American Amicable Life Insurance Company Review

Written by Jeff Root

American Amicable has been around since 1910, when it originated in Texas. The company was acquired by Industrial Alliance in 2010 but continues to provide innovative life insurance products.

american amicable life insuranceA.M. Best has given them an A, or excellent rating. This is the third highest rating possible. Such a rating signifies a long standing history of financial stability and a projected ability to pay out when death benefits are required.

Customer reviews with the Better Business Bureau have more to do with the other products offered, not their life insurance. Those that did have issue with life insurance, in particular, failed to review policy rules, such as only being able to access cash value accumulation when the life insurance policy is still valid and paid to date, not after a policy has been canceled.

Knowing the terms of your life insurance policy is very important. Our life insurance agents can help you interpret your existing policy or find coverage that is best for you while explaining how it works and what you can expect.

Life Insurance Policies from American Amicable

American Amicable has a small selection of specific life insurance policies. This allows them to keep their rates low for the types of life insurance they offer by specializing in it and having superior underwriting.

American Amicable offers three types of life insurance:

  • Simplified Issue Term Life Insurance
  • Universal Life Insurance
  • Final Expense Insurance

Term Life Insurance

Their term life insurance policy is called term Made Simple. It is a simplified issue Term Policy that is a level Term Policy.

Simplified issue means that you do not need to submit to a physical exam or have any blood work completed.

The level premium means that the premium you pay will never change. When you apply you will be asked a series of health questions.

American Amicable will also conduct a background check into the medical information Bureau, motor vehicle reports, and prescription database.

This policy offers:

Face Amount $50,000 – $400,000
Term Length 10, 15 , 20, 30 years
Renewable? ART until age 95
Health Classes Preferred, Standard, Standard Tobacco

Pros to the Term Made Simple Plan

  • You Can Convert it Into Permanent Life Insurance
  • These plans come with a conversion option so you have the ability to convert all of your policy or part of your policy to a permanent life insurance policy without having to undergo any type of medical exam.
  • Low Rates for Simplified Issue Term Life Insurance
  • American Amicable has some of the lowest rates for simplified issue life insurance on the market, though they do not have some of the fastest approval times.

Additional Policy Riders

There are different riders you can attach to  these term policies including the following:

Accelerated Death Benefit

If you are confined to a nursing home for a specific length of time you can receive a monthly benefit worth 2.5% of the face value of your policy up to $5,000 a month if you have the accelerated death benefit rider.

Waiver of Premium

If you become totally and permanently disabled the company will waive all future premiums if you have the waiver of premium rider.

Terminal Illness

If you are diagnosed with a terminal illness and given 24 months left to live you can receive up to 100% of your face amount if you have the terminal illness rider.

Chronic Illness

If you are unable to perform  2 out of 6 activities of daily living you can receive a portion of your death benefit if you have the chronic illness rider.

Total Disability Benefit

If you are totally disabled for a short amount of time you can receive income from your life insurance policy.

Children Insurance

You can add children to your policy without them having to undergo a medical exam and this can be converted to up to five times the original amount.

American Amicable Association Term Life Insurance

American Amicable also offers a second version of this Simple Term life insurance policy to those who are from the following organizations:

  • People who work for the government
  • Police officers, firefighters, medical employees
  • Educators at State funded facilities
  • Railroad workers
  • People who work in hospitals

The Association Term Life policy by American Amicable is offered to those who are 18-65 years old.

Policies are available in 10 year renewable terms, and the face value can be between $25,000 and $250,000, and offers the same policy riders as the Simple Term Policy.

American Amicable’s Universal Life Insurance

The universal life insurance policy is available in a fully underwritten and simplified issue Universal policy.

This means that it does require a medical exam with a physical exam or blood work. It also means that you have the option of permanent coverage with cash value accumulation.

You can take out a policy valued between $25,000 upwards to $250,000.

