Page Reviewed / Updated – June 5, 2022

Best for Seniors on a Budget 

AIG’s Guaranteed Issue Whole Life Burial Insurance is an affordable option for people who are looking for coverage without needing to undergo a physical examination. Once you’re approved for a policy, your rate never changes, so you don’t need to worry about rising premiums for the rest of your life. For those concerned about unexpected medical expenses, AIG’s Burial Insurance offers a way to pay medical bills if they’ve exhausted all other financial resources.

Pros and Cons of AIG’s Burial Insurance 


  • Ability to select desired amount of coverage 
  • Illness adjustment pays a portion of collected premiums in the event you become sick
  • Fixed rates 


  • Two-year waiting period before you can receive the full death benefit 
  • Not available in New York 
  • $24 yearly administrative fee

Overview of AIG’s Burial Insurance 

AIG has been around since 1919, making it one of the most reputable insurance companies in the United States. It offers numerous types of insurance, including auto coverage, life insurance and burial insurance. AIG offers burial coverage to anyone between 50 and 80 years of age, regardless of medical history or current health conditions.

Eligible Ages Approval Process Death Benefit Amount Waiting Period Policy Maturity
Guaranteed Issue Whole Life Insurance 50-80 No Medical Exam — No Health Questions $5,000-$25,000 2 Years Never Expires

How Much Does AIG’s Burial Insurance Cost? 

AIG’s burial insurance policies cost $21 per month for men and $29 for women as a base rate. The minimum coverage you can apply for is $5,000, but you can take out a policy for up to $25,000. While AIG offers a fixed rate for the rest of your life, the amount you’ll pay depends on your age at the time you apply and how much coverage you need. 

Women pay a little more than men, and your rate could be higher if you seek the maximum coverage.

Eligibility, Plan Details, & Other Information 

Everyone between the ages of 50 and 80 is guaranteed coverage. AIG promises never to ask medical questions, require a physical examination or base their rates on your medical history. There is a 2-year waiting period to receive your full death benefit, however, unless your death is due to accidental causes. If you die during the waiting period, your family won’t receive the full death benefit. They will still receive between 110% and 120% of the premiums you paid since taking out the policy. This stipulation doesn’t apply if you die in an accident.

Medical Bill Allowance and Illness Adjustment 

If you’re diagnosed with a terminal illness, you can receive a medical adjustment through your policy. AIG provides all the premiums you paid on your policy up to 25% of your policy’s value, so if you took out a $5,000 policy, you could receive up to $1,250 to help pay medical bills and expenses. There’s also an additional medical bill allowance that allows you to take out up to 50% of your policy’s value for your medical bills. You may have to pay an administrative fee to access this benefit.

Age Limits 

Unlike traditional life insurance, you can’t apply for AIG’s burial insurance policy unless you’re within the required age range. It’s more affordable to enroll when you’re 50 years old than to wait, as your premium is determined solely by your age and no other medical or lifestyle factors.

$25,000 Maximum Benefit 

You can’t obtain more than $25,000 of coverage when you enroll in AIG’s burial coverage. AIG does offer life insurance policies with greater death benefits, but those policies don’t have the same guaranteed acceptance. You may also need to answer health questions and undergo a physical examination for a traditional life insurance policy. This is something to consider if you believe you need more coverage.

Who Should Consider AIG’s Burial Insurance? 

Seniors Living on a Set Budget 

AIG’s burial insurance sets your rate for the rest of your life. This makes it easy to stay on budget without any unexpected hikes to your premium. AIG’s coverage is also one of the most affordable options available for those who are looking to save money. 

Those Without a Perfect Medical History 

If you’re worried about excessive premiums or being denied coverage due to your existing medical conditions, AIG’s burial insurance may be right for you. Everyone is accepted, regardless of whether they’re in perfect health.

Anyone Who Worries About Unexpected Medical Expenses 

AIG’s illness adjustment and medical bill allowance can provide peace of mind for those who may need to cover unexpected medical treatment.

What Are People Saying About AIG’s Burial Insurance? 

There are some mixed reviews about AIG’s burial insurance. Most customers are happy with the affordable premiums, acceptance guarantee, and medical bill allowance on the policy. Most complaints are due to the 2-year waiting period before you’re able to receive the full death benefit and mixed reviews over the quality of customer service. Obtaining a policy may be more confusing for some customers as well.

With policies ranging in value from $5,000 to $25,000, customers are happy with the ability to customize their coverage. They don’t need to pay for coverage they won’t need and can ensure their families have enough of a death benefit to cover the cost of a funeral and memorial service.

Frequently Asked Questions

What Does Burial Insurance Cover? 

Burial insurance can pay for funeral expenses, burial costs and the policyholder’s unpaid debts, or it can help loved ones financially. 

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What Type of Insurance Covers Burials? 

Burial insurance or life insurance are the types of policies to look for when seeking coverage for burial services. 

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How Do You Buy Burial Insurance? 

Individuals can buy burial insurance by selecting an insurance company they want coverage from and visiting their website. Typically, the individual requests an online quote and then either mails in a completed application form or fills out and submits the form online. 

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Do Burial Insurance Policies Have a Cash Value? 

Some burial insurance policies have a cash value, meaning the policy builds equity that the policyholder can borrow against, like a loan, over time. 

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How Does Burial Insurance Work? 

The insurance company pays out the agreed-upon amount to the policyholder’s chosen beneficiaries after they pass away. 

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