Last Updated: May 2020
Aflac is a well-known insurance company, but is their life insurance right for you? In most cases, no.
In this review of Aflac life insurance, you’ll learn about the life insurance products offered by Aflac, who should be considering Aflac for coverage, and the drawbacks you will experience working with Aflac. After that, you can compare Aflac with other great life insurance companies to find the best rates.
- About Aflac Life Insurance
- Aflac Life Insurance Company Ratings
- Aflac Life Insurance Products Available
- What Makes Aflac Unique?
- Pros of Choosing Aflac for Life Insurance
- Cons of Choosing Aflac for Life Insurance
- Compare Aflac to Other Life Insurance Companies
Life Insurance is Boring. Let’s Get To The Root Of It! Here are the key takeaways…
Aflac offers life insurance through employers. Premium payments are made through paycheck deductions. Aflac holds a rating of “A+” (superior) with A.M. Best. They offer no medical exam policies for up to $50,000. Most people will find a better life insurance policy by comparing it with other companies.
About Aflac Life Insurance
Aflac is known as the American Family Life Assurance Company and considered a United States-based insurance provider. Currently, Aflac is most well-known for its supplemental insurance.
Aflac is a long-standing insurance provider with more than 60 years in operation and currently insures more than 50 million people worldwide. Aflac is purchased as employer-sponsored or payroll deducted coverage. Currently, Aflac employs more than 19,300 agents in Japan and more than 77,000 licensed agents in the United States.
Aflac History and Background
Aflac was initially founded in 1955 in Columbus, Georgia, by John Paul. Aflac had a quick start in the life insurance industry by placing coverage on more than 6,400 individuals in the first year.
Aflac was also the first company to introduce cancer insurance back in 1964. Currently, more than 98 percent of policies issued by Aflac are deducted from employee paychecks.
Aflac is currently headquartered in Columbus Georgia, and the company currently rests its shoulders on more than 100 billion in total assets.
Insurance Coverage Available from Aflac
Aflac currently offers the following forms of insurance coverage:
- Accidental Death Insurance
- Cancer/ Specified Disease
- Dental Insurance
- Hospital Confinement Indemnity
- Hospital Sickness Indemnity
- Hospital Intensive Care
- Life Insurance
- Lump-Sum Cancer Insurance
- Lump-Sum Critical Illness
- Specified Health Event
- Short Term Disability
- Vision
Aflac Life Insurance Company Ratings
Financial strength ratings can help consumers understand how solvent a life insurance company is and how likely they are always to be able to fulfill obligations to loyal policyholders in regard to claims.
Currently, Aflac is resting on some of the best financial strength numbers that can be provided to a life insurance company.
- A.M. Best: “A+” (superior) rating
- Affordability Index: 4.5
- Ease of Applying: 5.4
- Customer Service: 8.2
- COMDEX Ranking: 95
A.M. Best is the industry benchmark for financial strength in the life insurance industry. The other three metrics are based on a number of factors including our industry knowledge of Aflac compared with other companies. The COMDEX ranking is a composite score that considers A.M. Best and other top ratings agencies.
Learn more about our process for reviewing life insurance companies here.
BBB Rating & Consumer Complaints
Aflac has an A+ BBB rating, which is the highest rating possible.
Additionally, Aflac has a total of 262 complaints in the past 3 years, which seem to all be similar. The complaints are concerning Aflac finding ways not to pay claims on supplemental policies and policies that cover specific hospital stays from premium payors.
Aflac currently has a 1 out of 5-star rating according to 69 total reviews provided on the BBB website.
Aflac Life Insurance Products Available
Currently, if you want life insurance through Aflac, your only option is to get coverage through your employer. That coverage will be directly deducted from your work paycheck.
If you opt to do so, they offer a few benefits that consumers can enjoy.
- Life insurance with no medical exam for up to $50,000 in coverage
- Life insurance for your children
- Cancer insurance
Furthermore, Aflac does offer other unique benefits such as accidental death riders and the ability to port your coverage away from your employer in the situation that you are terminated, resign, or retire.
Usually, it’s better for consumers to have a unique and individual life insurance policy that doesn’t depend on payroll deductions. If you are looking for term life insurance, compare Aflac alongside other top life insurance carriers like USAA Life Insurance before purchasing a policy.
Often, consumers are not aware of how to properly port life insurance away from an employer, and it can be a dangerous game putting all your eggs into this one basket. However, if you have a strong financial portfolio and already have some individual policies in force, Aflac could be a great addition to your portfolio to provide more flexibility and peace of mind.
Who Should Consider Aflac?
Aflac should be considered by people who want coverage if they or a family member must undergo costly hospital stays.
Additionally, Aflac offers other coverages such as cancer insurance that can make sense for individuals who have a history of cancer in the family. Individuals who prefer the auto payroll deduct setting can also benefit from working with Aflac.
What Makes Aflac Unique?
Aflac is unique from the mere standpoint that they currently only life insurance coverage through your employers and through auto-payroll deductions. Aflac is also unique due to its robust options for secondary and supplemental coverages that they offer.
Compared to most other life insurance providers, Aflac offers a much more diverse option for coverage for items such as:
- Medical reimbursement
- Injury coverage
- Illness coverage
Underwriting and Application Process
This is another strength of Aflac due to the shift in how consumers prefer to purchase life insurance. Currently, if you enroll with Aflac insurance coverage through your employer, you will not need to undergo any medical exam or blood draw.
The application processes are much more straightforward, quick to issue, and deducted straight from your paycheck.
Pros of Choosing Aflac for Life Insurance
All life insurance companies offer unique strengths and weaknesses.
After our in-depth review of Aflac, here’s what we believe to be the most significant advantages:
- No medical exam is required
- Children’s life insurance is available
- Easy payroll deductions available for premium payments
Cons of Choosing Aflac for Life Insurance
On the other hand, you have some significant drawbacks you may encounter working with Aflac.
Here’s a look at those:
- It is only available through payroll deduction
- They have a very basic lineup for term life insurance
- More competitive pricing is available in the open market
Compare Aflac to Other Life Insurance Companies
While Aflac may make sense for some people, it’s best to compare your Aflac life insurance quote to other carriers. Comparing rates will ensure you get the best policy for the best price, and in our experience, most people find better rates with other top life insurance companies.
We have reviewed over 50 life insurance carriers and agencies to help you compare and make your decision.
Start by using our quote comparison tool or review other niche life insurance companies below.
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