AAA Life Insurance Review

Shawn Plummer

CEO, The Annuity Expert

Compare AAA Life Insurance Quotes

Use our calculator to compare AAA life insurance rates with other life insurance quotes to find the cheapest premiums.

Pros And Cons

  • AAA Insurance is one of the biggest and best insurance companies in the United States.
  • Their current financial ratings are A with A.M. Best.
  • They offer term, whole, and universal life insurance policies.
  • You may get up to $500,000 in term coverage without a medical exam.
  • You can get quotes for life insurance policies online. You can also purchase guaranteed issue and term life policies online.
  • You can get up to $5 million in life insurance for a term.
  • AAA Insurance only offers AAA life insurance products.
  • The cost can be expensive compared to other insurance companies.
  • You need to get a quote from a life insurance agent for permanent insurance.
  • You can only choose 10, 20, or 30 years for term insurance.
  • Coverage maximum amounts are limited to $5,000,000.
  • Guaranteed issue policies are only available to certain age groups.
  • Whole life insurance plans are capped at $75,000
  • $25,000 is the minimum coverage amount.
  • No signs of life insurance for immigrants.
  • Does not offer Variable life insurance, return of premium life insurance, long-term care insurance, disability insurance or medicare supplements.

The Cost Of AAA Life Insurance

AAA Life’s rates are about average. However, if you shop around and compare rates from other companies, you may be able to find a lower rate.

The company says that term life policies start at around $8 per month, but the price you pay depends on many things, like your age, gender, location, health, and health habits.

For two 35-year-olds in excellent health with no history of smoking, here are some sample quotes for Traditional Term Life. Quotes are for 10-year policies:

AAA’s Cost

Coverage Amount35-Year-Old Female35-Year-Old Male 

The Competition

Coverage Amount35-Year-Old Female35-Year-Old Male 

Life Insurance Through AAA

AAA Life offers different life insurance policies to both members and non-members, including term life insurance, whole life insurance, universal life insurance, and accident insurance. Your options range from a basic policy that only covers your final expenses to a more enhanced term or permanent life policy that will leave your families with more money. No matter your goals for life insurance, AAA Life Insurance has seven different options to choose from. Members receive a discount on their rates.

AAA term life insurance

A traditional term life insurance policy and an ExpressTerm policy are available. ExpressTerm is a simplified issue, or no medical examination, term life policy. The main distinctions between the policies are that ExpressTerm only offers up to $250,000 in coverage and requires direct online application without going through a broker, but you can receive an approval decision within less than an hour.

A typical term policy can only be obtained through an agent, takes weeks to get authorized, but you may buy a considerably greater amount of coverage and at a cheaper rate per dollar of coverage.

A return of premium rider is available on only AAA’s traditional term life insurance. However, the cost of your policy goes up, but if you live longer than the policy’s duration, your premiums will be refunded to you. If you decide to terminate your coverage halfway through the term, you’ll receive a percentage of premiums paid back to you.

The rider is only available to individuals under the age of 65 who buy coverage with at least $100,000 in coverage for a term of 15 years or longer. In addition, no extra riders can be added to a return-of-premium policy.

AAA’s two term plans may be purchased if you’re not a member, but the $60 annual fee is waived for members who buy ExpressTerm. If you die during the term of the policy, your spouse will get a lifetime AAA membership for free, as well as any other benefits associated with permanent life insurance policies. All term plans can be converted to permanent coverage without having to show proof of insurability at age 65 or after the end of the initial term because AAA also sells permanent life insurance.


You pick how long your policy will last and how much money you will get with term coverage. AAA Life Insurance has two term options:

  • ExpressTerm: ExpressTerm allows you to purchase a policy online in 10 minutes or less. Some people can qualify for $500,000 in coverage without a medical exam.
  • Traditional Term Life: Traditional Term Life policies are available for 10 to 30-year terms. You can get up to $5 million in coverage. To get the policy, you need to work with a AAA life insurance agent, and you will need to take a medical exam.

AAA members can save 10% on their premiums, and they may qualify for discounts on home or vehicle insurance by combining it with standard term life.

Aaa Life Insurance

AAA whole life insurance

Both Simplified Issue and Guaranteed Issue Whole Life Insurance Policies, neither of which need a physical examination, are available through AAA. Both of these have a maximum coverage amount of $25,000. As a result, if you want permanent life insurance to pay for final expenses and would be unable to qualify for regular coverage due to pre-existing medical issues such as being a senior or having prior medical conditions, AAA may be a good option.

However, its whole life insurance is unlikely to be adequate for income replacement, inheritance, or the funding of major expenses such as college tuition.

