🎯 Bottom Line Up Front
AIG founded
Americo founded
Both A.M. Best rated
Understanding AIG and Americo: Company Overview
Key insight: AIG is a global insurance powerhouse offering comprehensive products across all market segments, while Americo is a specialized carrier focused on simplified issue and final expense coverage for middle-market Americans.
Before comparing these companies, it’s essential to understand their distinct market positions and operational scales, as they represent very different approaches to life insurance with minimal direct competition.
AIG / Corebridge Financial
American International Group (AIG) is a global insurance giant founded in 1919. In 2022, AIG separated its life insurance and retirement business into Corebridge Financial, which now operates as an independent, publicly-traded company while maintaining the strong financial backing and reputation of the AIG brand. When discussing “AIG life insurance,” we’re referring to products underwritten by American General Life Insurance Company and other Corebridge subsidiaries.
AIG / Corebridge Financial
- AIG was founded in 1919 (106 years)
- Corebridge spun off in 2022
- Headquarters in Houston, Texas
- A (Excellent) from A.M. Best
- Global presence in 80+ countries
- Comprehensive product portfolio
Americo Financial Life and Annuity Insurance Company
Americo Financial Life and Annuity Insurance Company was founded in 1959 and has built a reputation as a reliable provider of simplified issue and final expense life insurance. Part of a larger financial services organization, Americo focuses on serving middle-market Americans, particularly seniors ages 50 and older who need straightforward coverage without complex underwriting. The company has carved out a strong niche in the final expense and simplified issue market.
Americo Financial Life
- Founded in 1959 (66 years)
- Part of the Americo Holdings group
- Headquarters in Kansas City, Missouri
- A- (Excellent) from A.M. Best
- Focuses on simplified issues and final expense
- Serves middle-market and senior segments
Market Position Distinction
AIG operates across virtually every segment of the life insurance market, from term life to sophisticated permanent policies, serving everyone from young professionals to high-net-worth individuals with coverage up to $10M+. Americo deliberately focuses on accessible, simplified products for middle-market families and seniors, with special emphasis on final expense coverage typically ranging from $5,000 to $50,000. These different strategies mean direct comparison is often like comparing apples to oranges—they’re designed for different primary purposes and customer segments.
Financial Strength and Stability Comparison
Key insight: Both companies demonstrate solid financial stability with excellent ratings, though AIG’s global scale provides additional security while Americo benefits from focused market expertise.
| Rating Agency | AIG / Corebridge | Americo | What It Means |
|---|---|---|---|
| A.M. Best | A (Excellent) | A- (Excellent) | Both have an excellent ability to meet obligations |
| Standard & Poor’s | A (Stable Outlook) | Not rated | AIG has additional third-party validation |
| Moody’s | A2 (Positive Outlook) | Not rated | Strong financial strength rating |
| Years in Business | 106+ years (AIG) | 66 years | Both have proven track records |
| Market Focus | Comprehensive/Global | Specialized/Niche | Different operational scales |
Financial Stability Verdict
Both companies are financially secure. AIG’s A rating and multiple rating agency confirmations reflect its massive global scale and diversified operations. Americo’s A- rating and 66-year operating history demonstrate strong stability and reliable performance in its specialized market niche. Either company has demonstrated the financial strength to honor long-term commitments to policyholders in their respective market segments.
Historical Performance
AIG / Corebridge
Recovery and Strength: AIG faced significant challenges during the 2008 financial crisis but has since undergone substantial restructuring and emerged stronger. The life insurance division (now Corebridge) maintained its financial strength throughout, and recent ratings upgrades reflect improved underwriting and solid capital position. The company’s 106-year history demonstrates remarkable resilience across multiple market cycles.
Americo
Focused Stability: Americo has maintained consistent performance since 1959, building expertise in the simplified issue and final expense markets. The company’s focus on a specific market segment has allowed it to develop specialized underwriting and maintain stable operations. The A- rating reflects solid capitalization and reliable performance in its niche, with decades of dependable service to middle-market customers.
