Aflac Life Insurance is one of the most popular insurance providers across the country today.
Right now, more employees in the United States have voluntary life insurance protection from Aflac than most other insurance companies. Aflac supplemental insurance policies are typically only obtainable through employers who offer voluntary insurance products.
When looking for the ideal plan for you and your family, it’s critically important to locate an insurance company you can trust. Since there are many choices offered by employers that offer voluntary life insurance plans, it’s beneficial to compare insurance product options and the cost for each of them.
We believe that employees should obtain life insurance and product information from a neutral third-party, which will allow you to make an unbiased and informed decision.
Read the entire Aflac Life Insurance Review to get the information you need about Aflac Life Insurance.
Table of Contents:
- About Aflac Life Insurance
- Financial Stability
- Life Insurance Products
- Life Insurance Riders
- Other Insurance Products
About Aflac Life Insurance
Certainly, when you mention Aflac, most people immediately visual that cute and crazy duck they see in tv commercials.
People know the Aflac duck because, since 2001, the Aflac Duck has been a primary ingredient in Aflac’s advertising promotions.
After showing up in more than 70 funny and interesting commercials, The Aflac duck helped the brand grow considerably, and it became one of the most well-known insurance brands out there.
Currently, more than 50 Million employees and individuals rely on Aflac for many types of insurance products, including life insurance. The company is currently operating in every state and is the largest provider of voluntary insurance products in Japan.
Aflac life insurance is a trusted insurance product that more employees depend on than any other voluntary insurance product. Most people who are Aflac policyholders, purchase their insurance coverage from Aflac through their employer.
Aflac’s Financial Stability
Although millions of people across the country purchase insurance products through their employers, the employer is not a responsible party in the insurance contract. The interest parties are you and the insurance company.
When you get down to the nitty-gritty, life insurance is simply a promise made by the insurance company in exchange for your premium payment. It is critical that your company selection is based on the financial stability of the insurance company because, with life insurance, the company must keep its promise to pay for decades in most cases.
The promise is to pay a tax-free death benefit to your surviving loved ones so they can continue living as a family without the financial stress that often accompanies the death of a breadwinner.
Here are current financial ratings for Aflac from three national rating companies:
|Rating Company||Current Rating||Description||Outlook|
|Standard & Poor’s||A+||Superior||Positive|
|Moody’s Investors Service||A3||Very Strong||Stable|
Aflac Life Insurance Products
Aflac has a comprehensive portfolio of life insurance products, and since they are primarily purchased through employers, they are sold on a guaranteed issue basis to the employee, which means there is no medical underwriting to be concerned about.
Although the policies are guaranteed issue, it’s important to note that the Aflac (like all other insurance companies) has a two-year contestability period in which they can contest any claim that contains misrepresentations made on the application or if a claim in the first two years is the result of suicide.
Aflac Term Life Insurance
Aflac term life insurance is available for periods of ten years. You may be able to renew the policy before coverage expires, but Aflac does not offer a conversion rider, as many other companies do. You can select up to $500,000 in coverage under age 50 and up to $200,000 if you are 50 or older.
Applicants can add the accidental death benefit for an additional cost that will increase the payout if your death is determined to be a result of a covered accident.
Usually, premiums for group term life insurance go up as you get older, and you’re only covered as long as you are employed with the company you purchased the insurance through.
However, if you go with an Aflac portable policy, you will have level premiums, which means you can lock in your premium during the term of your policy, even if you leave your job.
Aflac Whole Life Insurance
Aflac’s whole life insurance also has a maximum death benefit of $500,000. This is traditional whole life insurance that offers a cash value account that earns tax-deferred interest and will grow at a guaranteed interest rate over time.
The Aflac whole life policy is portable, which allows the policyholder to keep the coverage if you leave your employer.
It’s important to note, however, the Aflac whole life insurance policy costs significantly more than the company’s term policy.
Nevertheless, this coverage can be a great choice for people who prefer to purchase lifetime coverage with more than just a death benefit.
Aflac’s Juvenile Life Insurance Policy
Similar to Gerber Life Insurance Company, Aflac offers a juvenile life insurance product that can cover dependent children until age 18, where it can then be converted to an adult policy.
This allows a parent to secure the financial future for a child by getting insurance in place when the child is young, and the rates are at their all-time lowest.
Aflac’s Optional Life Insurance Riders
If there is one thing that is certain about individuals and families, it’s that they are different.
The ability to customize your insurance coverage with optional life insurance riders helps you purchase life insurance that will do more than pay a death benefit.
Aflac offers the following riders to help you customize your coverage:
- Accelerated Death Benefit: This is a living benefit that provides for the insurance company to advance the insured up to 50% of the death benefit if diagnosed with a terminal illness.
- Accidental Death Benefit: This benefit provides for the insurance company to pay an additional death benefit if the insured dies from a covered accident.
- Waiver of Premium Benefit: The waiver of premium rider helps keep a policy in force if the insured is disabled and cannot work by waiving all premiums while the insured is disabled.
- Children’s Term Rider: This rider allows the policyholder to insure all dependent children in the household and any subsequently born or adopted children.
Other Insurance Products offered by Aflac
As we mentioned earlier, Aflac’s insurance policies are primarily sold through employers as voluntary insurance.
This means that the employer can offer guaranteed issue insurance products at group rates even though the employer is not paying the premium.
Along with Aflac’s Life Insurance products, many employers will also offer the following:
- Aflac Accident Insurance: Pays a lump sum when the policyholder is injured as the result of a covered accident.
- Aflac Cancer Insurance: If you are diagnosed with cancer, a lot of the time, you will have to deal with various expenses like deductibles and copayments in your health insurance policy. The Aflac Cancer Insurance pays a lump-sum benefit, so additional expenses won’t have to be paid out-of-pocket.
- Critical Illness Insurance: This policy pays a lump-sum benefit if the insured is diagnosed with a covered critical or chronic illness.
- Short-Term Disability Insurance: This is an excellent choice for employees who need financial help is they are dealing with paying expenses while disabled for a short period (less than 6 months).
- Dental and Vision Insurance: These policies are especially important if the health plan provided by your employer does not include dental and vision coverage.
Is Aflac Life Insurance For You?
Since Aflac only offers life insurance through employers, it will likely cost more than individual life insurance that can be purchased outside of the workplace.
This may not be the best choice for healthy non-smokers because Aflac’s rates will be higher since life insurance policies they offer through employers are guaranteed issue policies. They must accept applicants in poor health at the same rates as healthy applicants, which results in higher rates overall.