About AIG Direct
You may have recently watched a TV commercial for AIG Direct, a company that claims to offer affordable term life insurance that can help protect your family’s financial future in the event you pass away unexpectedly. Your interest was probably piqued because the name “AIG Direct” has a reputation as a global leader in insurance, and because of their claim that they could help you save up to 70% on your term life policy.
When it comes down to it, finding the right term life insurance policy isn’t a decision that should be taken lightly, since it could mean the difference between your family’s comfort and financial ruin in the event of your untimely demise. With this said, let’s find out whether or not you should choose life insurance from AIG Direct.
How AIG Direct Life Insurance Works
At its most basic, AIG Direct claims to provide quality term life insurance protection at affordable rates. The company claims to provide you with personalized quotes in just a few minutes, and to work directly with you throughout the approval process.
With this in mind, AIG Direct claims to offer 5 different insurance products:
- Term Life Insurance – Covers the policyholder for a specific period of time, usually 10-30 years.
- Universal Life Insurance – Covers the policyholder for life, and is considered one of the most affordable “lifetime” insurance policies.
- Accidental Death Insurance – Covers you for accidental death and dismemberment, without the need for a medical exam.
- Return of Premium Term Life – Gives you the ability to receive your premium back if you live to the end of your policy term.
- Whole Life Insurance – A type of policy with a fixed premium payment and a fixed benefit.
When you’re ready to obtain your term life insurance quote, you’ll need to enter your requested coverage amount, term length, contact information, and personal information (e.g. height, weight, nicotine use, etc.) on the AIG Direct home page. Soon thereafter, you’ll be contacted by an AIG Direct representative to help walk you through the application process (see more about this in the final section).
If you’re looking to learn more about term life insurance before handing over your personal information, the AIG Direct website also features an educational resources section where you can compare insurance products, find the best life insurance policy for you, learn more about the application process, and more.
AIG Direct Pricing
AIG Direct life insurance quotes are free and come without obligation. However, what you’ll ultimately pay depends on a wide variety of factors, including the product you choose, your age, overall health, and much more.
If you’d prefer to speak with an AIG Direct representative instead of obtaining life insurance quotes online, you can call their quote hotline at 800-294-4544.
Can AIG Direct Really Provide You with Cheap Term Life Insurance Quotes?
Putting their nationwide reputation aside, can AIG Direct help you obtain cheaper life insurance than you currently have? Possibly, but keep the following in mind:
Understand AIG Direct’s Business Model
First, keep in mind that AIG Direct is the marketing division of Matrix Direct, which is who you’ll see come across your caller ID during sales calls, and who you’ll receive emails from (more about this is a moment). In turn, Matrix Direct is owned by the American General insurance company, whose parent company is AIG.
While this can all certainly be confusing, what it ultimately means for you is that, while AIG Direct represents a total of 9 insurance companies (7 of which offer term life), the first company your “agent” will attempt to sell you on is American General. And like any other insurance product, you should never settle on the first option that’s provided, as they may not provide the best coverage based on your circumstances, or the lowest premium.
With this said, it’s important that you shop around at least 3-5 different term life companies before making your decision.
Your AIG Direct “Agent”
If you’re used to going through an independent agent for your other insurance policies such as home and auto, the AIG Direct sales process may be a little shocking to you. This is because you’re just contacting a huge call center, where your “sales agent” will be basically reading from a script and is under a great deal of pressure to meet their sales quotas to keep their job.
As a result, you may be just another number to your agent, who will probably just move on to their next customer after closing the deal with you.
With this said, if you’re looking for more personalized, relationship-based service, you’ll probably want to contact an independent agent in your area.
AIG Direct’s Life Insurance Guidelines
Next, like any other life insurance company, AIG Direct has their own set of underwriting guidelines to follow. This means that you may receive a very competitive quote initially, which could increase dramatically after your physical has been completed. As such, make sure you’re getting at least 3-5 quotes from different companies to ensure that you’re getting the lowest possible price.
Also, if it’s ultimately determined that you don’t fit within their guidelines for a term life insurance policy, your AIG Direct agent may push you to take out an accidental death policy, which has much more restrictive coverage than a life insurance policy. In other words, unless you’re specifically looking at an accidental death policy, don’t be fooled into thinking it’s anything close to a life insurance policy.
With this in mind, based on the numerous online reviews, most professionals only recommend AIG Direct Life Insurance if your health is average or better. And while the company holds an A+ rating with the Better Business Bureau, by far the most frequent customer complaints we encountered during our research referenced aggressive, high-pressure sales tactics and numerous sales calls/emails on a daily basis.
If you’re in at least average health and don’t mind not having a personal relationship with your agent, AIG Direct may be a good choice for term life insurance. However, as with any other purchasing decision you make, it’s always a good idea to shop around.
3 out 5 people found this review helpful
Trying to get the forms
I have been trying to get a name change form and a surrender form for 3-weeks and they finally sent it but to the wrong address. And when you call them you will wait on the phone for hours. They could do a lot better than what they are doing.
Bottom Line: Yes, I would recommend this to a friend