LAST UPDATED: August 19th, 2021

The American Association of Retired Persons (AARP) focuses on helping seniors in the United States through advocacy and support. If you're an AARP member, you can receive discounts on products and services.

The AARP also partners with companies that offer specific products geared for senior citizens. For example, the AARP offers life, dental, and health insurance in partnership with other companies.

The AARP offers term and whole life insurance for seniors through New York Life Insurance Company. It offers group life insurance coverage exclusively for AARP members, making these policies different from the other policies and services provided by New York Life Insurance Company. Applicants can apply for life insurance and AARP membership at the same time if they are not already members.

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The AARP is a United States-based nonprofit organization for people who are 50 years old and older. Interested parties have to fill out an application and there is an annual membership fee that is as low as $16.

AARP was founded in 1958 and has grown from an association for retired teachers to an organization with more than 37 million members. AARP provides information, resources, discounts, and benefits to their members in a wide range of categories, including discounts, membership, job resources, Social Security, Medicare, health, and caregiving.

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The Good

  • High Financial Strength
  • Level Benefit Term Life Insurance
  • Permanent Life Insurance
  • Easy to Qualify
  • Special Features

High Financial Strength

AARP does not issue the life insurance policies carrying its brand, New York Life does. 

New York Life has received high financial strength ratings from A.M. Best, which indicates its financial stability.

New York Life's high financial strength ratings make the AARP's branded policies a life insurance option worth considering.

Level Benefit Term Life Insurance

With the Level Benefit Term life insurance product, AARP offers $10,000 to $100,000 of coverage. To be eligible for this life insurance coverage, AARP members must be ages 50-74 years old. Spouses of AARP members can also qualify for this insurance coverage between ages 45 and 74.

Unlike other term life insurance policies, the premium payments with the Level Benefit term life insurance policies are subject to change. The life insurance premiums also increase in five year age increments for policyholders (ages 45-49, ages 50-54, etc.).

Permanent Life Insurance

AARP's permanent life insurance offers $5,000 to $50,000 of life insurance coverage. While the level of coverage is substantially less than AARP's term life insurance, it also has the ability to build cash value.

Another advantage is that the premium payment does not change. AARP's permanent life insurance policy can be purchased until AARP members reach age 80.

Payments for permanent life insurance end at age 95, but coverage remains for your entire life.

No medical exam is required for either type of policy and acceptance is based on the applicants' answers to three health questions. There is also no waiting period. AARP also offers a limited life insurance policy (also through New York Life) with guaranteed acceptance.

Easy to Qualify

All of the AARP's life insurance policies do not require a medical exam, though they do require answers to health questions. This makes it easier to be accepted.

However, because there is no medical exam requirement, policyholders may pay slightly higher premiums. However, this is typical of life insurance policies that do not require a medical exam.

It's also important to remember that purchasing life insurance through the AARP provides access to group life insurance rates. Group rates are often cheaper than individual life insurance premiums.

Special Features

Both AARP's term and permanent life insurance policies include an accelerated death benefit in the even of terminal illness and a premium waiver for certain cases of long-term care in a nursing home.

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The Bad

  • Insufficient Customer Insight
  • Policy Limitations
  • Tricky Website
  • Restricted Policy Types

Insufficient Customer Insight

There are not many AARP life insurance reviews on BestCompany.com. With so few reviews, general conclusions about customer satisfaction or the customer experience are not available.

However, of reviews received, the AARP has a majority positive reviews.

Reviewers express satisfaction with their life insurance rate, coverage option, and customer service.

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Customer Review: Phillip Scott from Tuscola, Texas

"Price for insurance for my age group was lower than other companies,it was quickly approved and premium taken from my account automatically each month"

Although it has recieved a majority of positive reviews, AARP life insurance has also received a few negative reviews. These reviews express difficulty with communication and with the claims process.

Policy Limitations

Benefits for an AARP life policy are limited during the first two years of the insurance policy.

For example, a death benefit will not be paid to the beneficiary of the policy in cases of suicide within the first two years.

Tricky Website

AARP offers their members an incredibly wide range of products and services, and the website is therefore very dynamic and difficult to navigate. There are dozens of categories to choose from and there are advertisements mixed in with the links.

On the main webpage alone, there are over two dozen header and sidebar links for everything from membership benefits to job resources to daily news highlights and much more.

Because there is so much information and so many offers for members, AARP's life insurance products are not mentioned on the main page or even the main benefits page, and can only be found by digging through the full list of member benefits or through a sitewide search.

