Term life insurance
Term life insurance policies for every need
Get coverage for a set period of time by finding a term life insurance policy that works best for your budget and gives your loved ones peace of mind. AAA members save 10% on monthly term life premium payments.
Why go with AAA Life Insurance Company?
AAA has been there for members for over 100 years. From Roadside Assistance to home and auto insurance coverage, AAA members count on us for peace of mind.
Forbes named AAA Life one of “America’s Best Insurance Companies” in 2024. AAA Life has a legacy of satisfied customers and competitive rates for both members and non-members. AAA Life's expert team can help guide you to the right coverage to fit your family’s budgets and needs, even as the seasons of life change.
What is term life insurance?
Term life insurance is an affordable way to provide protection for your loved ones with guaranteed payments for a fixed amount of time. Term life insurance coverage options vary and can be customized for the coverage amount and time you want. Policy amounts range from $50,000 to $5 million, and term length options are 10, 15, 20, or 30 years.
How does term life insurance work?
Term life insurance is a type of life insurance policy that provides coverage for a specific period, usually 10-30 years. If the insured person passes away during this period, the policy pays a gnerally tax-free death benefit to the beneficiaries. Term life insurance offers peace of mind by helping to ensure that loved ones are financially secure in the event of the policyholder's untimely demise, without the complexity of investment components in other types of life insurance policies.
Why buy term life insurance?
A term life insurance policy offers the ability to help protect your family. Life insurance coverage options can feel overwhelming, so term life insurance is a great choice for those looking for something straightforward and affordable. It is most popular with people who want to financially protect their loved ones during the bulk of their working years. When a term expires, restarting it at a new rate or seeking a different policy based on your evolving needs is easy.
Death benefit
Get help with funeral expenses, outstanding debts, hospital bills, probate costs, and estate and inheritance taxes.
Locked-in rates
Secure guaranteed level premiums for 10-, 15-, 20-, and 30-year terms, even if you switch jobs, become terminally ill, or have big life changes.
Flexibility
Many insureds can upgrade policies to ensure long-term protection, even in the middle of the policy.
Tax benefits
In the event of your passing, your beneficiaries will likely not pay income taxes on life insurance benefits.
How much term life insurance do I need?
Life insurance coverage amounts will vary based on your family’s budget and needs. The best way to make a wise investment is to speak with a financial advisor or a AAA Life agent. Still, certain calculations can help you estimate the ideal amount of coverage. Start with this formula:
Step 1
Multiply your annual salary by the number of years you want to replace your income.
Step 2
Add your remaining mortgage balance and any other outstanding debts.
Step 3
Add future expenses such as tuition for your children or funeral costs.
Step 4
Subtract any assets, such as existing savings, from that total.
Remember, term life insurance is for a set duration, so this is the best choice when you're calculating various short-term debts or expenses. For example, you may go with a term policy until your kids graduate college or your house is paid off, so those potential future expenses may be the most important components to factor into how much life insurance coverage you should get.
Term life insurance to protect those who matter most
Term life insurance may be a cost-effective option for anyone who wants a 30-year term or less, those looking to cover a mortgage or college education, people in need of fast coverage, and others.
Traditional term life insurance
To ensure the best rates, you'll get a term quote from an insurance specialist. Traditional term life insurance may require a medical exam.
Benefits of traditional term life insurance
- Affordable coverage
- 10-, 15-, 20-, and 30-year term lengths
- Coverage options ranging from $100,000 to $5 million
- Guaranteed level premium payments
- 31-day money-back guarantee
- 10% off policy premiums for AAA members
Ways to customize term life insurance
AAA Life offers riders you can add to your term life insurance to create a customized policy perfect for your needs.
Disability waiver
If you become disabled and can't make your regular payments, AAA Life will work with you to cover the payments while you recover.
Return of premium
Add a savings element to your policy with the ability to get a refund on the premiums paid by the policyholder if you outlive the term.
Living benefits
If you are diagnosed with less than 12 months to live, you can take a portion of your death benefit early to help cover needed treatments.