What This Means for You
Both companies have the financial stability to honor their commitments for decades. When choosing between them, financial strength ratings shouldn’t be your primary deciding factor—focus instead on which company’s products and market focus better match your specific needs. AIG’s strength lies in comprehensive capabilities and high coverage, while Americo’s stability comes from specialized expertise in its focused market segment.
Product Offerings: What Each Company Provides
Key insight: AIG offers comprehensive coverage across all life insurance categories with exceptional customization, while Americo specializes in simplified issue, final expense, and whole life products designed for accessibility.
AIG / Corebridge Products
| Product | Coverage Range | Key Features |
|---|---|---|
| Select-a-Term | $100,000 – $10,000,000+ | 18 different term lengths (10-35 years) – industry-leading |
| QoL Flex Term | Varies | Built-in living benefits for terminal/chronic/critical illness |
| Whole Life | Varies | Traditional permanent coverage with cash value |
| Guaranteed Universal Life (GUL) | Varies | Lifetime coverage guarantee with level premiums |
| Indexed Universal Life (IUL) | Varies | Market-linked growth potential with downside protection |
| Variable Universal Life (VUL) | Varies | Investment options within the policy |
Americo Products
| Product | Coverage Range | Age Range | Key Features |
|---|---|---|---|
| Simplified Issue Term | $25,000 – $300,000 | 18-65 | No medical exam, health questions only |
| Simplified Issue Whole Life | $5,000 – $50,000 | 0-80 | Permanent coverage, simplified underwriting |
| Final Expense Whole Life | $5,000 – $35,000 | 50-85 | Designed for burial and final expenses |
| Graded Benefit Whole Life | $5,000 – $25,000 | 40-85 | Guaranteed acceptance, benefits increase over time |
| Children’s Whole Life | $5,000 – $50,000 | 0-17 | Permanent coverage for children |
AIG’s Strength: Comprehensive Coverage
- Full spectrum of life insurance products
- Industry-leading 35-year terms
- 18 different term length options
- Multiple permanent life choices
- High coverage limits ($10M+)
- Sophisticated planning options
Americo’s Strength: Simplified Access
- Simplified issue specialists
- Final expense expertise
- No medical exam required
- Fast approval process
- Senior market focus (50+)
- Straightforward, accessible products
Product Comparison Summary
Choose AIG if you need substantial adult coverage over $300,000, want precise term customization, require sophisticated permanent life options like IUL or GUL, need high coverage limits, or want comprehensive living benefits.
Choose Americo if you’re age 50+, need final expense coverage ($5,000-$35,000), want simplified issue products without medical exams, have health issues making traditional underwriting difficult, or prefer straightforward whole life coverage with fast approval.
Pricing and Value Comparison
Key insight: Direct pricing comparison is limited because these companies target different markets—AIG serves comprehensive adult coverage needs, while Americo focuses on simplified issue and final expense products.
Life insurance pricing is highly individualized. Given the different market focuses, we’ll examine pricing where the companies overlap (simplified term life) and highlight where each offers unique value.
Sample Rate Comparison: $100,000 Simplified Issue Term (Where Comparable)
| Age/Gender | AIG (Approx.) | Americo (Approx.) | Notes |
|---|---|---|---|
| 50-year-old Male | Not typically offered | $75-85/month | Americo specializes in this market |
| 50-year-old Female | Not typically offered | $55-65/month | Americo’s primary focus |
| 60-year-old Male | Not typically offered | $125-145/month | Simplified issue pricing |
| 60-year-old Female | Not typically offered | $95-110/month | Simplified underwriting |
Important Pricing Context
These comparisons reflect simplified issue products where Americo specializes. AIG doesn’t typically compete in the simplified issue final expense market—their focus is on fully underwritten traditional coverage. For standard adult term coverage with full underwriting, AIG offers competitive rates. For simplified issue and final expense, Americo is designed specifically for this market and offers appropriate pricing for the reduced underwriting requirements.
