Important: AARP is a brand license, not an insurer
AARP does not underwrite life insurance. AARP is a nonprofit advocacy organization that licenses its brand to New York Life Insurance Company in exchange for member access. Products marketed as "AARP Life Insurance" are New York Life products marketed exclusively to AARP members (membership $16/year, ages 50+). Independently shopping the broader market across multiple A-rated carriers often produces better rates for the same applicant.
Quick answer
AARP does not underwrite life insurance. AARP is a nonprofit advocacy organization that licenses its brand to New York Life Insurance Company. "AARP Life Insurance" products are New York Life policies marketed exclusively to AARP members (membership $16/year, available ages 50+). The two main AARP-branded products are Permanent Life Insurance (a guaranteed-acceptance whole life policy) and Level Benefit Term Life. Both are New York Life products with the AARP brand applied.
As the largest nonprofit organization in the United States, the American Association of Retired Persons (AARP) charges its members a monthly fee of $16. In exchange, you receive discounts on restaurants, travel, even healthcare providers.
AARP also provides life insurance through a 3rd party. It’s important to note that you must be an active member in order to be eligible for their life insurance plans.
Two things you need to know about AARP
The first thing you need to know before buying life insurance from AARP is that they do not write their own policies.
All of AARP’s life insurance policies are written by New York Life.
It’s worth noting that New York Life is a reputable company in the world of insurance. In addition, they are the third largest life insurance company in the United States and boast an A+ BBB rating. (Although they are not currently accredited by the BBB at the time of publication.)
AARP’s New York Life policies are all sold as exclusives for their members.
Their offerings do carry a lot of positives. It’s worth noting though that they tend to be more expensive than many other options available on the market. So, it pays for you to understand their offerings and do some shopping around on your own.
If you’re considering buying a life insurance policy from AARP, you should dig into what they’re really offering. Here’s a helpful breakdown of all the policies they are offering:
The four AARP life insurance plans
1. AARP Level Term Benefit Life Insurance
Policy Details
Basic term policy offering, which carries a level death benefit and lasts until the insured turns 80. Their term policy ranges from
Coverage amounts of $10,000 to $100,000 of coverage
Doesn’t require a medical exam. As another benefit
There are only three yes or no qualifying questions
The three qualifying questions:
In the past 2 years, have you had treatment or medication for or been diagnosed by a doctor as having heart trouble, stroke, cancer, lung disease or disorder, diabetes, liver or kidney disease, AIDS, AIDS-related complex, or immune system disorder?
In the past 2 years, for any condition, have you been admitted to or confined in a hospital, sanitarium, nursing home, extended care, or special treatment facility?
In the past 3 months, have you consulted a doctor or had treatment or diagnostic tests of any type?
What you need to be careful about with these policies are the premiums.
At first, they are affordable but they slowly rise every five years over the policy’s lifespan.
While it doesn’t require a medical exam, it also means that the policy will be more expensive than what is available from other providers.
| Positives | Negatives |
|---|---|
| No medical exams | More expensive to get more coverage |
| Only three easy questions to answer | Premiums slowly increase every five years |
| Premiums stay level based on the applicant’s initial age | Term length expires at age 80 |
2. AARP Permanent Life Insurance
Policy Details:
Offers up to $50,000 in permanent coverage.
No medical exam is required.
Premiums are level and never increase over the policy’s lifespan.
The policy stays in force as long as the insured is alive.
Monthly premium payments cease at age 95.
Grows a cash value that the insured can borrow against.
Unfortunately, the biggest hang up with their permanent policy is more expensive than many other permanent offerings on the market. Meaning, AARP’s policies might not be the most affordable option if price is at the forefront of your search.
| Positives | Negatives |
|---|---|
| No medical exam required | More expensive than other options |
| Guaranteed permanent coverage | Cash value growth is slower than many comparable policies |
| Grows cash value |
3. AARP Guaranteed Acceptance Life Insurance
Policy Details:
Carries a maximum permanent benefit of $25,000
No medical exams required.
No health questions to answer.
Graded death benefits for the first two years.
With a guaranteed acceptance coverage insureds run the risk of outliving their policy. In other words, insureds may wind up paying more in premiums than their death benefit is actually worth.
Here’s a helpful formula to see how long until it will take to outlive your policy:
Death Benefit/(Monthly Premium x 12) = How Many Years Until You Outlive Your Policy
If you don’t want to run the risk of outliving your policy, you may want to consider other coverage options instead.
| Positives | Negatives |
|---|---|
| Guaranteed coverage | More expensive coverage |
| Easy application | Limited benefits for the first two years |
| Grows cash value | Insured runs the risk of outliving policy |
4. AARP Young Start Life Insurance
Policy details:
Provided for children or grandchildren of AARP members.
Carries a maximum coverage amount of $25,000.
Does not require a medical exam.
Only requires answers to general health questions.
