AA life insurance

Starting from £5-per-month, the AA also offered an over 50s plan, available to UK residents between the ages of 50 and 80.

This type of policy offered guaranteed acceptance to those within this age range without the requirement for any medical information.

The upper age limit of 80 was lower than the average over 50s plan upper limit of 85.

However, unlike many life insurance policies which require a policy to be in effect for a 24-month period before a payout would be made, the AA only required your policy to have been in effect for 12 months.

This meant that if you died after 12 months, a full lump sum of the insured amount would be made to the beneficiaries upon death.

If death occurred before this 12-month eligibility period, the sum of the premiums paid would be reimbursed, unless death occurs due to an accident in which case the full pay out sum would be made.

Like a lot of over 50s plans, once you reach the age of 90, premium payments ceased but your cover would remain in place until you died.

At Reassured, we compare over 50s plans quotes to help you find a good deal.

Get in touch today to receive your free quote comparison service.

Source: www.theaa.com/life-insurance

A funeral benefit option was available with all over 50s plans. This allowed you to put the cash lump sum towards the cost of your funeral and receive an additional £300 bonus.

All of the AA over 50s plans came with a funeral benefit option. This meant that after you’re gone, rather than the cash lump sum being paid to your loved ones, it’d be charged directly to funeral plan provider Dignity to arrange your funeral.

Evoking this option would also mean that upon your death, your funeral fund would receive a £300 bonus to further help towards the cost of your funeral.

If the cash sum and £300 bonus are not enough to cover the cost of your funeral, your estate and loved ones would be required to make up the difference.

If the amount within your plan plus £300 bonus exceeds the cost of your funeral, this excess would be added to the value of your estate, although may be subject to inheritance tax.

Upon taking out term-based life insurance or an over 50s plan with the AA, all new customers would’ve received a £50 M&S gift card.

The gift card would’ve been received after the 4th month of your policy providing all payments have been kept up.

Because AA life insurance policies are provided through Legal & General, if you’ve previously had a policy with them and cancelled, you’d not be eligible for this offer.

Gift cards were limited to 2 per household in any 12-month period.

NB: Gift cards detailed within this post are only offered with life insurance policies provided by the AA and not those taken out through Reassured.

There are other life insurance providers that do still offer free gifts for new policyholders, however it is important first to choose the best life insurance for you, before being swayed by free gift incentives.

As far as we could tell, taking out breakdown cover if you have an existing life insurance policy with the AA didn’t entitle you to any discount or benefits.

Whilst the AA no longer offer any form of life insurance to new customers, the good news is that insurance provider Legal & General still do.

At Reassured, we can help you compare quotes from not only Legal & General but from a range of insurers.

The cost of life insurance can vary significantly between each insurer, therefore it’s essential to compare quotes.

As mentioned, using an FCA-regulated life insurance broker, such as Reassured, would not only save you time and allow you to compare a selection of insurance providers and products, but they also offer an array of additional services (providing free quotes and without charging a fee!)

So before making any decision, why not get a comparison for a variety of options. Allowing you to make a fully informed decision on the best solution for you.