American Income Life Insurance reviews complete online policy information because it still appears limited. AIL is offered for the members of credit unions, labor unions, and specific organizations in the US, Canada, and New Zealand. It will show the price of the coverage along with other information that is usually provided by one of the independent agents in the AIL network.
AIL (American Income Life) primarily offers coverage to be built out and the applicant just can purchase in AIL agents. However, it adds unique supplemental coverage options to be chosen. Unluckily, AIL gets a downgraded rating for its financial strength as it received twice as many consumer complaints as expected last year.
AIL Company Profile, Pros, And Cons
American Income Life Company was founded in 1951 and is based in Waco, Texas. But, AIL can be visited all across the US, Canada, and New Zealand. The insurer is a wholly-owned subsidiary of Global Life that primarily serves working-class families. American Income Life Insurance reviews offer accident insurance, life insurance, and supplemental health insurance.
AIL serves members of labor unions, credit unions, various associations, and their loved ones by providing term and whole-life insurance policies. The policies are offered for families, individuals, and single parents. AIL provides customer contact at 800-433-3405, an email address at [email protected], and the official website at www.ailife.com. The insurer is operated from Monday to Friday from 8 a. m to 4.30 p.m.
What are the pros of American Income Life Insurance? AIL provides nationwide coverage in 49 states of the US and even international coverage in New Zealand and Canada. The first benefit of AIL ensures the applicant can obtain a policy wherever he/ she lives. Even, the policy in New York is underwritten by AIL’s subsidiary company, National Income Life.
Secondly, the American Income Life insurer gives complimentary riders at no extra charge for the terminal illness rider. AIL also offers accidental death and dismemberment (AD&D) coverage on many coverage policies and it may be complimentary depending on the group and policy.
AIL asks for the policyholders to work with an agent directly as the online information is still limited. It implies the applicant cannot buy any policy or check the coverage option before working directly with a local independent agent. Some people regard the structure of all AIL’s agent programs resemble multi-level marketing (MLM) operations.
The insurer gets a serious lack of transparency so it makes the applicant will find a though to time figure out coverage limits, pricing, and policy options. Alongside that, the features of current policies are decided without speaking to an agent.
Due to very little online information, there is no online pricing or quote information. Besides no online quotes and pricing, AIL’s website also does not show pricing examples or charts. American Income Life Insurance reviews claim AIL got an A financial strength rating from AM Best Ratings. But, it was downgraded in 2020 and started causing some concerns.
4 Plans in American Income Life Insurance Firm
American Income Life insurer provides four plans to the members of various groups and unions. It can determine the feature for the members and the coverage limits as the option may vary greatly.
Term American Income Life Policy
The term life insurance in AIL is offered 10, 15, 20, 25, or 30 years of temporary life insurance coverage. It will protect the beneficiaries financially when the applicants were to pass away. Although the term life has limited coverage, it is less expensive than whole life coverage with the same death benefit.
The applicant may payout as a monthly or in a lump sum benefit amount. The term policy of AIL requires a medical exam from the applicants when buying term coverage. If they want to determine the available coverage limits, the applicants must speak with an agent.
AIL’s term life policy is recommended for a homeowner with a mortgage, young couples or families (approaching marriage or childbirth), retirement planning, and someone with debt. Besides that, the term coverage includes some features like guaranteed rates, renewable, convertibility, and terminal illness rider.
AIL’s Whole Life Insurance Plan
The whole life insurance in American Income Life Company also needs a medical exam before purchasing. This permanent whole life policy will last the rest of your life but the dividends are not paid to the applicants. To apply for the policy and determine the coverage options, the policyholder has to work with an agent too.
American Income Life Insurance reviews said the whole life term is recommended for people a lifelong dependent. For example, it is the applicant with a special needs child and it can be alive without guaranteed financial and care about the parents die. People who have exhausted the traditional investment channel. The policyholders want to leave an inheritance for their heirs and they are with wish to preserve the value of their estate.
Whole life insurance by AIL has some features like lifelong coverage, guaranteed level premiums, and build cash value. The guaranteed level premiums will remain the same as long as the ownership of the whole life policy. It keeps applying even if the applicant’s health changes over time.
Children’s Life Insurance Program (Head Start)
It is a Head Start policy offered by American Income Life as a children’s whole life insurance product. Permanent insurance is provided for children up to 17 years by offering more coverage purchasing options without proving insurability.
