American Amicable Life Insurance Company Review

Woman Thinking About American Amicable Review

Should you purchase life insurance from American Amicable Life Insurance Company? In the following American Amicable review, we will be taking a detailed look at the different products the company has to offer to determine if it’s right for your individual needs.

About American Amicable

Amicable Life Insurance Company was charted on February 2, 1909, and began business on April 2, 1910, in Waco, Texas. They had been offering life insurance policies since then. Amicable Life Insurance Company has grown through the years. They changed their name to American Amicable Life Insurance Company in 1965.

Industrial Alliance bought American Amicable Insurance Company for $145 million in 2010.

The American Amicable group of companies is also affiliated with:

  • IA American Life Insurance Company
  • Occidental Life Insurance Company of North Carolina
  • Pioneer American Insurance Company
  • Pioneer Security Life Insurance Company

These companies are all part of Industrial Alliance Insurance and Financial Services Inc.

Together the companies serve over 4 million families, have more than 5,000 employees, and manage over $109 million in assets. Today the American-Amicable Group has approximately $6.7 billion of life insurance coverage in force.

American-Amicable Group market life insurance products including final expense, simplified term, universal life, modified life insurance, group term, and annuities. These policies are tailored to fit the needs of the customers which include civilian, government employees and senior citizens.











A.M. Best Company (one of the most reputable third-party rating agencies dedicated to rating life insurance agencies) has granted American-Amicable an “A” or excellent rating. This rating was granted in February 2015.

It means the company is financially stable to meet a future financial obligation. Additionally, they are an accredited business and have an “A+” rating with the Better Business Bureau.

American Amicable’s “A” rating from A.M. Best is an assurance that the company and their life insurance products are of good standard. It means that your investments are safe with the company not just now, but in the years to come.

If you need to inquire or contact them directly, the American Amicable phone number is (800) 736-7311, or you can visit their website


American-Amicable offers four types of insurance products to prospective customers final expense, simplified term, universal life, and modified life:


One of American Amicable no exam life insurance is Final Expense policy.

Final expense or senior choice insurance policies are designed to pay the insured’s funeral and other final expenses.

American Amicable policies are rarely the best value and their pricing is higher than many other highly rated companies.

Issue Ages:

  • 0-85 (age last birthday)
  • Premium Paying Period: to age 110
  • Minimum Face Amount: $2,500

Maximum Face Amount Immediate Death Benefit:

  • Ages 50 to 75: $35,000
  • Ages 76 to 85: $20,000

Maximum Graded Death Benefit for Ages 50-85: $20,000

Maximum Return of Premium Death Benefit for Ages 50-85: $20,000

3 Levels of Coverage based on health

  • Immediate Death Benefit – immediate coverage from day 1.
  • 100% of face amount will be paid immediately

Graded Death Benefit

  • 30% of selected face amount paid if death occurs during the 1st policy year
  • 70% paid the 2nd year
  • 100% paid the 3rd and subsequent years
  • 100% paid for accidental death, all years

Return of Premium Death Benefit

  • Return of premium plus 10% interest for three years if under age 65 at the date of policy issue
  • Graded 2 years if 65 or older at the date of policy issue (Graded 2 years for all ages in IL, NH & NJ)
  • 100% paid after a graded period
  • 100% paid for accidental death, all years

Benefits and Riders (No Additional Cost):

Terminal Illness Accelerated Benefit Rider – full death benefit is available to you if you’re diagnosed with a terminal illness and you only have less than 24 months to live. You can get this rider at no additional cost.

Accelerated Benefit Rider – Confined Care: permanent confinement to a nursing facility 30 days after buying the policy will let you avail of this rider.

You are allowed to receive up to a maximum of 5% of your face amount monthly as part of the immediate death benefit plan. However, this rider may not be available in your state.

This is a whole life insurance policy, so once you qualified for the coverage, the premium stays the same it cannot be increased – even if you are advancing in age or you have an adverse health condition.

Likewise, the death benefit amount cannot be decreased. Your plan cannot be canceled by the company, as long as you pay the premium.

This final expense plan is also a permanent life insurance policy with a cash value component.

Your money is permitted to grow and compound on a tax-deferred basis.  This means that the growth of these funds is not taxable until you withdraw them. The cash value amount can be either borrowed or withdrawn for any reason.

There is no medical exam, urine or blood work needed to qualify for this policy. Therefore, the policy approval process is much faster than a fully underwritten life insurance policy. It takes a couple of days to a week for an application to be approved.


