When purchasing life insurance, there are several key parameters which are important to keep in mind. Certainly, the type and the amount of the coverage are essential, as you don’t want your loved ones and survivors to be under insured for the needs you are protecting.
But there is another equally important factor, too. The insurer through which you are buying the policy from.
This, too, should be top of mind because you will want to know the company is strong and stable financially and it will be there to make good on its promise if or when a claim ever needs to be filed. One such insurer who has a long history of paying out its policyholders claims is American Insurance Group – also known simply as AIG.
The History of The AIG Life Insurance Company
American Insurance Group initially began its operation back in 1919 as American Asiatic Underwriters in China. It soon expanded into Latin America, and later into other parts of the world. It wasn’t until the 1950’s when the company moved into the United States through the acquisition of a general insurance company.
In the 1970’s, the company also started to expand further into additional product lines, and in the 1980’s, it became listed on the New York Stock Exchange. It is now also listed on the Tokyo Stock Exchange. In the early 2000’s, AIG was considered to be a leading provider of retirement products – including life insurance coverage.
While the company did have some struggles during the U.S. financial and economic crisis of 2008 – 2009, it has since been able to restructure, and to repay the government assistance it received. Also, the company has also re-branded itself and is again considered to be a leader in the life insurance and retirement services marketplace. The company is headquartered in New York, New York.
Our AIG Life Insurance Company Review
Today, AIG is considered to be the largest insurance entity in the world. With nearly 90 million business and personal customers, the company offers retirement solutions, as well as life insurance, property-casualty insurance, mortgage insurance, and even aircraft leasing. Approximately 64,000 employees of AIG operate out of more than 90 countries around the globe.
For year-end 2015, AIG had more than $101 billion of consumer insurance in force, and another $115 billion of commercial insurance in force. These numbers both represent an increase over 2014 figures. The company also had a slight increase in its life insurance premiums and deposits, from approximately $4.806 billion in 2014 to $4.974 billion in 2015.
AIG continues to receive awards and recognition for being a strong contender in the insurance and financial industry. Just some of these include the following:
- Business Insurance Innovation Awards – For seven straight years, an AIG company has topped the Business Insurance rankings;
- Travvy Awards – Three AIG associates obtained Travvy Awards in 2016;
- DiversityInc’s 25 Noteworthy Companies;
- DALBAR Annuity Service Awards 2007-2015;
- Recognized for Corporate and Philanthropic Leadership;
- Ranked in Top 10 Best Companies in Claims Service;
- Best Cyber Risk Insurer at 1015 Cyber Risk Awards.
The company provides a great deal of information on its website which can be helpful to both its personal and business customers. This includes articles on various investment topics and on how to invest, as well as on the importance of protecting yourself and your loved ones with insurance. There is also an extensive FAQ section on AIG’s website which answers a lot of additional questions clients and website visitors may have.
According to the company’s literature, one of its core values is it “has the courage to make difficult promises, and the integrity to keep them.” The company has had some struggles. However, it has also come back strong. The customers and policyholders of AIG can feel safe their claims will be paid as promised, just as they have been for nearly a century in the past.
AIG Life Insurance Company Ratings and Grades
AIG is considered to be strong and stable from a financial standpoint – and this is reflected in the ratings the company has received from the insurer ratings agencies. These ratings include:
- A+ (Strong) from Standard & Poor’s
- A2 (Good) from Moody’s Investor Service
- A+ (Strong) from Fitch
- A (Excellent) from A.M. Best
In addition, while AIG is not an accredited company through the Better Business Bureau (BBB), it does have a grade of A+ through the BBB. Over the past three years, AIG has closed a total of 77 complaints through the Better Business Bureau.
Of these 77 complaints, 51 have had to do with the company’s products and / or services, 16 had to do with billing and / or collection issues, 5 were related to delivery issues, 3 had to do with guarantee / warranty issues, and 2 were related to advertising and / or sales issues.
Life Insurance Products Offered By AIG
AIG offers a wide variety of different life insurance products to choose from. This can help its clients to gear their coverage to better meet their specific needs. Life insurance coverage includes both term and permanent protection. There is also an accidental death and dismemberment option.
Term Life Insurance Coverage
Term life insurance provides death benefit protection only and does not offer any cash value component. Because of this, term life insurance can be very affordable – especially for those who are young and healthy at the time of application.