Supplemental Health Policies
The fact supplemental health coverage is overlapped with many optional riders and life insurance policies. It is overlapped with accident policy, critical illness policy, cancer protection plan, and hospital indemnity plan. However, it requires the terms, conditions, exclusions, and availability that may vary. Therefore, speak with the agent pretty learn what’s available and exactly what it covers.
In addition, the critical illness on the Supplemental Health Policies includes stroke, kidney failure, heart attack, complete loss of eyesight or hearing, and major organ transplantation. The major organ transplantation includes liver, heart, pancreas, kidney, bone marrow, or lung. Cancer insurance also includes a type of critical illness insurance. But, it is aimed to offset the financial burden of cancer illness by giving one-time benefits if it develops life-threatening cancer.
American Income Life insurance reviews add it offers lower coverage limits to cover any applicable final expenses. It implies the final expenses can cover funeral and burial expenses, medical bills, or other immediate needs. The policy with another name the Freedom of Choice plan allows the applicant to choose a funeral home as the beneficiary. It also allows saving time and stress for the beneficiaries when the time comes.
American Income Life Insurance Of Additional Rider Insurance
AIL insurer provides two kinds of rider insurance policies including Accidental Death and Dismemberment (AD&D) and Terminal Illness Rider. The AD&D is eligible policyholders by giving to their loved ones when the applicants pass away because of a covered accident. The Accidental Death and Dismemberment will protect the riders if they are permanently injured or maimed.
Next, the terminal illness rider is at no additional charge and allows the riders to access up to 50% of your policy’s death benefit. But, it applies if the riders are diagnosed with a terminal illness with a life expectancy of fewer than 12 months. The rule is applied for 24 months in Illinois, Massachusetts, and Washington.
Price Of American Income Life Insurance
AIL provides various life insurance coverage costs greatly according to the individual factors. Equal to general life insurance companies, the price is impacted by age, gender, location, policy features/ options, tobacco use, coverage limits, marital status, and even the participated group in the member. American Income Life Insurance reviews inform on the term policy is more affordable than whole life coverage. The lover coverage limits the cheaper the policy will be paid.
Outside prior qualification, AIL carriers calculate policy premiums based on birth biology. The policyholders as transgender or binary can qualify for coverage but many insurers’ life insurance haven’t updated their underwriting processes and applications to this case. Remember, each applicant needs to contact the local agent to know a personalized cost for coverage as AIL does not show it online.
Complain Index, Rating, And Cancelation Policy
The complaint Index is one way to measure AIL’s reliability and customer satisfaction. The National Association of Insurance Commissioners uses the number to demonstrate the relationship between consumer complaints received that year and their size.
The industry average is 1.00 adjusted for each market share. If the company has a complaint index below 1.00, it implies the insurer received fewer consumer complaints than expected. If it reaches above 1.00, the company got a lot of the average number of complaints.
In 2020, AIL got a complaint index of 2.12 or it received more than double the national average size and market share. The fact equated to 33 total consumer complaints for the year. Even, though AIL got a complaint index of 2.35 in 2019, in 2018 it just got 1.51.
AIL’s Rating By Third-Party Organization
Due to the complaint index rate, AIL recently got downgrade ratings assigned by AM Best Rating agency. AM Best rating gauges are based on the financial strength and how much the company can payout on policy claims to the customer in the years to come. American Income Life Insurance reviews stated the insurer was downgraded from an A+ (Superior) financial strength rating in 2020.
AIL got a downgrade rating from the third-party organization (AM Best) as it received a lot of consumer comments. They mention the concern more about the customer services besides the policies themselves.
Term life policy in American Income Life Insurer is much easier to cancel than the permanent whole life plan. AIL allows the policyholders to cancel their life coverage by speaking with a customer representative or an agent by calling the customer contact.
Besides that, the applicants can cancel their policies by only stopping paying the policy premium payment. It will automatically cancel the policy. The eligible recipient will get a portion of the policy’s cash value back but it minutes a surrender fee.
The Bottom Line
American Income Life Insurer goes public full of controversy as it brings pros and cons. The insurer does not utilize the online facility to increase the life insurance plan offered though it has spread out to some countries. Seemly, the company wants to direct the customers to meet the agent so they can make a deal immediately.
So, does AIL include a recommended life insurance company in 2022? Everything depends on your need as the company has provided some life coverage plans. Although it gets a low rating, AIL still has a lot of benefits in each life insurance plan. If you are still unsure about the American Income Life Insurance reviews today, do not bother to call customer services. They will serve you properly until getting the best answer and choice. Good luck!