Value Propositions
AIG’s Value Proposition
- Precise Term Matching: 18 term lengths mean you’re not overpaying for unnecessary years
- High Coverage Limits: Can secure $5M-$10M+ policies when needed without issues
- Included Living Benefits: QoL riders provide chronic illness protection at no extra cost
- Competitive Rates for Healthy Applicants: Strong underwriting can result in excellent classifications
- Product Variety: One company for all life insurance needs, from term to complex permanent policies
- Flexible Permanent Options: IUL, GUL, and VUL products for wealth accumulation strategies
Americo’s Value Proposition
- Simplified Issue Specialist: No medical exam required for most products
- Fast Approval: Quick decisions without extensive underwriting delays
- Final Expense Expertise: Products specifically designed for burial and end-of-life costs
- Senior Market Focus: Products tailored for ages 50-85
- Accessible Coverage: Can obtain coverage with health issues that complicate traditional underwriting
- Straightforward Products: Easy to understand coverage without complexity
The Price Verdict
Comparing prices between these companies is like comparing different product categories. AIG offers competitive rates for fully underwritten traditional coverage with high limits. Americo provides appropriate pricing for simplified issue and final expense products that don’t require medical exams. If you need substantial coverage and can complete full underwriting, AIG is competitive. If you’re age 50+, need final expense coverage, or want to avoid medical exams, Americo’s specialized products serve that market well.
Target Markets: Which Company Serves Each Best
Key insight: Understanding each company’s ideal customer reveals minimal overlap—they serve distinctly different primary markets with different priorities and needs.
AIG’s Ideal Customers
- Ages 25-60 (optimal range)
- High coverage needs ($500K-$10M+)
- Those wanting precise term lengths
- Seeking permanent life options (IUL, GUL, VUL)
- Business owners needing sophisticated planning
- Healthy applicants seeking competitive rates
- People want comprehensive living benefits
- High-income earners and professionals
Americo’s Ideal Customers
- Ages 50-85 (primary focus)
- Final expense coverage needs ($5K-$35K)
- Those wanting to avoid medical exams
- Seniors needing burial insurance
- People with health issues complicate underwriting
- Middle-income families seeking simplicity
- Those prioritizing fast approval
- Anyone wanting a straightforward whole life
Detailed Scenario Analysis
Scenario 1: 65-Year-Old Needing $20,000 Final Expense Coverage
Better Choice: Americo
Americo’s final expense whole life products are specifically designed for this need. No medical exam required, fast approval, and coverage designed specifically for burial expenses and end-of-life costs. AIG doesn’t compete effectively in this market segment—their focus is on larger face amounts with full underwriting.
Scenario 2: 35-Year-Old Professional Needing $2M for 25 Years
Better Choice: AIG
AIG’s Select-a-Term offers precise 25-year terms with high coverage limits that are easily underwritten. Competitive rates for healthy applicants and living benefit riders are included. Americo’s maximum simplified term is $300,000, making them unsuitable for this need. AIG is clearly designed for this market.
Scenario 3: 70-Year-Old With Health Issues Needing $15,000
Better Choice: Americo
Americo’s graded benefit whole life accepts applicants with health issues through simplified underwriting. Perfect for someone who needs burial expense coverage but has health conditions. AIG requires comprehensive underwriting that may be difficult or expensive for someone with significant health issues at age 70.
Scenario 4: 40-Year-Old Seeking IUL for Retirement Planning
Better Choice: AIG
AIG offers sophisticated IUL products with strong cash value accumulation features. Americo focuses on simplified whole life without IUL options. For wealth accumulation strategies and retirement planning through life insurance, AIG has the products and expertise.
Scenario 5: 55-Year-Old Wanting $50,000 Without Medical Exam
Better Choice: Americo
Americo’s simplified issue whole life provides exactly this coverage without requiring a medical exam. Fast approval and straightforward underwriting. While AIG offers some accelerated underwriting, Americo specializes in this market segment and makes the process simple and accessible.