AAA simplified issue whole life insurance

The simplified whole-life policy is rather basic. Premiums remain constant until age 100, at which point they are no longer necessary, and the coverage builds cash value at a guaranteed rate over time. The contract will continue in force as long as you pay premiums, so your beneficiaries will get a death benefit regardless of how old you pass away.

AAA guaranteed issue whole life insurance

AAA life insurance also provides final expense insurance to seniors and individuals with pre-existing conditions. This is a guaranteed-issue whole-life insurance policy offered by AAA. All people between the ages of 45 and 85 are eligible for acceptance due to the absence of health-related questions and the requirement that they do not take an exam.

However, for the first two years following the inception of your policy, you are only partially covered. If you die as a result of something other than an accident during the first two years of coverage, your beneficiaries would receive just the premium payments plus 30% interest.

If you require coverage but are unable to meet the requirements for another sort of life policy, we only suggest final expense insurance.


Whole life insurance is a type of permanent life insurance that maintains a cash value. AAA Life Insurance offers three whole life plans:

  • Whole Life: Whole life insurance has guaranteed level premiums and benefit amounts. You may get up to $75,000 in coverage with whole-life insurance.
  • Guaranteed Issue: If you are between 45 and 85, you can get a guaranteed issue policy. This policy does not require a medical exam or health questions. You can also get up to $25,000 to pay for final expenses. However, if the insured dies during the first two years, AAA will only pay out a part of the policy amount unless the death is accidental.
  • Simplified Issue: A whole life insurance policy with a death benefit ranging from $5,000 to $25,000.

If you are a member of AAA, you and your spouse can get a $60 annual discount on guaranteed issue whole life insurance. In addition, you will also get a 10% discount on traditional whole-life insurance.

AAA universal life insurance

A guaranteed universal life insurance policy is similar to a LifeTime plan. Premiums are guaranteed to remain constant over time, and it has lower rates for coverage since it isn’t meant to build cash value. If you want permanent protection to leave an inheritance or money for your family to live on after you die, AAA’s LifeTime universal life policy may be a viable option.

However, the Accumulator life insurance policy from AAA has higher rates, greater potential to grow your cash value, and more flexibility in paying premiums. If you want to use your life insurance cash value while you are still living, or if you want to be able to alter your premiums based on your financial position, the Accumulator policy is a better option.

However, we still recommend comparing AAA life insurance rates and terms against those of other businesses since cash-value life insurance is rather pricey and can be expensive to switch insurers later.


Universal life offers a death benefit with the ability to build cash value over time. There are two universal policies: 

  • LifeTime Universal Life: This permanent policy will have level premiums that will not change, even if the interest rates go up or down. Your minimum coverage will start at $100,000.
  • Accumulator Universal Life: The Accumulator policy accumulates cash value that you can use to supplement your retirement income if needed. Minimum benefits start at $100,000. The Accumulator product is for people who want to use the cash value to supplement their retirement or cover other expenses, like their children’s college education.

AAA accident Insurance

AAA life insurance offers accidental death insurance policies. This insurance will help pay for your hospital stay and other costs if you have an accident. You don’t need a medical exam or answer any medical questions to get this coverage. It starts right away. Only available to AAA members. The policies provide a daily benefit to help cover hospitalization, emergency room visits, and recuperation if you’re injured in an accident.

Life Insurance Riders

You can customize and adjust your AAA life insurance plan by getting riders or endorsements from your insurance company. A rider is an additional provision in your policy that changes or increases your coverage. You can use a rider to raise the coverage limit, add more covered people or get benefits in special circumstances.

AAA life insurance plans offer the following rider options:

Accidental Death

Adding the accidental death rider to your whole life policy will give your beneficiary up to $150,000 in additional benefits if you die from a covered accidental death. For example, a covered unintentional death could include a traffic or work accident.

Child Term

You can use the child term rider to provide coverage for up to $20,000 per eligible child.

Disability Waiver of Premium

If you add the disability waiver of premium rider to your whole life insurance policy, AAA Life will continue to cover your life insurance premiums if you become disabled.

Return of Premium

You can add a return of premium rider to your term life insurance policy which means that if you never use the coverage, you will get back up to 100% of your premiums.

Travel Accident

If you add the travel accident rider to your whole life policy, your beneficiary will receive an extra benefit if you die in a covered accident or while traveling as a passenger. You must have the accidental death benefit rider to use this rider.

Customer Service

If you have any questions about AAA life insurance, you can call AAA life insurance phone number 888-422-7020. Customer service is available Monday through Friday from 8:00 a.m. until 8:00 p.m., and on Saturdays from 11:00 a.m. to 3:00 p.m Eastern Time.

If you need to talk to someone about your life insurance, AAA Life has local agents that you can talk to. You can find an agent near you using the agent locator on their website. 

