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AIG Life Insurance Review
By Aja McClanahan MONEY RESEARCH COLLECTIVE
American International Group, Inc, known as AIG, is a financial services company that offers property-casualty insurance, life insurance, retirement solutions, and other financial services for individuals and businesses.
In March of 2022, the company announced plans to rebrand its life insurance and retirement planning under the name Corebridge Financial. The $14 billion company went public this year under the ticker CRBG.
If you’re considering AIG for your life insurance needs and want to know more about the company’s insurance coverage, pricing, and industry standing, here’s more information to help you make a decision.
AIG life insurance overview
AIG’s credentials
AIG’s accessibility
AIG’s customer satisfaction
AIG life insurance FAQs
How we evaluated AIG Life Insurance
Summary of Miami Herald’s AIG review
AIG life insurance overview
AIG is known for offering many financial products and services, but they are especially well known for their life insurance policies. Here’s a breakdown of what they offer.
What it offers
Here are the highlights of AIG life insurance’s offerings:
- Term life insurance
- Universal life insurance
- Whole life insurance
- Guaranteed issue whole life insurance
- Accidental death insurance
Term life insurance
AIG’s term life insurance policies are best for those needing maximum insurance coverage at an affordable price. One feature of AIG’s term insurance that stands out is the “select-a-term” feature that gives you up to 18 term options. In other words, you’re not bound by a 5-,10-, 20- or 30-year term for a policy. Instead, you can choose an amount of coverage for an amount of time that works for whatever stage of life you are in.
For instance, if your goal is to have a term life policy to pay off your home in the event of your death, you can choose an amount and duration that matches that goal. There are other scenarios this applies to, such as retirement or single parents concerned about college tuition for their kids. AIG’s term life policies can also be converted to permanent coverage without proving insurability with a physical exam or having to meet other medical requirements.
Here are some of the riders (additional insurance options) available with AIG’s term life policies:
- Terminal illness accelerated death benefit rider
- Accidental death benefit
- Child rider paid out to the parent in the case of a covered child’s death
- Waiver of premium in the case of income loss
Permanent life insurance options
AIG offers three permanent life insurance products: universal life insurance and guaranteed issue whole life. Universal insurance offers lifetime protection as long as premiums are paid. This policy also accrues a cash value that policyholders can borrow against.
The guaranteed issue whole life policy is much like burial insurance in that the coverage amounts are lower and no physicals or exams are required. This policy works well for those who need life insurance but can’t qualify based on age or health status. The death benefit is often used for final expenses, with coverage ranging from $5,000 to $25,000. There are also provisions for living benefits such as for a return of premiums and accelerated death benefits upon incapacitation or terminal illness.
Finally, AIG offers an indexed universal life insurance policy that allows policyholders to invest in certain stock market indexes. AIG offers a few versions that allow policyholders to choose a combination of investments, risk levels and returns that they prefer.
What it doesn’t offer
AIG’s website mentions that some products and services may not be available in all states and that some product features may vary by state. Additionally, the company that provides insurance policies for AIG, American General Life Insurance Company, does not solicit, issue or deliver policies or contracts in the state of New York. Also, in Pennsylvania, AIG products are only offered through online sales.
AIG life insurance cost
The AIG Direct website advertises a term life insurance policy of $250,000 for as little as $14 per month. However, this amount may vary based on factors such as:
- Age
- Sex
- Term
- Coverage amount
- The presence of certain health conditions
You should complete the online quote form with all of your demographic information for a personalized quote. AIG may require you to submit to a medical examination in order to approve and underwrite your policy.
AIG’s credentials
AIG was founded in 1919 under the name American Asiatic Underwriters, an insurance agency to which AIG traces its roots. Then in 2007, AIG’s life insurance business purchased a large insurance broker, Matrix Direct, Inc. Now, this entity handles direct sales of AIG and other carriers’ life insurance products under the name Corebridge Financial, which is headquartered in Houston, Texas.
Licenses and registrations
AIG is licensed by the state departments of insurance where it sells insurance products. These licenses cover the sale and distribution of insurance policies with several affiliated and unaffiliated insurance providers.
To get state-based license numbers and additional information about AIG’s licenses, you can search on the National Association of Insurance Commissioners website (NAIC). AIG also maintains a list of state-specific license numbers and registrations for each jurisdiction where it does business on its legal notice page.
Awards and certifications
AIG’s accolades and accomplishments include:
- Customer Experience Excellence Award from DALBAR (2022)
- Named #1 in the Insurance Sector Overall by Institutional Investor (2023)
- Named in the top 50 of most community-minded by Points of Light (2022)
Regulatory or legal actions
Like any international, multi-billion dollar operation, AIG has been the subject of a number of lawsuits and allegations. A few highlights include:
- Recently settled a $970.5 million settlement with investors who accused AIG of misleading them during the subprime mortgage crisis
- In 2006, AIG paid $800 million to settle securities fraud charges by the SEC
- In 2020, AIG reached a settlement with the U.S. Department of Justice regarding a tax shelter lawsuit involving the use of bogus foreign tax credits.
AIG’s accessibility
Like most large companies and insurers, AIG offers several methods of contact. Here are ways you can connect with the life insurance company and what to expect when you do.
Availability
AIG’s agents and brokers are available Monday through Friday from 6:00 am to 6:00 pm (PST) and on Saturday from 7:00 am to 4:00 pm (PST).
Contact information
You can reach AIG’s sales department at (800) 294-4544 and the customer department at service at (888) 517-9797.
User experience
AIG’s insurance division is in the process of rebranding its website and marketing materials. You can visit www.CoreBridgeFinancial.com for information on life insurance products, but in many cases, you’ll be redirected to www.aigdirect.com to complete an online quote form. Customers may also manage their insurance accounts online through the AIG customer service portal.
Limitations
AIG doesn’t have a smartphone app that allows customers to manage their accounts. Online servicing only seems to be available through an internet browser-based platform.
AIG’s customer satisfaction
As part of our review process, we typically refer to customer review sites such as the Better Business Bureau (BBB) site, Google Business, Yelp and Trustpilot. However, due to the decentralized nature of AIG’s insurance operations, with many agents and brokers in many locations, there aren’t many reliable online company profiles or reviews to reference.
However, we know that AIG was evaluated as part of J.D. Power’s Overall Customer Service Satisfaction study for companies offering individual life and annuities in 2022. Of the 23 participants that were rated for insurance, AIG ranked 20th with 744 out of 1,000 possible points. For the annuities portion of the report, AIG ranked 5 out of 16, earning 803 out of 1,000 points.
AIG life insurance FAQs
How we evaluated AIG Life Insurance
To create this review of AIGs life insurance products, we consult several sources, including the company’s own website, third-party review sites, consumer advocacy and watchdog organization sites, and government regulatory sites.
Summary of Miami Herald’s AIG review
AIG offers a standard slate life insurance options you’d expect from a global insurance conglomerate. For the average consumer without super sophisticated needs, AIGs offerings should be sufficient.
We do like the fact that AIG’s agents often operate as brokers, too. This means they can offer quotes from several insurers, which can help if they don’t have the best coverage at the best price, they can connect you with a company that does. It should also be noted that many of AIG’s life insurance policies come with options for additional riders and living benefits for a small fee.
If you need help choosing a life insurance partner, check out our guide to the best life insurance companies.
Aja McClanahan is a writer that covers personal finance and a number of related topics. Her work and personal story of paying down over $120,000 in debt have been featured in publications around the web including sites like Money, CreditCards.com, Business Insider, Inc., Experian and many others.