AA Life Insurance UK Cover Review

Various life insurance products are available, including level term, decreasing term, and 50-plus.

AA life insurance is available from Automobile Association Insurance Services Limited and is provided by Friends Life Limited.

This saves you time and effort, so you can focus on making a policy decision rather than looking for coverage. We compare AA life insurance policies to find the best deal for you.

Compare AA Against Other Leading Life Insurance Companies. Get The Best Deal – Protect the Things That Matter

Without proper life insurance protection, would your loved ones be able to do the following if you weren’t around to help?

• Pay off the mortgage
• Clear any outstanding debts in your name
• Fund their current lifestyle
• Buy a new home
• Plan for a funeral
• Deal with inheritance tax

AA Life Insurance: A Minimum Commitment

Level term life insurance from AA starts at just £5 per month. It pays a guaranteed cash sum if the insured dies during the policy term. This policy is designed to replace the insured’s income so beneficiaries can maintain their standard of living.

Consumers can determine the AA family cover level and policy term and select individual or AA joint cover.

As long as monthly premiums are paid, coverage is guaranteed not to decline. If their circumstances change, policyholders can increase their coverage.

At Insurance Hero, we can compare a variety of other market leaders to ensure you get a great deal. By choosing our services, we can compare AA life insurance policies with those of other leading companies, ensuring you get a made-to-measure life insurance solution.

Decreasing term life insurance is designed to repay a balance on a repayment mortgage upon the insured’s death during the policy term. It features coverage that decreases as the balance of a standard repayment mortgage decreases.

This policy can also be used to cover a loan balance. The premium is lower than that of a level term insurance policy, starting at £5 per month. It is established when the policy begins and is guaranteed not to increase.

Consumers can take an individual decreasing term policy or select joint coverage with a partner, which pays out on the first death and then ends.

They also select the policy term and coverage level. The coverage amount decreases each month during the term.

AA life insurance coverage is calculated to be sufficient to repay the capital owed on a repayment mortgage. If circumstances change, the insured may increase the coverage level. AA premium cover is also available for a slightly increased premium.

Choice Protection If Required

A premium protection option is available with both level and decreasing term life policies.

With optional premium protection, also called a waiver of premium, the insurance company will pay life insurance premiums if a non-self-inflicted injury or illness keeps the insured out of work for more than six months. The payments will cease when the insured is deemed medically able to return to work.

An insured aged 18 to 54 may also add critical illness coverage to a level or decreasing term life insurance policy lasting between 5 and 40 years.

A lump-sum payment will be made if the insured is diagnosed with a covered critical illness. Strokes, heart attacks, multiple sclerosis, and many cancers are covered illnesses.

Specific illnesses may be excluded from AA life insurance coverage, which will be explained before the policy goes into effect.

In some cases, the premium for an AA family cover life insurance policy with critical illness coverage may not be guaranteed.

Premiums could increase, or coverage could decrease. Inflation may reduce coverage value.

AA Life Insurance Pays After One Year

For UK residents age 50 to 80, 50 Plus life insurance provides a cash sum to beneficiaries upon the death of the insured, provided that the policy has been in effect for at least one year.

If the insured dies within the first year, a payout of 1.5 times the premiums paid will be made.

• If the death is due to an accident, the full sum will be paid. Acceptance is guaranteed, no health questions are asked, and a medical examination is not required.
• The premium starts at £8 per month and is guaranteed not to increase (unless the increasing coverage option is selected).
• Coverage continues as long as premium payments are made. If payments cease before the 90th birthday, coverage is cancelled, and the money paid will not be refunded.

Inflation can reduce the future value of the cash payout, and the total premiums paid may exceed the benefit.

To help address this, an increasing coverage option is available when the coverage is purchased. With this, the cash sum and premiums increase by five per cent of their initial level each year.

A funeral benefit option through Golden Charter is free to help with funeral costs. It features a £250 voucher for funeral expenses for a funeral arranged by Golden Charter, even if the insured dies within the first year of the policy.

This sum is not subject to probate and is paid to Golden Charter directly to compensate the selected funeral director. The difference is paid to the estate if the funeral costs less than the cash benefit. If it costs more, the estate or family must pay the difference.

Life insurance is important for anyone with financial dependents. Surviving beneficiaries will receive a cash benefit to apply toward the mortgage, bills, and household expenses.

AA offers level term, decreasing term, and 50-plus life insurance coverage. We provide comprehensive details about policies suitable for you, as well as optional premium protection, critical illness, and funeral benefit coverage.

The best life insurance deals change frequently, but we aim to keep up with these changes and offer reliable, up-to-date information.

AA Life Insurance Further Information:

AA Life Insurance is provided by Friends Life Limited, which is registered in England and Wales under company number 04096141.

AA Registered Office:

The AA
Level 3
Plant 
Basing View, Basingstoke 
Hampshire, RG21 4HG 

Tel: 0370 544 8866 
Web: https://www.theaa.com/insurance/

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