AIG Life Insurance Review 2016

For many people, AIG is a familiar name thanks to the numerous television commercials that run and position the carrier as a global leader in life insurance. While AIG does offer a solid menu of options and some of the least-expensive prices, it also receives a relatively high number of consumer complaints. In part, this might be due to the underwriting process, which can lead to an increase in the initial quote you receive.

If you’re in good health and you enjoy working directly with an agent, AIG may be a good option for you. We recommend researching the company and getting quotes from several insurance carriers to ensure you make the right choice for yourself and your family.

Types of AIG Insurance

In addition to offering some of the lowest life insurance rates available, AIG also provides a variety of policy types. Some of the popular life insurance options include:

  • Quality of Life Insurance: This innovative life insurance product provides benefits while you’re still alive, including living benefits to supplement your income or the opportunity for cash accumulation
  • Universal Life Insurance: This life insurance provides lifelong coverage with the opportunity to earn cash value and adapt the policy to meet your changing needs and budget
  • Whole Life Insurance: This option has a fixed premium and a fixed benefit over the life of the policy
  • Term Life Insurance: This is one of the most affordable options. It provides coverage for a specific period between 10–30 years

The Good and Not-So-Good

Where AIG really shines is its low premiums and the various types of AIG insurance available. It earns an A rating from A.M Best for its financial strength. Where this insurer falls short is in its lackluster reviews for customer service and the number of complaints that regulators receive for a company of its size.

Cost Comparison

To get the rates and terms you require, shop around for your life insurance before you settle on AIG or any other company. Get quotes from at least two or three insurers and read all of the fine print regarding what each policy covers to find the life insurance that’s right for you.

One of the things that makes AIG shine is its history of offering low life life insurance rates. In fact, it offers some of the lowest rates for 30-year-old nonsmokers. The following chart gives you an idea of the ballpark cost of life insurance policies based on a $500,000, 20-year term life policy for non-smoking, healthy individuals in different age groups.

Insurance Company Women, Age 30 Men, Age 30 Women, Age 40 Men, Age 40
AIG $209 $244 $329 $354
SBLI $220 $245 $310 $410
Protective Life $216 $245 $304 $348
United of Omaha $218 $248 $323 $383
MetLife $214 $249 $304 $369
Banner Life $215 $250 $310 $415
Genworth Life & Annuity $225 $250 $310 $355
Transamerica $210 $250 $360 $440
Voya $230 $260 $385 $415
John Hancock USA $245 $280 $370 $490
Minnesota Life $275 $310 $380 $440
Lincoln Financial $270 $325 $350 $445

Other Types of Insurance

In addition to life insurance, AIG offers several other options to fill specialized needs. Some of the insurer’s popular plans include travel insurance, automobile insurance and student insurance.

AIG Travel Insurance

Whether you’re planning a quick getaway or a long vacation, travel insurance provides extra peace of mind in case you have to cancel for some reason or if your trip is interrupted due to weather or another unforeseen event. Like other travel insurance companies, AIG’s Travel Guard insurance includes medical coverage to pay your bills if you get sick while you’re outside of the country. This is important because many primary health insurance plans, including Medicare, don’t cover medical expenses outside of the United States.

Available rates depend on a variety of factors, including the type of coverage you choose. For single-trip insurance, AIG offers three coverage levels — silver, platinum and gold — that differ based on the monetary amounts of coverage you require. Each offers:

  • Trip cancellation coverage for 100% of the trip cost
  • Trip interruption coverage for 100%–150% of the trip cost
  • Medical coverage for sickness, injury or death of a family member or traveling companion
  • Inclement weather coverage
  • Coverage for terrorism
  • Trip delay coverage of $500–$1,000
  • Medical expenses of $15,000–$50,000
  • Emergency evacuation coverage for $150,000–$1 million

AIG Auto Insurance

AIG auto insurance lets you choose your mechanic and repair shop, provides reimbursement for rental cars and offers up to $500 reimbursement for lodging and living expenses if your car breaks down away from home. Some of the standout options that AIG offers include:

  • Up to $1 million in property damage and bodily injury coverage
  • Up to $500 in personal property coverage so you can replace your phone, clothing or other gear that’s damaged or stolen from your car
  • Up to $1 million in coverage for accidents involving uninsured and underinsured drivers
  • New Vehicle Replacement: This covers new vehicles that you total within two years of purchase. It allows you to replace your car with a vehicle of the same make, model and year or a different car of a similar model
  • Roadside Coverage: AIG doesn’t charge a deductible for roadside assistance. This option covers all labor costs for changing a flat tire, jumping a dead battery or bringing you gas when you run out
  • Collector Coverage: AIG’s coverage gives you reimbursement for the agreed value of a classic car instead of the book value, which helps reimburse you for some of the money that you’ve put into the maintenance and restoration of your collection

AIG Student Insurance

AIG is one of the leading insurers in the student market. The company works to provide the coverage that students, parents and schools need. Some of the popular options include:

  • College Student Health Insurance: AIG provides domestic and international plans for students with benefit maximums of up to $2 million. Select plans are available with no out-of-area limitations.
  • Accident and Athletic Insurance for Students from Kindergarten to 12th grade: AIG provides basic accident or catastrophic accident coverage for any school-related injuries.
  • Student Travel Protection: When a student is studying abroad, this insurance provides benefits for medical expenses, emergency medical evaluations, trip cancellations or interruptions, security evacuations, baggage loss and natural disasters.
You can trust that we maintain strict editorial integrity in our writing and assessments; however, we receive compensation when you click on links to products from our partners and get approved.
Published September 6, 2016
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