AIG is now BMO:AIG Life’s Term Life Policies: Preferred Only in the Name
AIG Life offers Term 10 and Term 20 plans which are well priced and provide some competitive advantages. Both plans are renewable to age 85, and are convertible up to age 70. The plans also allow you add a living benefit rider, thus saving the $6.75 per month policy fee.
Their Easy Term 10 plan is available without a medical; however, it should be noted that the applicant will still have to go through the traditional application process, and may require a physician’s letter.
Individuals who are in good health and have very good family health history can qualify for preferred rates; better yet, those in excellent health can get preferred plus rates.
Below are examples of AIG’s Term 10 rates on $250,000 of coverage:
Insured............Standard Rates:....Preferred Rates:
35-yr male N/S:...$20.03/month…......$14.80/month
45-yr male N/S:...$33.54/month…......$25.65/month
55-yr male N/S:...$75.38/month…......$55.80/month
Unfortunately the plan name itself is confusing. AIG refers to two of their term policies as Preferred Term 10 and Preferred Term 20, but the plan name implies that all policies are issued at preferred rates when, in fact, the majority of policies are issued at standard rates (yet still carry the Preferred Term name). In addition, the plans are not available at face amounts under $100,000—this can problematic for older applicants on a tight budget.