Stays in force after the parent passes away, as long as:
The policy has been in force for more than 2 years.
The child is under 21.
The child becomes the policy’s beneficiary after age 21.
| Positives | Negatives |
|---|---|
| Low rates for children | Premiums will vary based on the child and their response to medical questions |
| No medical exam | |
| Rates won’t increase for the child |
It pays to compare life insurance rates
If you are an active AARP member and you enjoy the benefits you receive, getting life insurance through them may seem like an obvious choice.
However, it doesn’t cost anything to run a quote and compare other providers. Instead, you could save hundreds of dollars a year, for the same coverage, with the same benefits.
Frequently Asked Questions
Does AARP sell life insurance?
No. AARP does not underwrite life insurance. AARP is a nonprofit advocacy organization for adults age 50+, founded in 1958. AARP licenses its brand to various insurance and financial services partners in exchange for member access. For life insurance specifically, AARP's exclusive partner is New York Life Insurance Company, which underwrites and administers all "AARP Life Insurance" products.
Who underwrites AARP life insurance?
All AARP-branded life insurance products are underwritten by New York Life Insurance Company, an A++ rated mutual life insurance carrier founded in 1845. New York Life is one of the largest U.S. life insurers with over $700 billion in assets under management. The AARP brand provides the marketing channel; New York Life provides the underwriting, financial strength, and policy administration.
Do I need AARP membership to get the life insurance?
Yes. AARP Life Insurance products are available only to active AARP members. AARP membership costs $16/year ($63/year with discounts for a 5-year prepayment) and is open to anyone age 50 or older. Spouses and partners of AARP members can also be covered under some AARP Life products. If you let your AARP membership lapse, your AARP-branded life policy may be affected; confirm with New York Life before letting membership expire.
What AARP life insurance products are available?
AARP offers two main life insurance products through New York Life: (1) AARP Permanent Life Insurance - guaranteed-acceptance whole life with no medical exam or health questions, available ages 50-80 with coverage $5,000-$50,000 and a 2-year graded benefit period. (2) AARP Level Benefit Term Life Insurance - level term coverage with no medical exam (simplified-issue), available ages 50-74 with coverage $10,000-$100,000 and 10-year level term.
Is AARP Permanent Life Insurance a good deal?
AARP Permanent Life is competitive within the guaranteed-acceptance whole life category (a niche product for applicants who would be declined by simplified-issue underwriting). However, applicants in average or better health can usually find better rates by shopping simplified-issue final expense from Mutual of Omaha Living Promise, Foresters PlanRight, or Gerber Life, which offer day-one benefits without the 2-year graded period AARP's policy includes.
How much does AARP Life Insurance cost?
Sample monthly rates for an AARP member: 65-year-old female buying $10,000 AARP Permanent Life, around $52-65/month. Same applicant buying $50,000 AARP Level Benefit Term, around $80-110/month for a 10-year term. AARP-branded life insurance pricing is competitive but generally not the lowest available. Insurancy can shop the broader market across multiple A-rated final expense and senior term carriers and often produces better rates for the same applicant.
Is AARP Life Insurance better than other senior life insurance?
It depends on the applicant's health. For applicants with serious health conditions who would be declined by simplified-issue underwriting, AARP Permanent Life is reasonable because it is guaranteed acceptance. For applicants in average or better health, simplified-issue final expense from Mutual of Omaha Living Promise, Foresters PlanRight, or Gerber Life typically offers better rates, day-one full death benefits (vs. AARP's 2-year graded period), and the same or better A.M. Best ratings.
What is the 2-year graded benefit period on AARP Permanent Life?
The AARP Permanent Life policy (and most guaranteed-acceptance whole life policies) includes a 2-year graded benefit period. If the insured dies of natural causes during the first 2 years, the death benefit pays only premiums paid plus a percentage (typically 110-125 percent) - NOT the full face amount. Accidental death is covered at the full face amount from day one. After the 2-year period, all causes of death are covered at the full face amount.
Can I get AARP life insurance with no medical exam?
Yes - both AARP Life Insurance products are no-medical-exam. AARP Permanent Life is guaranteed acceptance with no health questions at all (just age verification). AARP Level Benefit Term Life is simplified-issue with a small set of health questions but no paramedical exam. Both use accelerated underwriting via prescription history and basic verification rather than blood draws or physical exams.
Should I buy AARP Life Insurance or shop independently?
For most applicants, shopping independently across multiple A-rated carriers produces better outcomes than buying the AARP-branded product directly. The reason: AARP's exclusivity with New York Life means you only get one carrier's rates and only one set of underwriting criteria. An independent broker can shop your application across multiple A-rated carriers (Mutual of Omaha, Foresters, Gerber, Aetna Accendo, Corebridge) and find the most competitive rate for your specific age, health, and coverage needs. The AARP brand recognition does not produce a pricing advantage - it just provides marketing reach to the 50+ demographic.