Finding Your Fit
Ask yourself these questions:
- Am I age 50+ needing final expense? → Americo specializes in this
- Do I need more than $300,000 in coverage? → AIG is necessary
- Do I want to avoid medical exams? → Americo’s specialty
- Do I need precise term length (like 17 or 23 years)? → AIG offers precision
- Is this primarily for burial expenses? → Americo’s niche
- Do I want permanent life with investment features? → AIG’s strength
- Do I have health issues making traditional underwriting difficult? → Americo excels here
Customer Service and Application Experience
Key insight: Application complexity differs significantly—AIG provides comprehensive service with detailed underwriting, while Americo emphasizes speed and simplicity through simplified issue processes.
Application Process Comparison
| Factor | AIG / Corebridge | Americo |
|---|---|---|
| Online Application | Yes – comprehensive | Yes – simplified |
| Application Time | Moderate – days to weeks, depending on coverage | Quick – often same day to a few days |
| Medical Exam Requirement | Required for most traditional policies | Not required for most products |
| Approval Speed | 2-4 weeks is typical for full underwriting | Fast – hours to days for most products |
| Complexity | More detailed, comprehensive | Simple, streamlined |
| Phone Support | Extensive through agents and direct | Direct customer service and agent support |
Customer Service Ratings
AIG / Corebridge
- BBB Rating: F (Not Accredited)
- NAIC Complaints: Below average (good)
- J.D. Power: 744/1000 (below industry average)
- Customer Reviews: Mixed – strong on claims, some process complaints
- Claims Paying: Excellent track record
Americo
- BBB Rating: A+ (Accredited)
- NAIC Complaints: Average for company size
- Customer Reviews: Generally positive for simplicity and speed
- Agent Network: Strong, independent agent relationships
- Claims Paying: Reliable 66-year history
Understanding the Ratings
BBB ratings and complaint ratios provide limited insight. Both companies successfully pay claims and maintain customer relationships in their respective markets. Customer service experiences vary based on product type, agent quality, and individual situations. AIG’s lower ratings reflect its massive size and broader customer base, while Americo’s higher BBB rating reflects its simpler products and focused market. Consider these as one factor among many.
Application Experience Insight
AIG’s comprehensive underwriting can feel burdensome, but it often results in better rates for healthy applicants and ensures appropriate coverage for large face amounts. Americo’s simplified approach provides faster, easier access to coverage—particularly valuable for final expense and senior products where speed and simplicity are priorities. Neither approach is inherently better; they serve different customer preferences and needs.
Advantages of Choosing AIG
Key insight: AIG’s strengths center on comprehensive coverage options, high limits, customization, and sophisticated products—ideal for adults seeking substantial, flexible protection.
AIG’s Core Advantages
- Industry-Leading Term Flexibility: 18 different term lengths (10-35 years) allow precise coverage matching
- Longest Available Terms: 35-year terms are the longest in the industry from a major insurer
- High Coverage Capacity: Easily underwrite $5M-$10M+ policies for high-income earners
- Comprehensive Product Portfolio: Term, whole life, GUL, IUL, and VUL all from one trusted carrier
- Included Living Benefits: QoL riders provide chronic illness protection without extra cost
- Global Company Stability: Massive scale and international presence provide exceptional security
- Sophisticated Estate Planning: Products designed for complex business and estate strategies
- Strong Underwriting: A Thorough process can result in better classifications for healthy applicants
- Multiple Rating Agency Validation: Rated by A.M. Best, S&P, and Moody’s—all confirm strength
- Competitive for Health Conditions: Often better rates than competitors for diabetes, Crohn’s, and other conditions
When AIG is the Smart Choice
You Need Substantial Coverage
High Limits Expert: If you need $500K, $1M, $3M, or even $10M+ in coverage, AIG has the capacity, competitive pricing, and expertise for high face amount policies. They underwrite these sizes routinely without difficulty.
