For nearly 100 years, AIG Insurers have been committed to insuring families and their futures.

Get guaranteed life insurance coverage starting at 63¢ per day.1

Help protect your family from the burden of covering final expenses with an affordable life insurance policy.

Millions of people worldwide trust us to help protect their loved ones.

What’s the difference between Guaranteed Issue Whole Life Insurance and term life insurance?

Guaranteed Issue Whole Life Insurance and term life insurance are very different, but have some similarities.

This article will provide an overview of each life insurance option, how each compares to one another and which one might be right for you.

What is Guaranteed Issue Whole Life Insurance?

Guaranteed Issue Whole Life Insurance is a type of whole life insurance policy that can help cover your final expenses when you pass away.

It’s sometimes referred to as a final expense life insurance policy.

One policy, AIG Guaranteed Issue Whole Life Insurance, may provide up to $25,000 in financial support that your loved ones can use after you pass away. If you're between the ages of 50 and 85, your acceptance is guaranteed. You don't have to answer any health questions or submit to a medical exam to apply.

What is term life insurance?

Term life insurance provides life insurance coverage for a set period of time, such as five, 10 or 20 years.

The coverage will stay in place for that set amount of time as long as you pay your premiums.

The exact policy details and limitations will vary depending on which insurance company you choose.

How are the policies similar?

Guaranteed Issue Whole Life Insurance and term life insurance are only similar in one main way.

Both allow your beneficiaries to use the policy’s death benefit (your policy’s coverage amount) any way they want. This means that your family will have the freedom to use the money for your final expenses, medical debt, consumer debt or any personal expenses they face.

How are the policies different?

Guaranteed Issue Whole Life Insurance and term life insurance differ in the following five ways:

  1. Coverage length
  2. Coverage amounts
  3. Age restrictions
  4. Application rules
  5. Living benefits

First, the coverage length will vary from policy to policy. AIG Guaranteed Issue Whole Life Insurance offers permanent life insurance coverage that lasts the rest of your life. On the other hand, term life insurance only provides coverage for a set term, such as 10 years.

Second, each policy may offer different coverage amount ranges. AIG Guaranteed Issue Whole Life Insurance offers coverage amounts ranging from $5,000 up to $25,000. Certain term life insurance policies may offer coverage amounts that start at a few thousand dollars and go up to a few million dollars.

Third, both policies have different age restrictions. AIG Guaranteed Issue Whole Life Insurance is only offered for people between the ages of 50 and 85. Many term life insurance plans have wider age ranges.

Fourth, the application process and underwriting rules will vary from policy to policy. If you’re 50-85 years of age, your acceptance is guaranteed for an AIG Guaranteed Issue Whole Life Insurance policy. You don’t have to answer any health questions or submit to a medical exam. Certain term life insurance plans have a long application process that may require you to answer health questions, provide blood work and submit to a medical exam.

Finally, AIG Guaranteed Issue Whole Life Insurance offers two living benefits at no additional cost: a chronic illness benefit and a terminal illness benefit. Some term life insurance policies may not offer living benefits.2

Which one should I choose?

Your ideal life insurance policy will vary depending on several factors including your coverage needs, health, age and budget.

If you want permanent life insurance coverage that offers guaranteed acceptance, you may want to consider an AIG Guaranteed Issue Whole Life Insurance policy.

Policies start at just $19 per month.1

A licensed insurance agent can help answer your questions about this type of policy and see if it will fit your coverage needs.

You can get started by calling a licensed insurance agent at 1-888-243-0322 or by filling out the form below.

Request your free life insurance quote.

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By pressing "Get my free quote" above, I consent to receive phone calls from a licensed insurance agent from TZ Insurance Solutions, LLC, on behalf of American General Life Insurance Company, regarding their products and services, at the phone number provided above, including my wireless number, if provided. I understand that these calls may be generated using an automated technology. I understand that I am not required to provide this consent to make a purchase.


1The advertised $19 monthly rate is only applicable to a 50-year-old woman receiving $5,000 worth of Guaranteed Issue Whole Life Insurance coverage. Premiums will vary by issue age, gender and face amount. Premiums are level and guaranteed not to increase. Benefits amounts are subject to limitations.

2Important Consumer Disclosures Regarding Accelerated Benefit Riders

Copyright © 2018 American International Group, Inc. All rights reserved. Operated by TZ Insurance Solutions LLC.

Policies issued by American General Life Insurance Company (AGL) Houston, TX. Policy number ICC15-15532, 155332, 15532-5, 15532-10 and; Rider numbers ICC15-15200 and ICC15-15201. Issuing company AGL is responsible for financial obligations of insurance products and is a member of American International Group, Inc. (AIG). Guarantees are backed by the claims-paying ability of AGL. Products may not be available in all states and product features may vary by state. AIG is the marketing name for the worldwide property-casualty, life and retirement, and general insurance operations of American International Group, Inc. For additional information, please visit our website at aig.com. Products and services are written or provided by subsidiaries or affiliates of American International Group, Inc.

For full information and disclosure regarding the accelerated benefit riders, please click here.

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