Afba Life Insurance: Is It A Good Choice?

The Armed Forces Benefit Association (AFBA) is a life insurance company that provides benefits to military service members, veterans, first responders, and government or municipal employees. Founded in 1947, AFBA offers group and individual term life insurance policies underwritten by 5Star Life Insurance Company. The company has paid out over $2 billion in death benefits and currently serves over 920,000 members. AFBA's policies are known for their compassionate claims process, absence of war or terrorism exclusions, and relatively low coverage maximums compared to other providers. So, is AFBA life insurance good? Let's explore further.

AFBA's life insurance policies are underwritten by 5 Star Life (a Lincoln, Nebraska company)

The Armed Forces Benefit Association (AFBA) offers life insurance policies underwritten by 5 Star Life Insurance Company, a Lincoln, Nebraska company. 5 Star Life is a wholly owned affiliate of AFBA, established in 1996 to provide AFBA members with coverage tailored to the unique needs of service life. The company is licensed in 49 states, as well as the District of Columbia, Puerto Rico, the U.S. Virgin Islands, Guam, and American Samoa. Notably, 5 Star Life is not licensed in New York, and some AFBA policies in that state are underwritten by other companies.

AFBA's life insurance policies are designed to provide certainty and peace of mind to military service members, veterans, first responders, and their families. The association has a long history of supporting those who serve, dating back to its founding in the basement of the Pentagon to address a critical need for life insurance benefits for military members. Today, AFBA serves over 650,000 members and has paid nearly $2 billion in death benefits since its inception.

The life insurance policies offered by AFBA include group and individual term life insurance. While term life insurance only provides temporary coverage for a chosen policy term, it tends to be more affordable than other types of life insurance. AFBA offers four different term life options: Better Alternative Term, group term life insurance, individual single premium term life insurance, and Children's Protect. These plans provide coverage ranging from $15,000 to $500,000, with varying requirements for medical exams based on age and coverage amount.

In addition to life insurance, AFBA also offers a range of other benefits to its members, such as health and well-being resources, financial planning guides, identity theft protection, and discounts on various products and services. One notable benefit is the Family Survivor College Scholarship, which provides up to $40,000 toward an undergraduate degree, license, or certification for the spouse and children of eligible fallen members.

Overall, AFBA's life insurance policies, underwritten by 5 Star Life, aim to provide comprehensive coverage and support to military service members, veterans, and their families, ensuring peace of mind and financial stability during uncertain times.

AFBA offers group and individual life insurance policies

The Armed Forces Benefit Association (AFBA) offers group and individual life insurance policies to its members. AFBA was founded in 1947 within the Pentagon to provide resources to military service members and their families. Today, it serves over 920,000 members and has paid out over $2 billion in death benefits.

AFBA's life insurance policies are underwritten by 5 Star Life, a provider of group and worksite insurance. 5 Star Life is licensed in 49 states, as well as the District of Columbia, Puerto Rico, the U.S. Virgin Islands, Guam, and American Samoa. In New York, some AFBA policies are offered but are underwritten by different companies.

AFBA offers four different term life insurance options: Better Alternative Term, Group Term, Standalone Children's Term, and Smart Start Child. The Better Alternative Term policy is available to active-duty military, retirees, and veterans, with coverage amounts ranging from $50,000 to $400,000. This policy lasts until the insured turns 70 as long as premiums are paid on time, and no medical exam is required for coverage amounts under $250,000 for those under 50 years old.

The Group Term policy provides up to $500,000 in coverage for current or former government employees, contractors, and groups, as well as non-federal first responders and their families. Similar to the Better Alternative Term policy, coverage lasts until the insured turns 70, and no medical exam is required for amounts up to $250,000 for those under 50.

The Standalone Children's Term policy offers up to $50,000 in coverage for children between the ages of one and 17. The policy remains in effect until the child turns 70, with level premiums until the age of 45. The Smart Start Child plan, on the other hand, provides up to $15,000 in coverage for children between 14 days and 18 years old. This plan has a single premium payment option, with $10,000 of coverage available for $150 or $15,000 for $225. Once the child turns 25, they can convert the policy to a whole life policy without a medical exam.