If you have general questions about AAA life insurance, you can submit a message or email [email protected]. For questions about filing a claim, email [email protected].

Aaa Life Insurance Review


The National Association of Insurance Commissioners (NAIC) keeps track of how many complaints insurance companies receive compared to their size and market share.

The NAIC considers a complaint ratio of 1.0 to be the industry average. This ratio means that for every 100 complaints a company receives, one complaint is about them. If their complaint ratio is lower than 1.0, they have less than the typical number of complaints for a company their size.

The complaint ratio for AAA Life Insurance Company was 0.93 in 2020. This rating was better than the industry average.

About AAA

AAA Life Insurance Company was founded in 1969 by the American Automobile Association (AAA). The company offers term, whole, and universal life insurance. You do not have to be an AAA member to buy life insurance from the company. However, there are some discounts for members.

AAA Life Insurance Company also sells accident insurance. However, the company offers this policy is AAA members only. The benefit level depends on how long you have been a member. The policy covers injuries and death caused by accidents, such as falling off a roof. However, the policy does not cover accidents caused by extreme sports, acts of war, or self-inflicted injuries like suicide or drunk driving.

There are three types of annuities offered by AAA. The first two have a minimum deposit of $3,000, while the third has a minimum deposit of $10,000. If you’re considering getting an annuity, you must talk to a financial advisor to help you find the right option for your retirement needs.

Other AAA insurance plans include RV, boat, condo, flood, home, motorcycle, renters, and auto insurance.

AAA life insurance Financial Strength

AM Best is a credit rating agency that gives insurance companies financial strength ratings (FSRs). These ratings show how financially sound a company is and if they are likely to pay out its life insurance claims. A strong FSR means that a company is in good shape and can follow through on its commitments.

AAA Life Insurance Company has a strong financial strength rating with A.M. Bestreceiving an “A” (Excellent) rating from A.M. Best

Before Buying Life Insurance

Before comparing companies, decide the type of policy you want. Calculate how much coverage you’ll require and how long your coverage should last. Ensure that the insurers you’re looking at offer the coverage you need. When comparing competitive life insurance rates, ensure you’re getting quotes for the same amount of coverage. Also, double-check that the policy’s medical criteria are appropriate for you.

To purchase life insurance, compare quotes from multiple companies. The research is just like when you are shopping for car insurance. You want to find the policy with the cheapest life insurance rates. That’s because the insurance is mainly for death benefit planning. Make sure to purchase life insurance from a company with an A.M. Best rating of “A-” or better.

You can get a significantly cheaper rate for life insurance for final expenses or whatever else if you shop around. In addition, you can almost certainly acquire coverage with no waiting period.

The most significant disadvantage of AAA Life Insurance is that you’re dealing with a captive insurance company. However, if you work with an independent agency, you can save up to 70% on your life insurance.

When you contact a representative, they cannot go through other insurance providers to show you one that can provide you with a better price. In essence, an independent licensed insurance agent such as The Annuity Expert will search the market for you to determine which insurance carrier offers the best rate and coverage for your specific needs.

Next Steps

AAA life insurance may be a good option if you’re looking for a life insurance policy with high coverage amounts. However, its policies can be more expensive than those of other companies. Additionally, whole-life policies are capped at $500,000, so if you need more coverage than that, you should look elsewhere. Request a quote from us to see how much money you could save on your life insurance policy. We offer twice the coverage for members.

Need Help Getting Coverage?

If you have a preexisting medical condition and want to buy life insurance, you will need help from an expert. This person can help ensure you get coverage so you don’t get declined.

Warning: Applying for life insurance without a medical exam can be risky. If you get declined coverage, it could be at least two years before you can get any life insurance.

Impaired Risk Life Insurance
Have You Been Declined Life Insurance Coverage Before?

Shawn Plummer

CEO, The Annuity Expert

Shawn Plummer is a licensed financial professional, insurance agent, and annuity broker with over 14 years of first-hand experience with annuities and insurance. Since beginning his journey in 2009, he has been pivotal in selling and educating about annuities and insurance products. Still, he has also played an instrumental role in training financial advisors for a prestigious Fortune Global 500 insurance company, Allianz. His insights and expertise have made him a sought-after voice in the industry, leading to features in renowned publications such as Time Magazine, Bloomberg, Entrepreneur, Yahoo! Finance, MSN, SmartAsset, The Simple Dollar, U.S. News and World Report, Women’s Health Magazine, and many more. Shawn’s driving ambition? To simplify retirement planning, he ensures his clients understand their choices and secure the best insurance coverage at unbeatable rates.

The Annuity Expert is an independent online insurance agency servicing consumers across the United States. The goal is to help you take the guesswork out of retirement planning and find the best insurance coverage at the cheapest rates

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