You Want Precise Term Length
Perfect Timing: Why pay for 20 years when you only need 17? Or settle for 20 when you need 23? AIG’s 18-term options let you match coverage exactly to your specific needs—mortgage payoff, retirement age, or children’s independence.
You’re Seeking Permanent Life Insurance
Comprehensive Options: If you want whole life, guaranteed universal life, indexed universal life, or variable universal life, AIG offers all of these with competitive features. Their IUL and GUL products are particularly strong in the marketplace.
You’re a Healthy Applicant Under 60
Competitive Pricing: AIG’s thorough underwriting often results in excellent rates for healthy, younger applicants. If you’re in good health, their comprehensive evaluation can work in your favor with preferred or preferred plus classifications.
Advantages of Choosing Americo
Key insight: Americo’s strengths center on simplified issue products, final expense coverage, fast approval, and senior market expertise—ideal for accessible, straightforward protection.
Americo’s Core Advantages
- Simplified Issue Specialist: No medical exam required for most products
- Final Expense Expertise: Products specifically designed for burial and end-of-life costs
- Fast Approval Process: Often, same-day to a few days decisions
- Senior Market Focus: Products tailored for ages 50-85
- Accessible Underwriting: Health issues don’t prevent coverage
- Straightforward Products: Easy to understand without overwhelming complexity
- BBB A+ Rating: Strong consumer reputation
- Graded Benefit Options: Coverage available even with serious health conditions
- 66-Year Track Record: Proven stability in the specialized market
- Middle-Market Focus: Designed for working-class and middle-income Americans
When Americo is the Smart Choice
You Need Final Expense Coverage
Specialized Products: If your primary goal is ensuring funeral and burial costs are covered (typically $5,000-$35,000), Americo’s final expense products are purpose-built for this need with fast approval and no medical exam.
You’re Age 50 or Older
Senior Market Expert: Americo’s products are specifically engineered for mature adults. The entire company understands senior needs, pricing is appropriate for this age group, and underwriting accommodates age-related health issues.
You Want to Avoid Medical Exams
Simplified Underwriting: Whether due to needle phobia, busy schedule, or health concerns, Americo’s simplified issue products provide legitimate coverage without the traditional medical examination requirement.
You Have Health Issues
Accessible Coverage: If you have health conditions that complicate traditional underwriting—diabetes, heart disease, cancer history—Americo’s simplified and graded benefit products provide coverage options when fully underwritten policies may be difficult or expensive.
Making Your Decision: Which Company is Right for You?
Key insight: The “right” choice is usually clear-cut, given these companies’ different market focuses—match your specific need to the company designed to serve it.
Decision Framework
Choose AIG If:
- You need coverage over $300,000
- You want precise term lengths (11-35 years)
- You’re seeking permanent life (IUL, GUL, VUL)
- You’re under 60 and in good health
- You value living benefit riders
- You need sophisticated estate planning
- You want the most competitive rates for healthy applicants
- You’re a high-income earner needing substantial coverage
Choose Americo If:
- You’re age 50-85
- You need final expense coverage ($5K-$35K)
- You want simple, no-exam policies
- You need fast approval
- You have health issues preventing traditional coverage
- You want a straightforward whole life
- You prefer simplified underwriting
- You need burial insurance
Common Decision Scenarios
| Your Situation | Clear Choice | Why |
|---|---|---|
| 65-year-old needing $20K final expense | Americo | Final expense specialist with simplified underwriting |
| 35-year-old, $2M for 25 years | AIG | High coverage capacity and a precise 25-year term available |
| 70-year-old with health issues, $15K burial | Americo | Graded benefit products with simplified underwriting |
| 40-year-old, $1M, wants IUL for retirement | AIG | Strong IUL products with comprehensive features |
| 55-year-old, $50K, no medical exam desired | Americo | Simplified issue whole life without exam requirement |
| 28-year-old professional, $3M for 30 years | AIG | Competitive rates for young/healthy, high coverage expertise |
The Decision Is Often Clear
Unlike many insurance comparisons, AIG vs. Americo often has an obvious answer based on your specific need:
- Need final expense coverage? Americo specializes in this
- Need over $300,000? AIG is your option between these two
- Age 50+ wanting simplified issue? Americo excels
- Want sophisticated permanent life products? AIG has a comprehensive portfolio
- Have health issues needing accessible coverage? Americo is designed for this
- Want precise term customization? AIG offers unmatched flexibility
Working with an independent agent ensures you’re matched with the right company for your specific situation.