Term life insurance rates for men
Monthly, member, super preferred non-nicotine, no riders
Age | $250,000 | $500,000 | $1,000,000 | $2,000,000 |
|---|---|---|---|---|
20 | $10.89 | $15.05 | $22.97 | $41.18 |
25 | $10.89 | $15.05 | $22.97 | $41.18 |
30 | $10.89 | $15.05 | $22.97 | $41.18 |
35 | $11.09 | $15.05 | $23.76 | $42.77 |
40 | $13.66 | $20.19 | $33.26 | $61.77 |
45 | $20.00 | $32.07 | $54.65 | $104.54 |
50 | $28.91 | $49.50 | $87.12 | $169.49 |
55 | $43.36 | $79.59 | $137.81 | $270.86 |
60 | $69.30 | $131.07 | $233.64 | $462.53 |
65 | $119.00 | $219.78 | $403.92 | $803.59 |
70 | $204.93 | $365.90 | $677.16 | $1,349.57 |
75 | $378.57 | $727.85 | $1,360.65 | $2,716.56 |
Term life insurance rates for women
Monthly, member, super preferred non-nicotine, no riders
Age | $250,000 | $500,000 | $1,000,000 | $2,000,000 |
|---|---|---|---|---|
20 | $9.50 | $13.07 | $19.80 | $34.85 |
25 | $9.50 | $13.07 | $19.80 | $34.85 |
30 | $9.50 | $13.07 | $19.80 | $34.85 |
35 | $9.70 | $13.46 | $20.59 | $36.43 |
40 | $12.27 | $18.21 | $29.30 | $53.85 |
45 | $18.02 | $28.11 | $47.52 | $90.29 |
50 | $23.56 | $39.20 | $69.69 | $134.64 |
55 | $32.67 | $58.61 | $107.71 | $210.67 |
60 | $47.72 | $86.33 | $161.57 | $318.38 |
65 | $77.02 | $143.75 | $263.73 | $522.72 |
70 | $129.69 | $232.45 | $441.14 | $877.53 |
75 | $254.43 | $495.00 | $874.37 | $1,743.98 |
Life insurance considerations
What kind of life insurance do I need?
Compare term and permanent policies to help you decide what's best for your family.
How much life insurance do I need?
See what kinds of expenses factor into the amount of life insurance coverage you need.
Why & when do I need life insurance?
Learn how life insurance fits into every stage of life to protect those who matter most.
How to buy term life insurance
You can get a free term life insurance quote or purchase a policy online with no health screening2 for those who qualify. You can also apply in person at a branch or by contacting a life insurance specialist.
If you’re unsure what the best term life insurance policy is for your specific needs, call to get a free life insurance needs assessment.
AAA Life Insurance services & tools
Get a free life insurance needs assessment
Get help deciding what coverage is best for your needs with a free analysis. AAA Life and its agents do not provide tax, legal, or financial advice.
AAA Life eServices
Log in or register for an account to manage your policy. Pay your life insurance bill, set up Auto Pay, manage your contact information, and more.
Other types of life insurance solutions
Whole life insurance
Build cash value with locked-in rates that never change.
Universal life insurance
Get a life insurance policy that will last a lifetime and still offer flexibility.
Life insurance annuities
Tax-deferred annuities provide guaranteed income that can last a lifetime.
Learn more about the benefits of life insurance
Types of life insurance
See which type of life insurance will best suit your needs.
Guaranteed life insurance
Applicants ages 45-85 are guaranteed acceptance for this policy.
Burial insurance
Life insurance for final expenses so your family can focus on healing.
Whole life insurance rates charts
Compare whole life insurance rates and coverage amounts.
Benefits of whole life insurance
Find out if whole life insurance is the right coverage for you and your family.
Frequently asked questions about term life insurance
What is the difference between term and whole life insurance?
The main differences between term and whole life insurance are the coverage period and the cash value component. Term life insurance provides coverage for a specific period (10, 15, 20, or 30 years) and does not accumulate cash value, which can make it more affordable.
Whole life policies are a type of life insurance that builds cash value and provides coverage for as long as the insured is alive. The cash value can be withdrawn or borrowed against and is intended to be used while the policyholder is still alive. Since a portion of your premium is allocated to growing the cash value of your policy, premiums are usually higher than term life policies.
What are the term life insurance levels?