  • Application information
  • Telephone Interview – American Amicable telesales requires you to answer health questions
  • Medical Information Bureau check
  • Pharmacy Database Check
  • Client’s Build – height to weight ratio

Here are the health questions that will be asked in the phone interview:

  • Are you currently hospitalized, confined to a bed or nursing facility, or using oxygen equipment to assist in breathing or receiving Hospice Care?
  • Have you had or been medically advised to have an organ transplant, or have you been diagnosed as having a life expectancy of 12 months or less, Alzheimer’s, dementia, mental incapacity, or have you been diagnosed, treated (including dialysis) or taken medication for kidney or liver failure, respiratory failure?
  • Have you been medically treated or diagnosed by a medical professional as having Acquired Immune Deficiency Syndrome (AIDS), AIDS-related complex (ARC), or any immune deficiency related disorder or tested positive for the Human Immunodeficiency Virus (HIV)?
  • If you answered “NO” to all these questions, American Amicable will approve your application if your prescription history shows no treatment for these conditions.


American Amicable also offers simplified issue term life insurance that is not appropriate for final expense needs or burial insurance.

There are two options here. These include the Non-Medical and the Association Term Life insurance option. Both of these policies do not require a medical exam as part of the application process.

  • Minimum – $25,000 face amount
  • Maximum- $250,000 face amount

Premium Rate Classes:

  • Male/Female
  • Smoker/ Non-smoker

Mode of payment – Monthly, quarterly, Semi-annually

You must pay $60 annual fee for this policy.

3 Guarantee Level premium periods to choose from 10, 20, 30

After the selected level premium period, the policy can be annually renewed up to age 95 (although the cost will be very expensive).

The premiums will not change for the duration of the term. The premium will go up starting year 21. If you survived the entire length of the policy, you would receive your premium back if you choose the return of premium option. The return of premium plan is available on the 20 & 30 year term periods.

With a return of premium:

  • 10 Year 18-70            n/a
  • 20 year 18-65         available
  • 30 year 18-55         available
  • Return of Premium Plan: Available on the 20 &30 year plans only

After the term period, American Amicable returns all of the following:

  • Base Policy Premium
  • Policy fee
  • Modal amount

Beginning early as the 2nd policy year at least a portion of the premiums paid is accessible to be returned. The percentage amount of premiums that are returned increases each year until it reaches 100% at the end of the term period selected. It also builds cash value in the 2nd year.

If you wish to have a lifetime insurance policy in the future, you can opt to convert the non-medical term policy over into a permanent form of life insurance coverage.

The plan is convertible (up to age 75) to any Whole life plan issued by the company, without evidence of insurability. Simplified Term is also annually renewable to age 95 after the selected term period.


Disability Income Rider – Pays a monthly benefit to the insured in the event the insured become totally disabled:

  • Disability is anything which keeps you from being able to perform the primary duties of your regular job as a result of such injury or disease.
  • The monthly benefit is 2% of the total face amount should not exceed $1,500 (if annual income is below $25,000, the benefit cannot exceed $900 per month).
  • 60 Day elimination period and the benefits are not retroactive.
  • The benefit Period runs for 2 years.
  • Ineligible occupations – hazardous occupation
  • Issue ages: 18-55
  • Rider terminates at age 60 (unless benefit period is in effect)

Critical Illness Rider: Provides a cash benefit to the policyholder upon the diagnosis of a covered critical illness:

  • You can get it upon diagnosis, and you can use it however you like such as help to cover medical bills etc.
  • Available at 25%, 50% or 100% acceleration up to $100,000 critical illness benefit

Covered Illness:

  • Heart attack
  • Coronary artery bypass graft
  • Stroke
  • Invasive cancer
  • Kidney failure
  • Major organ transplant surgery
  • Paralysis
  • Blindness
  • Terminal illness
  • HIV contracted while performing duties as a professional healthcare worker

-Issue ages: 18-65

-Rider Coverage expires at age 70

– Not available in Pennsylvania

Waiver of Premium: Waives the payment of each premium (including riders) in the event of total and permanent disability.

  • Issue Ages: 18-55
  • Rider coverage expires at age 60 (unless the rider is in effect)

Children’s Insurance Agreement: Provides $3,000 per unit (max 5 units) on each child until age 25. Convertible up to five times the initial coverage.

  • Issue ages: children 15 days – 17 years; primary insured 18-50
  • Benefit expires at the earlier of primary insured’s age 65, or the child’s age 25.

Accidental Death Benefit: An additional benefit paid to the beneficiary if the insured dies as the result of an accident.

  • Available up to $200,000 or 5 times the face amount of the policy, whichever is less. (Issue ages 18-64) benefit expires at age 65.


