
What is a life insurance policy?
A life insurance policy provides financial support to your loved ones after you die. When you buy a life insurance policy, you pay monthly or annual premiums, just like you would for auto or homeowners insurance. When you pass away, the insurance company pays a lump sum or regular payments to your beneficiaries (the people you chose to receive the payout).
If anyone depends on you financially, you may want to buy life insurance. That way, your loved ones can take care of your funeral costs, as well as house payments and other living expenses.
When should you get life insurance?
There are benefits to buying life insurance as early as possible. If you purchase a policy when you’re young and healthy, it’s typically a lower premium cost. Hopefully you’ll live a long life, but if you pass away at a younger age, your beneficiaries can use your life insurance to help pay off any debts. If you share a mortgage with your spouse or are a cosigner on a loan, for example, your loved ones won’t be stuck paying those off on their own.
When you experience a major life event—marriage, the birth of a child, or divorce—it’s important to review your policy and make any necessary changes to your beneficiaries. When you have a child, for instance, you may want to increase your death benefit to help your partner cover child-related costs, including future education expenses.
After age 60, life insurance admittedly tends to get more expensive. However, buying final expense life insurance can be helpful to cover end-of-life expenses such as funeral costs.
AAA Life Insurance Products
AAA Term Life Insurance
- Typically provides coverage from 10 to 30 years
- Policy does not build cash value
- Initially is the most affordable coverage option
- Provides permanent coverage
- Policy grows cash value that the policyholder can use for emergencies and to supplement retirement
- Offers fixed level premiums
AAA Universal Life Insurance
- Provides permanent coverage
- Policy grows cash value that the policyholder can use for emergencies and to supplement retirement
- Offers flexible premium structure
.
What’s the difference between term, whole, and universal life insurance?
With life insurance, you have options. Compare policy types to find the best fit for you and your family.
Term | Universal | Whole | |
---|---|---|---|
Coverage Amounts | $25,000 to $5 million+ | $100,000+ | $5,000 to $75,000 |
Coverage Period | 10, 15, 20, & 30 years | Permanent | Permanent |
Premiums | Competitive premiums | Flexible premiums | Guaranteed level payments1 |
Medical History | May require health screening | May require health screening | May require health screening |
Ages | 18-75 (renewable to 95) | 0-852 | 18-852 |
Options | Extra protection for every child you have; disability waiver of premiums rider | Waiver of monthly deductions rider; child term rider; disability waiver of premiums rider | Travel accident rider; child term rider; disability waiver of premiums rider |
Get Your AAA Life Insurance Quote
Why Choose AAA Life Insurance?

The Coverage Confidence of AAA
Thinking about life insurance can be uncomfortable. But getting sufficient life insurance coverage is an important way to take care of your loved ones after you’re gone. Make sure they’re protected with the coverage confidence that comes with the brand you already know and trust.
Get Answers to Your Life Insurance Questions

If you're a parent, a spouse, or a homeowner, you probably should have life insurance.

Get tips and facts on the different types and how beneficiaries work.

Here's what to expect and how to save when shopping for a policy.