AAA Guaranteed Issue Burial Insurance (No-BS Review)

The 60-Second Summary

0
3.0/5
GetSure Rating
AAA Life sells all of the major life insurance products (with no-medical-exam options), has appealing riders (return of premium), and will cover you until 95 years old. However, the few available customer reviews are highly negative, suggesting the post-purchase experience may be less positive than the “courtship”.

AAA Life Pros

AAA Life Cons

AAA Life Burial Insurance Reviews (Third-Party)

Full Review Below.

Who Is AAA Life Insurance Company?

Headquartered in Livonia, Michigan, AAA Life Insurance is a subsidiary of the well-known AAA (or “Triple A”) organization.

It is licensed to sell life insurance and annuities in all states except New York, and currently has a base of 1.3 million policyholders.

AAA Life has an A+ rating from the Better Business Bureau (BBB) and a financial strength rating of A (Excellent) from A.M. Best.

Company 101
TypeLife Insurance Carrier
Websitehttps://www.aaalife.com
Emailmembersvc@aaalife.com
Phone(888) 422-7020
Address17900 N. Laurel Park Dr.
Livonia, MI 48152
BBB RatingA+
A.M. Best RatingA

AAA Burial Life Insurance FAQs

Before we dive in further, let’s take look at the most Googled questions about AAA Life:

AAA Life sells both term and whole life insurance.  For term insurance, AAA sells a "simplified issue" policy for those who want an instant decision, and a traditional, fully-underwritten policy.  For whole life, AAA sells both guaranteed issue and simplified issue policies.

AAA Life's reputation is a mixed bag. On one hand, it is a subsidiary of Triple A, one of the most trusted organizations in America. On the other hand, it's difficult to find customer reviews.  While the Company has an A+ rating from the Better Business Bureau, all six reviews on their site give AAA 1 star (out of 5).

Yes, you can add as many beneficiaries as you want, at any point during your policy's term. The only condition is that the beneficiary percentages must total to 100% for primary beneficiaries and for contingent beneficiaries.

Yes, you can cancel your policy at any time. However, as with other policy modifications (e.g., name changes, beneficiary additions, etc.), you can only do this by written request.

AAA Life Insurance Offerings

Product Overview
TermYes
PermanentYes
Guaranteed IssueYes
Online ProcessYes, quote (for term products) and application (for ExpressTerm only)
Medical ExamDepends on product and applicant

AAA offers both of the major types of life insurance coverage:

  1. Term life insurance
  2. Permanent life insurance (i.e., whole life insurance)

Within each of these broad types, the Company offers multiple product options to cater to different customer preferences (high face amounts, no exams, and instant coverage, among others).

AAA’s life insurance rates are competitive across all life insurance policies, whether you buy term coverage or permanent coverage.  As long as you pay premiums on time, your death benefit will be paid on time as well.

Unlike burial insurance from AARP, life insurance policies from AAA do not require Triple A membership.  (AAA members do receive a 10% discount on premiums paid, though.)

AAA Burial Insurance Policies

AAA offers two types of burial insurance coverage (also known as final expense insurance or funeral insurance): a traditional whole life policy as well as a guaranteed acceptance offering.

A burial insurance policy is a type of whole life insurance (or permanent life insurance).  These policies cover the insured for their entire life (their “whole life”).  In other words, no matter when the insured dies, AAA will make a death benefit payout to your beneficiary.

These policies are called “burial insurance” due to how people typically use the policy’s death benefit payout to cover final expenses (e.g., funeral costs and other expenses related to end-of-life).

According to the National Funeral Directors Association, the average cost of a funeral in the U.S. (including the cost of the casket, burial plot, headstone,  funeral service, and more) is over $10,000, and that does not include other final expenses (such as medical bills).

(If you’re wondering about the pros and cons of burial and cremation, please check out the linked article!)

AAA Guaranteed Issue Whole Life Insurance

The first of AAA’s whole life insurance policies is its guaranteed acceptance policy, as shown below.

AAA Life logo

Guaranteed Issue Whole Life Insurance

Importantly, you do not have to take a physical exam or even answer health questions to be approved (even if you have a terminal illness).  Moreover:

  • This policy builds cash value (and can therefore act as a savings account)
  • AAA life insurance policies have fixed premiums, so your premium payments will never increase after your coverage begins

While the former is common to all whole life policies, that is NOT the case for the latter.  For policies from burial insurance companies like Globe Life or Mutual of Omaha, your premiums increase every five years as you pass into a new age bracket. 