In addition to these term life insurance options, AFBA also provides an Emergency Death Benefit, which allows families to access a portion of the total death benefit to cover funeral expenses and other costs associated with the death of a loved one. There is also the Family Survivor College Scholarship, which offers $10,000 per year, up to a total of $40,000, for the spouse and children of members who die in the line of duty or at the scene of an incident.

AFBA policies are not available to the general public

The Armed Forces Benefit Association (AFBA) offers life insurance to military service members, veterans, first responders, and their families. AFBA policies are not available to the general public. Instead, they are designed to protect those who serve in the military, as well as first responders and their loved ones.

AFBA was founded in the basement of the Pentagon to address a critical need to support military members when commercial companies refused to pay life insurance benefits if a service member died in combat. Since its inception, AFBA has paid out over $2 billion in survivor and death benefits to 920,000 members and their families.

The life insurance policies offered by AFBA are underwritten by 5Star Life Insurance Company, which is licensed in 49 states, as well as the District of Columbia, Puerto Rico, the U.S. Virgin Islands, Guam, and American Samoa. While AFBA policies are not available to everyone, they provide valuable coverage for those who serve, including active-duty military, retirees, veterans, and their families.

To be eligible for an AFBA policy, individuals must meet specific criteria. This includes being a military service member, veteran, first responder, or a spouse of a qualifying member. AFBA also extends coverage to federal employees and contractors, government groups, and their families. This exclusivity ensures that those who put their lives on the line in service to their country or community have access to essential financial protection.

AFBA offers group and individual term life insurance policies, providing coverage amounts ranging from $50,000 to $500,000. While the coverage maximums are relatively low compared to other insurers, AFBA's policies are designed to offer affordable and accessible financial security for military personnel, veterans, and first responders.

AFBA has a 10-day free look period

The 10-day free look period is a risk-free opportunity for customers to ensure they are comfortable with their insurance policy. It allows new policyholders to carefully review the terms and conditions of their insurance and make an informed decision about their coverage. This period is especially important for those who may be unfamiliar with the intricacies of insurance policies or who are purchasing insurance for the first time.

After the 10-day free look period has ended, you can still cancel your AFBA policy at any time. However, it is important to note that you will not receive a refund for any premiums paid after the initial 10-day window. To cancel your policy, simply contact AFBA's customer support team by calling their phone number: 800-776-2322.

The free look period is a standard practice in the insurance industry and is designed to protect consumers by providing them with the right to review their policies and make changes or opt out without penalty. This period also encourages insurance companies to be transparent and upfront about their policies, ensuring customers have a clear understanding of their coverage.

AFBA's 10-day free look period is in line with industry standards and offers customers peace of mind, flexibility, and the opportunity to make informed decisions about their insurance choices.

AFBA policies have no war or terrorism exclusions

The Armed Forces Benefit Association (AFBA) was founded in the basement of the Pentagon to address a critical need to support military members when commercial companies refused to pay life insurance benefits if a service member died in combat. Since its inception, AFBA has paid out over $2 billion in survivor benefits to 920,000 members and their families in every military conflict since the Korean War through the modern-day war on terrorism.

AFBA's life insurance policies are underwritten by 5 Star Life, a provider of group and worksite insurance. 5 Star Life is licensed in 49 states, the District of Columbia, Puerto Rico, the U.S. Virgin Islands, Guam, and American Samoa. Notably, 5 Star Life is not licensed in New York, so some AFBA policies in that state are underwritten by other companies.

AFBA policies are designed to provide peace of mind and financial stability for military families during unpredictable and challenging times. The policies include a $15,000 emergency death benefit, which can be a significant help for families in making burial arrangements. AFBA also offers simplified issue policies, which means that members can obtain coverage up to a certain amount without undergoing a medical examination.

Most importantly, AFBA policies stand out from other life insurance companies by not including war or terrorism exclusions. This means that, unlike most life insurance companies, AFBA will pay out benefits if the insured individual is killed while serving in a war zone or due to a terrorist attack. This feature makes AFBA a valuable and unique option for active military personnel and veterans.

Frequently asked questions