Important Considerations
Don’t force a comparison where one doesn’t naturally exist. These companies serve different primary markets:
- AIG serves the comprehensive adult market with emphasis on substantial coverage
- Americo serves seniors and those needing simplified issue and final expense
- There’s minimal direct competition except in basic coverage under $300K
- Your decision should be driven by which company is designed for your specific needs
Both companies will reliably honor their commitments—choose based on which company’s specialty matches your requirement.
Frequently Asked Questions
Which company has better financial strength ratings?
AIG has a slightly higher A.M. Best rating (A vs. A-) and is rated by multiple agencies (S&P and Moody’s in addition to A.M. Best). However, both companies have excellent financial strength ratings, indicating a strong ability to pay claims. Americo’s A- rating and 66-year history demonstrate solid stability in its specialized market. Either company is financially sound for long-term coverage.
Can I get coverage without a medical exam?
Americo specializes in simplified issue coverage and doesn’t require medical exams for most products—just health questions. AIG typically requires medical exams for traditional policies, though it offers some accelerated underwriting for smaller face amounts. If avoiding medical exams is a priority, Americo is specifically designed for this and is the clear choice.
Which company is better for final expense coverage?
Americo is specifically designed for final expense coverage with products tailored for ages 50-85 in the $5,000-$35,000 range. This is their core market focus. AIG doesn’t typically compete in the final expense market—their minimum face amounts are generally higher and require full underwriting. For burial insurance, Americo is the specialist.
Who offers lower rates—AIG or Americo?
This question doesn’t have a simple answer because they serve different markets. AIG offers competitive rates for fully underwritten traditional coverage. Americo’s simplified issue products have pricing appropriate for reduced underwriting requirements. If you’re healthy and need substantial coverage, AIG is likely more competitive. If you’re age 50+ or have health issues, Americo’s simplified products provide accessible coverage.
Can I get $500,000 or more from either company?
Yes, from AIG—they routinely underwrite $500K to $10M+ policies. Americo’s simplified issue term maxes out at $300,000, and their whole life products typically top out around $50,000. For coverage needs above $300,000, AIG is clearly the choice. This isn’t Americo’s market focus.
Does either company offer indexed universal life (IUL)?
AIG offers comprehensive IUL products with strong features for wealth accumulation and retirement planning. Americo focuses on simplified whole life products without IUL options. If you’re interested in IUL for cash value growth and retirement income strategies, AIG is your only option between these two companies.
Which company has better customer service?
Customer service experiences vary by market segment. Americo has a BBB A+ rating and receives positive reviews for simplicity and speed in its specialized market. AIG has a lower BBB rating (F, not accredited) but below-average NAIC complaints and a strong claims-paying history. Both companies pay claims reliably. Your experience depends more on your specific agent and which company is appropriate for your needs.
How long does approval take with each company?
Americo’s simplified issue process typically provides decisions within hours to a few days—often same-day for straightforward cases. AIG’s comprehensive underwriting usually takes 2-4 weeks for full approval due to medical exams and detailed underwriting. If time is critical and you qualify for Americo’s products, they have a significant speed advantage.
Ready to Find the Right Coverage for Your Situation?
Whether you need final expense coverage, simplified issue products, or substantial traditional coverage, let’s match you with the right company and product for your specific needs.
Free comparison quotes – Independent advice tailored to your needs