Note that this policy DOES have a “waiting period”.  If the insured dies during the first two years, AAA will return your premiums paid, plus interest.  However, you will not get the full death benefit paid.

AAA Whole Life Insurance

AAA Life logo

Whole Life Insurance

The second of AAA’s two whole life insurance policies requires more effort during the application process, but the upside is higher coverage limits, lower life insurance rates, AND no graded death benefit during the first two years.

Unlike their guaranteed issue whole life insurance policy above, with this policy, you will have to answer medical questions, and for policies over $30,000, an exam will likely be required.

However, both policies accumulate cash value and does not require AAA membership to purchase.  However, as mentioned above, AAA members’ premium payments will be discounted by 10%.

AAA Term Life Insurance Policies

Term life is the most straightforward form of life insurance coverage.

Policyholders are covered for a set period of time.  If you die during the term, the insurance company makes a death benefit payout to your beneficiary.  If you live longer than the term of the policy, your coverage expires.  (If you’re wondering about the cost of a $1 million term policy, make sure to check out our linked guide.)

AAA Life offers two term life products, “ExpressTerm” and “Traditional Term.”

Eligibility Criteria

To be eligible for either product, you must satisfy two eligibility criteria:

  • Age:  18-75 years old
  • Residence:  Any U.S. state, except for New York

While some insurers do not accept convicted felons as applicants, AAA Life has no such restriction.

You do not even have to be a member of “Triple A” (the auto-related organization) to purchase AAA life insurance!

AAA ExpressTerm Life Insurance

AAA Life logo

ExpressTerm Life Insurance

The first of these products is called ExpressTerm, and like recent start-ups Haven Life and Ladder, the entire purchase process, from quote to application to policy issuance is 100% online.

(So you can complete the process without having to speak to an agent).

Coverage amounts range from $25K to $500K and term lengths come in 10, 15, 20, and 30-year options.

Since it’s possible to bypass the health exam, those who qualify can finish the entire process in 10-15 minutes and potentially receive an instant decision.

Needless to say, getting $500K of near-instant coverage with no health exam, would be a dream purchase experience.  So if you’re young and in good health, this will definitely be an enticing option.

AAA Traditional Term Life Insurance

AAA Life logo

Term Life Insurance

The second term product on offer is a fully underwritten policy.

With these policies, applicants have to provide a greater amount of information, including going through a medical exam, but the upside is that prices are generally lower.

Another key difference is that the traditional term policy offers several riders, as listed below.  (Riders are “add-on” features to insurance policies that provide optional benefits for an additional cost.)

  1. Child Term: Allows you to add $20,000 of life insurance on each of your children
  2. Disability Waiver of Premium:  Waives your premium obligations if you become disabled
  3. Return of Premium: Gives you back all of your payments if you live to the end of your term

How To Get A Price Quote From AAA

If you’re interested in getting a life insurance policy from AAA, the first step in the application process is to request a quote.

The estimate that you see for your monthly premium rate won’t be fixed in stone, but it should give you a sense of the coverage amount you can afford.

1. Navigate To The Relevant product Page

First, choose the product you believe best matches your needs.  Then, navigate to your chosen product’s page on the AAA Life website.

(Of course, you can always change this later if you want to explore insurance quotes for a different product.)

2. complete the quote form

You should see a quote form at the top of your page that looks very similar to the first image below.  

Fill out the requested information on both pages.  (Feel free to use a fake email address if you prefer not to share your contact information.  You’ll be shown your quote regardless of what you enter into the email field.

Unlike many of its peers, who either have lengthy quote forms or email you a quote at some later point, AAA gives you an instant quote after the two simple pages below.

(You can see exactly what information AAA Life requests of you in the two screenshots below.)

AAA Life Insurance Quote Form (Page 1)

AAA Term Life Quote Form 1

AAA Life Insurance Quote Form (Page 2)

AAA Term Life Quote Form 2

3. Use "Quote Calculator" To Find The Best Death Benefit Amount For You

At this point, you should see your estimated monthly premium rate on a page that looks similar to the image below.

This page shows your quoted monthly premium rate.

To change the term length, simply click on one of the four options at the bottom (10, 15, 20, or 30-year).  And to adjust the coverage amount, use the slider.

AAA Term Life Quote Result

Conclusion

We hope you found this review of AAA Life helpful.  If you have any questions remaining, don’t hesitate to leave a comment here or email us at hello [at] getsure.org.

In any case, we hope to see you back here soon!

Warm Regards,
The GetSure Team

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