In all my years shopping life insurance for consumers the biggest concern I have in the business continues to be the over-priced no questions asked coverage sold by NYLAARP. AARP promotes a few different products from NY Life. You should run, not walk to an independent life insurance broker like me to compare rates and details if you or your parents have NYLAARP or are looking into buying life insurance from them. NYLAARP life insurance rates are bad, buyer beware.
1. OVERPRICED FOR THE HEALTHY– If you are a healthy consumer, a non-medical, no questions asked type of plan assumes you to be very sick and therefore over charges for the coverage. NYLAARP sells this no medical type policy and does not explain the details to their customers.
2. GRADED DEATH BENEFITS – Most of the plans offered have a two year graded period which means if the insured dies in the first two years there is no death benefit paid, just a refund of premiums.
3. PRICING IS NOT FIXED – Most policies that NYLAARP sells to consumers are not fixed level pricing, they offer teaser prices to get the consumer to buy, then raise the rates after the first three to five years.
4. FULL DISCLOSURE – AARP is considered a trusted source for the senior market. If I wasn’t a savvy seasoned insurance professional with years of research, I wouldn’t know that this supposed trusted source is unfortunately taking advantage of the senior market by not explaining the drawbacks of this over priced, under valued coverage. If you or your parents are seniors and are looking for final expense coverage, its always best to shop and compare and don’t rely on one companies quote.
5. COMPARE OPTIONS – Find a trusted source to educate you and help you shop all carriers to know your options. An independent broker can compare and shop all companies to insure you get the best price and company.