of premium for nursing facility expenses. If your doctor diagnoses a terminal illness with a time limit of at least 12 months, then the insured person can use 50% of their death benefits for personal use.
The Permanent Life insurance plan gives the option to cover $50,000, but you can opt for more by purchasing a higher plan. It is essential to make a long-term investment in life insurance to ensure that the beneficiaries are paid out well without any financial struggles.
Guaranteed Acceptance Life Insurance
Guaranteed Acceptance Life Insurance is a type of life insurance plan that offers coverage after the person dies with additional conditions. It can give coverage between $2,500 to $25,000 or more. There is no medical exam required for this program type; unless you are terminally ill. The age limit is between 50 to 80 years old. The annual price of the premium never increases, so if you have a stable income, you can quickly pay on a monthly basis.
The program provides full coverage of death benefits if the insured person dies due to an accident. However, if the insured person dies in the first two years of signing the policy, only 125% of the death benefit is paid back to the beneficiaries.
Like Permanent Life insurance, if you are diagnosed with a terminal illness during the Guaranteed Acceptance Life Insurance policy, then you can use 50% of death benefits for yourself.
This plan is one of the safest life insurance plans because accidents happen anytime. If you have many dependents in your family, then you need to make sure they receive death benefits from the insurance company through the program.
Keep in mind that this type of AARP Life Insurance is not offered in New Jersey and New York; if you belong to states other than these two, then you can apply for Guaranteed Acceptance Life Insurance.
Young Start Life Insurance
Being a member of AARP Life Insurance comes with many advantages. Young Start Life Insurance is a program introduced by New York Life Insurance company to provide life insurance to minors. You can sign up your kid or grandkid for this type of plan if they are less than 18 years old.
The AARP Life Insurance rates chart for minors is affordable, and it can provide coverage of $20,000 to the beneficiaries. This program is perfect for building cash value with time. Once the subscribed kid becomes an adult, 21 years old, they become the official owner of the play. They are responsible for paying the premiums by themselves.
The cash value increases gradually, and your kid or grandkid can draw it back any time in their life. In case the child dies before they turn 21, then the agreed coverage will be given to beneficiaries based on the premiums paid.
Young Start Life Insurance is the best decision made in favor of your kid. It saves them from financial worries, and they live a happy life.
AARP Life Insurance for seniors
New York Life’s program, AARP Life Insurance, consists of three insurance plans that are perfect for seniors; they are designed for old-aged people only. The Guaranteed Acceptance Life Insurance, Permanent Life, and Level Benefit Term life are the AARP Life Insurance for seniors plans.
You can choose to buy either of these three plans that suit your criteria of death benefit and monthly premium. The best plan to choose is the one that you can afford for many years and gain the most profit for beneficiaries.
The insurance agents can help you pick the best one if you are unsure about the plans; they pick out plans based on your income, gender, age, and health conditions.
AARP Life Insurance payment
AARP Life Insurance is picked by most seniors who have families that need financial assistance. To protect their loved ones from poverty, life insurance is hope for all. This program is made to give comfort to older people, so as an old age person, you should grab this opportunity.
The AARP Life Insurance payment can be easily made through your bank account. Link your account with an AARP account online; the automated system will deduct premiums monthly without any complications; this is the easiest way to pay the premium and never miss out on payments. If you still need directions to make the payment, you can call their customer service for assistance. The number for AARP Life Insurance is 866-804-1278.
In the modern age, payment for life insurance is easy. You just need to be familiar with technology and tools. So, buy your first AARP Life Insurance and enjoy the benefits.
How long does it take for AARP Life Insurance payout
When you pay the premium every month for so many years, you should also know when the AARP Life Insurance payout, the death benefits, and other facilities.
AARP aims to provide death benefits as soon as the death is announced. There are some paperwork and regulations that take time to process. According to New York Life, it can take up to 7-10 days after the beneficiaries submit official documents, the death certificate of the insured person, and the claim form.
AARP Life Insurance rates chart
The rates chart for AARP Life Insurance is of a wide range. The most basic information that you must know is the more premium you pay; the more death benefits your beneficiaries will receive. There is no fixed rate for anyone because there are various factors like gender or age that affect the rate of premium and percentage of death benefits.
There is an AARP Life Insurance rates chart from where you can compare prices to pick out the plans that suit you the best. These rates based on gender are as follows:
For a Term Life insurance plan, a woman aged between 50-54 has to pay a monthly premium of $52; this is the minimum rate for a $100,000 policy. The rate increases with age 55-59, 60-64, 65-69, 70-74. By the time a woman turns 74, the monthly premium increases to $272.
In Permanent Life, the rates don’t increase based on age; instead, you have to pick a premium yourself for the death benefit. A woman who is aged 50 has to pay a monthly premium of $25 to receive $10,000 worth of death benefit; for a $50,000 death benefit, the premium rate increases to $110 per month.
Guaranteed Acceptance offers the best rates for women. A 50-year-old female member of AARP Life Insurance is required to pay $43 for a $10,000 death benefit, $64 for $15,000, and $106 for a $25,000 worth of death benefit.
The insurance rates for men are comparatively higher than for women. A Permanent Life premium for a 50-year-old man will be $33 for $10,000. If $157 is paid monthly, then the death benefit increases to $50,000. Some men also opt for paying the moderate amount of premium, $79, for a moderate death benefit of $25,000.
If a man buys a Term Life insurance plan, then for a $100,000 policy, he has to pay a $79 premium at the age of 50-54, which gradually increases with age group 55-59, 60-64, 65-69, 70-74. If you are a 66-year-old man, you have to pay a monthly premium of $236.
The rates for Guaranteed Acceptance insurance plan require a man, aged 50, to pay $56 for a $10,000 death benefit and $83 for $15,000. If you choose to receive $25,000, then pay a $137 monthly premium.
For more specific age and rate insurance plans, you can visit the official AARP website. There are comparison tools given that can give you the exact estimated amount for a monthly premium for a certain death benefit.
The Young Start program offers only three coverages for minors. The adults are responsible for paying the premium amount on a monthly basis until the kid turns 21. For a monthly premium of $5.00, the death benefit is $10,000. If you pay $7.50, then it is $15,000. For a $20,000 benefit, the monthly premium is $10.00.
How to apply for AARP Life Insurance
You can easily apply for AARP Life Insurance through their official website. You can get a free quote online and fill out your application to become a member of AARP. You can only be approved as a member if you fulfill the AARP criteria.
Once the program representative contacts you as an approval, you are ready to pick out an insurance plan for yourself. New York Life Insurance has provided the best customer services and insurance agents who can help you pick out the best insurance plan that suits your criteria, and the one you are able to pay a premium for on a monthly basis.
After reading the article, if you are still reluctant about whether you should buy AARP Life Insurance, then the answer to that question is yes, you should. Life insurance is not just about you; it’s for your loved ones, or your family who might be struggling with financials.
One never knows when they might be in dire need of money, life insurance is a support that can help your beneficiaries during the time of crisis. Furthermore, you can also build a cash value through life insurance that can benefit you and your beneficiaries.
When choosing which life insurance to buy, AARP Life Insurance is the best option. So, before it is too late, apply for life insurance through aarp.org today!