With term life, products are sold for a set amount of time such as 10, 15, 20, or even 30 years. The term life insurance plans which are offered via AIG include:
- AG Select-A-Term – With the AG Select-A-Term policy, the insured can choose the benefit which is needed, for the length of time he or she requires, such as 10, 15, or 30 years.
- AG ROP Select-A-Term – With the AG ROP policy, the insured can get protection now, as well as receive their money back later via the return of premium option, provided they survive the entire term of the policy without a claim and maintain their premiums.
Permanent Life Insurance Coverage
AIG also offers several permanent life insurance coverage options to choose from. With permanent life insurance, there is both death benefit protection, as well as cash value or savings build-up. Provided the premium continues to be paid, the policy will typically remain in force.
The cash in a permanent life insurance policy will be allowed to grow on a tax-deferred basis. This means there will be no tax due on the gain unless or until the funds are withdrawn. Cash can be withdrawn for any reason, such as paying off debt, supplementing retirement income, or even taking a nice vacation.
One form of permanent life insurance offered by AIG is universal life. This type of policy can be good for individuals and / or families who need flexible coverage, along with some basic investment options. These policies may also offer some living benefit options whereby the insured may be able to access a percentage of the death benefit should they acquire a terminal illness and / or be confined to a nursing home and require funds for such expenses.
AIG offers numerous universal life insurance policy options, including the:
- AG Secure Survivor GUL ll
- Elite Global Plus ll
- Secure Lifetime GUL 3
- Elite Index ll
- Asset Protector
- Value+ IUL
- Elite Survivor Index ll
Variable universal life insurance is a form of universal life, except in this case, the insured has the opportunity to grow the cash value via certain separate account options which includes equities. This type of policy may be a good fit for someone who has both the knowledge and the interest in investment funds. It is important to note, however, while this type of policy can allow the cash value component to grow significantly, it will also have much more risk due to its market exposure. AIG offers the AG Platinum Choice VUL policy.
Accident and Health Insurance Coverage
For those who are needing to supplement high-deductible health plans, and / or those who want quick life insurance coverage without the need to take a medical examination, accident, and health supplemental insurance may be a good fit. This type of coverage helps in protecting individuals from financial risk in the event of an accidental death, an accidental injury, critical illness, and more.
AIG offers several policies in this area, including the following:
- Critical Care Plus – The Critical Care Plus plan helps to fill in coverage “gaps” when an insured or his or her family member gets diagnosed with a critical illness which causes expenses over and above those of their regular health insurance plan.
- Accident Expense Plus – If an insured has an accident and incurs out-of-pocket expenses from his or her regular insurance plan, this policy can help to pay for some of all of those costs.
- AG Accident Care Direct Plus – This plan provides a lump sum cash benefit which offers coverage if an insured dies or becomes paralyzed due to a covered accident. It is also a guaranteed issue plan, which means an individual may qualify for coverage, even if he or she has various health conditions at the time of application.
- AG Accident Choice Plus – This supplemental insurance coverage is designed to protect an insured from a wide array of accidental injury-related expenses, including ER visits, medical examinations, physical therapy, and even surgery.
Other Products Offered
In addition to life insurance coverage, AIG offers a number of other products to its customers. These offerings include products and services both in the individual and the business insurance and financial market. These products include the following:
- Group Benefits
- Liability Insurance
- Professional Liability Insurance
- Property Casualty Insurance
- Student Insurance
- Surplus Lines
- Aviation Coverage
- Trade Credit
- Mortgage Insurance
- Home Loans
- Mutual Funds
Is AIG Right For You?
When seeking the best rates on life insurance, it is typically good to work with a company or an agency who has access to more than just one life insurance carrier. This way, you will be able to more directly compare policies, benefits, and premium quotes, and from there you can determine which of these will work the best for you.
If you are ready to move forward, we can help.
We work with many of the top life insurers in the marketplace, and we can assist you with obtaining all of the information you require for making an informed purchase decision. We can do so for you quickly and easily, and without the need to meet in person with a life insurance agent. All you need to do to proceed is just simply take a moment to fill out the form on this page.
Should you feel you still have any additional questions regarding AIG Life Insurance Company – or even if you just have a questions about life insurance in general – please feel free to contact us directly.
We understand choosing a life insurance policy – and a life insurance company – may seem a bit overwhelming. There are many policies and companies to choose from, and you want to be sure you are obtaining the right amount of coverage, as well as a top insurer, in order to protect those whom, you care about.
The good news is you have many options – even if you have been turned down for life insurance coverage in the past. We are life insurance specialists, and can help you in sorting out the details. Contact us today – we’re here to help.