Term life insurance lengths from AAA Life can be 10, 15, 20, or 30 years. Other companies may offer different levels.
What are the term life insurance rates?
Traditional term life insurance coverage ranges from $50,000-5 million and more.
What is term life insurance with a return of premium rider?
If you purchase a return of premium (ROP) rider with your term life insurance policy through AAA Life, living policyholders can receive 100% of your premiums back.
Does term life insurance have cash value?
Term life policies are usually more affordable than permanent policies because they do not build cash value over time. For life insurance that build cash value, check out whole life insurance and universal life insurance policies from AAA Life.
Is term life insurance worth it?
Term life insurance provides peace of mind by helping to cover your debts, such as student loans. This ensures that your family is not burdened in the event of your unexpected death.
It often costs less than alternatives and can be issued without preliminary medical screenings2, making it easy to opt in. For adults who are freelancers, are part of a start-up, or switch companies frequently, term life can be a wise investment to have stable coverage to help protect your loved ones.
Can you convert your term insurance to whole life insurance?
Oftentimes, policyholders can convert an existing term policy into a permanent life policy. AAA Life agents can help guide individuals through that transition. Term life insurance can also be used to supplement a whole life insurance policy.
Many people want to switch to whole life insurance after their term life insurance policy expires. This can be a wise move for people who are now in a more financially stable position or who want to diversify their savings portfolio.
What happens after term life insurance ends?
When a term life insurance policy ends, the coverage is immediately terminated. The insured, however, can choose to renew the policy or convert to a different kind of life insurance coverage. Term renewal rates will likely be higher than the initial coverage since the insured is now older. Switching to a whole life insurance policy will lock in a rate for the remainder of the insured’s life and provide cash value.
What age should you get term life insurance?
Term life insurance can make sense for people at a variety of ages. It is often selected by younger adults who want to protect their loved ones without spending a lot of money on life insurance because getting life insurance as a young adult often yields a lower premium.
It is also often used in conjunction with a specific debt that will be paid off over time, such as a mortgage or children’s education. Term life insurance during those periods helps ensure debts are not passed onto loved ones without having to make a huge investment in a life insurance policy.
Can you borrow against term life insurance?
You can use a portion of your term life insurance benefits while you are still alive if you’ve added appropriate riders, such as AAA Life’s living benefit option. That rider will allow you to pull from your death benefit early if you fall terminally ill.
In most cases, however, one cannot pull from a term life insurance policy while still alive because term life insurance does not have a cash value component. For life insurance with a cash value while you’re alive, check out whole life insurance.
Member benefits and offers subject to change without notice and certain restrictions and conditions may apply.
1Health screening requirements are based on answers to the health questionnaire in determining eligibility.
Automobile Club of Southern California
This information is not a policy. This information is a summary of provisions and does not contain all of the benefits and exclusions. All descriptions are intended solely to inform you about features of term life insurance. The contract and its endorsements determine exact product features and benefits. Life insurance underwritten and annuities offered by AAA Life Insurance Company, Livonia, Michigan. AAA Life Insurance Company is licensed in all states except NY. Products and their features may not be available in all states. The Automobile Club of Southern California acts as an agent for our affiliate AAA Life Insurance Company. CA Certificate of Authority #07861. CA Dept. of Insurance License. #0003259. Traditional Term Policy Form Series: ICC19-1801/1801) ALAN 27562 521 XX
AAA Texas LLC, AAA New Mexico LLC, AAA Hawai'i LLC, AAA Northern New England, Automobile Club of Missouri, Alabama Motorists Association, Tidewater Automobile Association of Virginia, and AAA East Central
This information is not a policy. This information is a summary of provisions and does not contain all of the benefits and exclusions. All descriptions are intended solely to inform you about features of term life insurance. The contract and its endorsements determine exact product features and benefits. Life insurance underwritten and annuities offered by AAA Life Insurance Company, Livonia, Michigan. AAA Life Insurance Company is licensed in all states except NY. Products and their features may not be available in all states. Your local AAA club and/or its affiliate act as an agent of AAA Life Insurance Company. Traditional Term Policy Form Series: ICC19-1801/1801 (In OR: ICC19-1801) ALAN 27562 521 XX