However, once members link to the AARP New York Life website, the information is direct, easy to find, and answers nearly all the questions members may have.

Limited Policy Types

AARP offers their members only two life insurance policy types and coverage amounts are restricted for each one. Members can contact New York Life for insurance policies with higher coverage amounts, but they will not receive the AARP group coverage rates, which means that they may pay higher premiums.

While it makes sense that AARP's life insurance products will be different for the older demographic they are serving, members should keep in mind that they may qualify for better coverage elsewhere.

Life insurance premiums are affected by the amount of coverage purchased. Individuals interested in AARP life insurance should evaluate why they are purchasing life insurance. Do you just need coverage for final expenses and money to pay for funeral costs?

Even purchasing a minimal amount of insurance helps protect the financial stability of your family and friends who would otherwise pay the cost of your funeral in full.

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The Bottom Line

AARP is a nonprofit organization focused on the interests and lifestyles of people ages 50 years old and older. It offers a wide range of products, services, benefits, and discounts to their members, including three basic life insurance products.

Whether you are looking for a term life policy or a permanent one, you can get an AARP life insurance policy.

The term coverage amounts extend up to $100,000 and are in effect until age 80. The premiums go up as the policyholders age, however. Keep in mind that you may live past 80. If you do, your life insurance plan will no longer be in effect. This is the main disadvantage of buying a term life insurance policy. If you go this route, you may want to have other arrangements in place for funeral expenses just in case.

The permanent coverage amounts go up to $50,000 and are in effect for the lifetime of the policyholder as long as premium payments are made. AARP life insurance plans through New York Life can be a good option for senior citizens.

Be sure to read reviews of both New York Life and AARP life insurance to understand the experience each company offers. You should also understand the limitations of a policy before you make a purchase.

The AARP website is full of information and links to resources, but that also makes it difficult to navigate, and the life insurance information is particularly hard to find. However, once members reach the AARP New York Life website, all the information they will need is easy to find and clearly displayed.

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Jmarsh Macomb, MI

What I have liked most about AARP is that they offer free quotes within reason for life insurance policies. They promote affordability for the common household. The staff has been courteous and professional and my family is secure for the future.

1 month ago

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Johnson3307 Houston, TX

I purchased a $15000. Life insurance policy for my 62 yr old mother at the time. The program was affordable when I started the policy but increased in price at age 65, 70, 75 every 5 yrs. I paid on this policy for more than 10 years and became unemployed for a short time and lost the policy. Now I understand why having a cash value policy can have it’s benefits.

1 year ago

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Jessica Mansfield, OH

I am actually the granddaughter of a customer. My grandmother had term life with the clause for a nursing home waiver. Well she had a stroke, and ended up in a nursing home. When I called to find out what I needed to send in for the waiver. I was told she had to be in the nursing home 6 months before applying for the waiver (this is NO WHERE in the policy paperwork) no one else was able to do it for her (despite her being half paralyzed after a stroke, yeah she feels up to talking on the phone) and her premiums had to be paid in full for those 6 months (despite the nursing home taking all of her money for her care) Just another money grab from some of the populations most vunerable. Please do not fall for this joke of a company. Find one like Western and Southern that, even if the rates are a bit higher, are sooo much more caring.

2 years ago

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B Orlando, FL

I'll never get this insurance to cover my family after seeing first hand how this insurance company is handling a claim of a close relative of mine. If a person dies in under two years of their claim I understand they have to make sure that everything is on the up and up. However when you go looking for stuff that isn't there to the point you start looking for any and everything to deny a claim then that's a problem, and devastating for families who are already grieving, so keep that in mind AARP if anyone connected to this company is reading this. It's absolutely disgusting and immoral. Before you get this insurance I suggest people do their research. Anything that sounds too good to be true, it usually is. Consumer Complaints is a good site to start. Kids, don't let your elderly parents fall for this without you looking over everything first.

4 years ago

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Phillip Scott Tuscola, TX

Price for insurance for my age group was lower than other companies,it was quickly approved and premium taken from my account automatically each month

1 year ago

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Douglas Moore Jr Detroit, MI

they are a very exceptional company that help seniors like myself, they keep you up to date about everything that senior citizen could want to know

1 year ago

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Debra Broussard, PMP College Station, TX

My grandfather had a policy there and when he passed away, they were great to work with.

1 year ago

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Ulyssis Los Angeles, CA

Great service...easy to get a hold of. Representatives are always helpful when you have questions.

1 year ago

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Bill Spunder Beaufort, SC

Very competitive rates and helpful for senior citizens. Answered all my questions clearly .

1 year ago

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