Terminal Illness Accelerated Benefit Rider: Insured can receive up to 100% of the death benefit when insured has a life expectancy of 12 months or less.

  • The death benefit is given in lump sum which you can use to pay medical bills, have a holiday with the family or however you like.

Accelerated Benefits Rider – Confined Care:

The insured must be a full time, permanent resident in the nursing home.

  • Fixed monthly Payment of 2.5% of face amount, the full face amount can be paid over time.
  • If you pass your beneficiary will receive how much was left of the death benefit.


  • Application information
  • Telephone Interview (if necessary)
  • Medical Information Bureau
  • Pharmacy Database Check
  • Client’s Build

ASSOCIATION TERM LIFE INSURANCE is a Group Plan which is open to applicants who are between the ages of 18 and 65.

This is a 10-year renewable term life insurance policy which is available to members of the following:

  • All Government Employees (Federal, State, County & City)
  • First Responders (Police, Firemen, emergency medical professionals)
  • Employees of State-Funded Educational Institutions
  • Railroad Employees
  • Hospital Employees
  • Spouses of eligible individuals

Association term life offers death benefit protection only, without any cash value or investment build up.  Because of this, the premium amount for term life is typically lower or more affordable than that of permanent life insurance coverage.


American Amicable also offers a fully underwritten universal life insurance policy. The universal life policy is permanent life insurance.

  • It has a flexible premium, an adjustable benefit for both death benefit protection and cash value component.
  • The coverage range between $25,000 and $250,000.
  • There is no medical exam required to qualify for this plan.

Since this is a permanent life insurance policy, the cash value of this plan is allowed to grow on a tax-deferred basis. The cash value can be borrowed or withdrawn for any reason.

If you pay the premium regularly the coverage will not expire. There is also a no-lapse guarantee for 15 years as long as the minimum premium amount is paid.

Non-Medical Universal Life

Medical exam or blood work is not required as part of the application process. It has flexible premium and adjustable death benefit which can accumulate cash value.

  • It has a fixed interest rate of 3.2%.
  • This policy is available for ages 0-75.
  • The minimum face amount is $25,000, and the maximum face amount is $250,000.
  • No-lapse guarantee is available if minimum premiums are paid, your death benefit will be guaranteed for a period of at least 15 years. You can choose to have a level death benefit or increasing death benefit.

The Terminal Illness accelerated benefit rider is included at no cost and you can receive up to 100% of the death benefit if you are diagnosed with terminal illness and have a life expectancy of 12 months or less.

Optional policy riders at a minimal cost include the Accidental death benefit, Children’s insurance agreement rider, Accelerated Living benefit rider, Total disability benefit rider, Waiver of premium rider, and Waiver of premium for unemployment rider.


Modified Life by American Amicable is a guaranteed permanent life insurance policy. During the first year, the premium payments will go to pay the life insurance premium and optional benefit riders of the policy. The policy is payable up to age 100.

Beginning the second year, one-half of the premiums will pay for the whole life insurance and riders but the other half of the funds will go toward the tax-deferred annuity vehicle of your choice.

After the age 65, your death benefit reduces by 50%.

The death benefit proceeds are not subject to income tax. It can build cash value on a tax-deferred basis. You can access your cash value in case of emergencies by borrowing against your policy.

Optional policy riders at a minimal cost include the Accidental death benefit, Accelerated living benefit rider, Total disability benefit rider, Children’s insurance agreement rider, Waiver of premium rider and Waiver of premium for unemployment.


American Amicable Life Insurance is basically a no medical exam company except for the fully underwritten Universal life policy.

Final expense life insurance, simplified term insurance, group term, and modified life do not require a medical exam. No medical exam policies have limitations. Answering yes to health questions about specific conditions may result in your application being declined.

The face value amount limits are too low. The maximum death benefit is limited to $250,000 for term life insurance products. This amount does not offer much protection for younger adults.

American Amicable like any non-medical exam companies provides lower face value. You will need to buy a second policy if you want more insurance coverage.

American Amicable has captive insurance agents who exclusively sell their own products which are limited in scope. Their website doesn’t even provide much information about the products they offer.


If you have been looking for the best premium rates from American Amicable Life Insurance Company or any other insurance carriers – it is best to work with an independent life insurance agency like Funeral Funds.

Doing this will enable you to compare different companies side-by-side regarding different policy types and premium rates.

We can assist you to get all the vital details that you need to make a well-informed decision. We are an independent brokerage, and we work with many top-rated life insurance companies in the market today.

Call us at (888) 862-9456 if you have any questions about American Amicable Life Insurance Company or life insurance in general. Fill in the quote box to get an accurate burial insurance quote.


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