Pros to American Amicable Universal Life Insurance 

The benefits of this option include:

  • Flexible premiums that you can change as your financial situation changes
  • Adjustable benefit contracts
  • No stated maximum coverage
  • No lapse guarantee,  so long as you pay your premiums

Additional Policy Riders

With the universal plan you can add any of the following riders:

Accelerated Death Benefit

If you are confined to a nursing home for a specific length of time you can receive a monthly benefit worth 2.5% of the face value of your policy up to $5,000 a month.

Waiver of Premium

If you become totally and permanently disabled the company will waive all future premiums.

Terminal Illness

If you are diagnosed with a terminal illness and given 24 months left to live you can receive up to 100% of your face amount.

Chronic Illness

If you are unable to perform  2 out of 6 activities of daily living you can receive a portion of your death benefit.

Total Disability Benefit

If you are totally disabled for a short amount of time you can receive income from your life insurance policy.

Children Insurance

You can add children to your policy without them having to undergo a medical exam and this can be converted to up to five times the original amount.

Final Expense Life Insurance from American Amicable 

This policy is American Amicable’s guaranteed issue life insurance policy, meaning that anyone can qualify for coverage.

Final expense insurance through American Amicable is available to anyone ages 0-85 and it lasts through age 121.

Depending on your age, their final expense plan offers up to:

  • $25,000 of final expense insurance for people through age 75
  • $15,000 for people ages 76-85

This policy has a cash value accumulation portion to it, which is not usual for this type of policy. This means that the account grows interest based on the premiums you pay and adds them to the death benefit of your policy. You can borrow against this value without having to pay taxes in most cases.

Benefits of Final Expense Insurance Through American Amicable

American Amicable’s Final Expense Policy has a few benefits:

  • Cheap final expense life insurance
  • Final expense insurance coverage for people age 0-85
  • Great optional riders
  • Cash value growth

Riders

American Amicable offers these riders with its final expense policy:

Return of Premium Benefit Plan

This rider allows your premiums paid to be returned to your beneficiary when the policy is paid out. This rider increases your premiums.

Accidental Death Benefit 

Your life insurance policy will pay out in a multiple of the face value if you die due to an accident.

Grandchild Rider

This allows you to take out a life insurance policy for your grandchildren, which develops cash value over time and is eventually given to them when they are of age. From here, they can use the cash value and choose to pay very low rates for their coverage.

Advantages of American Amicable

With any of the American Amicable plans you get to enjoy two key benefits that other companies do not have.

There are no medical exams or blood work required during the application process. Then, there is what is called the “no-lapse guarantee”. This means plans cannot be canceled, and there is a no-lapse guarantee as long as all premiums are paid on time.

Is American Amicable Life Insurance Right for You?

This company has provided great life insurance products for quite some time. They have been in business for well over 100 years and have a very high Financial rating indicative of their high rank above the agencies out there.

Of course, determining whether they are great company for you is different than figuring out if they’re just a great company in general. You have to figure out what other people are offering and what your situation is.

You might prefer having the level premiums offered by this company but you might get a better rate if you undergo a medical exam offered by another company. Conversely, you might prefer a Term Policy that has a higher death benefit potential without having to undergo a physical exam or submit blood work.

Each company favors one niche over another. Some companies offer better prices for those with diabetes or have more favorable policies for people who want to add their spouse. This company is obviously more who have a larger physical build or larger body mass index.

There are plenty of people out there who might engage in hobbies or professions that results in larger physical builds. Bodybuilders for example or firefighters might have larger BMI according to charts which would generate more expensive premiums from almost all other life insurance companies accept this one. So for different individuals, this company might be the best option.

How to Find the Best Life Insurance Company for You

Finding the best life insurance company for your needs is easy with us! We help you compare life insurance rates online with our quoting tool.

If you want to learn more about your life insurance options, and what type of coverage you need, give our agents a call. We can help you find the right policy for you and your family needs and answer any life insurance related questions you may have.

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