Should You Buy AARP Burial Insurance Plan?

For those who are shopping around for burial insurance, one of the most popular places for seniors is American Association of Retired Persons or AARP.

The AARP is one of the most recognizable organizations in the US, providing many benefits to its members who have reached the age of 50. One of their more popular options is burial insurance of which many of their members take advantage.

However, is this the best place to purchase burial insurance? Before you make your decision, there are some considerations that you will need to make before choosing AARP.

New York Life

The first consideration is that the insurance that AARP provides comes from New York Life. This is because AARP is a non-profit organization that is one of the largest lobbying groups in the US. With over 38 million members, the organization has plenty of resources to provide numerous benefits, one of which is providing a discounted rate from an established insurance carrier like New York Life.

Burial Insurance Plans

Burial insurance is a popular choice among AARP members and there are three major plans that the organization offers;

  • Term
  • Whole
  • Guaranteed

AARP is a good choice for seniorsThe plans run from $10,000 to $100,000 depending on your needs and qualifications. This means that you will not receive the same benefit level if you choose the guaranteed policy over the term for example. You can apply online, and most people are accepted.

Keep in mind that there are no set averages for their burial insurance plans because they will vary depending on age, gender, type of plan, benefit level, and how you answer the health questions.

So, it’s possible that two people of the same age, gender, and benefit level will pay significantly different amounts depending on their health status and lifestyle.

Pros & Cons

There are numerous benefits to choosing AARP burial insurance, especially if you do not have other coverage in place.

  • No Medical Exam
  • Reasonable Rates
  • Multiple Policy Choices
  • No AARP Membership Necessary
  • Trusted Insurance Company (New York Life)

However, despite all the advantages, AARP may not be the best place for you to get your burial insurance. So, before you make your final decision, it is important to understand two potential downsides to purchasing burial insurance from New York Life.

The rates offered are not the lowest that you can find and the premiums will rise for every five years that you own the policy. While this is standard with most insurance companies, it’s a reminder that you are not paying group rates which may be implied, if not specifically stated by AARP.

Essentially, you are getting a decently sized discount from New York Life, but you probably can find better rates from other insurance companies. All you need is just click here to compare rate online.

In the end, you may best be served by an independent insurance agent in obtaining the right burial insurance policy for your needs.

Final thoughts…

While New York Life through AARP does offer a good selection of burial insurance policies and exceptional convenience in terms of application, acceptance, and payment, most people may be better off shopping for their burial insurance.