Life insurance is a highly important component of many people’s financial plans. One of the key reasons for this is because the proceeds from a life insurance policy can be used for multiple needs of one’s survivors, such as paying off debt, replacing income for everyday living expenses, and paying the high cost of the insured’s funeral and other final expenses.
If you are currently searching for the right life insurance policy, it is essential that you go with the right type of coverage, as well as the best amount regarding future anticipated needs. It is also recommended that you ensure that the insurance carrier you get the coverage through is secure and stable financially and that it has a positive reputation for paying out its claims to policyholders. One insurer that meets these criteria is Amica Life Insurance Company.
The History of Amica Life Insurance Company
Amica Life Insurance Company is the oldest mutual insurer of automobiles in the United States, with more than 100 years in the insurance business. Amica is a mutual insurance company, which means that it does not have stockholders, but rather the company’s policyholders are considered owners in the company.
The company was initially established in 1907 as The Automobile Mutual Insurance Company of America, and the first products offered by the company were automotive, fire, and theft insurance.
Over the years, it has grown and expanded and added additional product offerings to its mix. It has 44 offices around the United States. Amica Mutual Insurance Company is headquartered in Lincoln, Rhode Island.
Amica has several subsidiaries. These include:
- Amica Life Insurance Company – This subsidiary of Amica offers both life insurance and annuity products, as well as some types of health and specialty products. This entity does business in all of the U.S. states except Hawaii. Amica Life Insurance Company was established in 1968.
- Amica Property and Casualty Insurance Company – Amica Property and Casualty Insurance Company is also a wholly owned subsidiary of Amica Mutual Company. This entity provides auto insurance in New York and New Jersey. It was established in 2005.
- Amica General Agency, Inc. – Amica General Agency, Inc., was founded in 1987, with the purpose of assisting with special or unique insurance needs.
As a mutual insurer, policyholders may be eligible for dividends – which can be taken as cash, or added to a permanent life insurance policy’s cash value, or used to purchase additional life insurance protection. (It is important to note that dividends are not guaranteed).
Amica Life Insurance Company Review
In addition to providing insurance coverage, Amica is also a key contributor to the communities in which it serves. For example, just one of how this company helps to build community ties is by sponsoring Habitat for Humanity.
Amica has also earned numerous awards and accolades throughout the years. These include:
- Highest Customer Satisfaction Among National Homeowner Insurers from J.D. Powers for more than 15 consecutive years
- Best Places to Work in 2017 from the Providence Business News and Best Companies Group. The company has been included in this list eight times.
Insurer Ratings and Better Business Bureau (BBB) Grade
Based on the company’s financial strength and claims paying ability, Amica Mutual Group has received a rating of A+ (Superior) from A.M. Best Company. Amica Life Insurance Company has also received an A.M. Best rating of A+.
Also, Amica has been an accredited business through the Better Business Bureau since January 1, 1957. The company has been given a grade of A+ from the Better Business Bureau, which is on an overall grade scale of A+ to F.
Over the past three years, Amica has closed out 79 total customer complaints via the Better Business Bureau, with 52 of these being closed out within the past year. Of the 79 customer complaints, 45 of these had to do with problems with the company’s products and services. Another 26 complaints dealt with billing and collection issues, six were related to advertising and sales issues, one was about delivery issues, and another one had to do with guarantee and/or warranty issues.
Life Insurance Coverage Offered Through Amica Life Insurance Company
Amica offers both term and permanent life insurance coverage options. With a term life insurance policy, there is death benefit protection only, with no cash value build up. Because term is considered to be the most basic form of life insurance coverage, it can often be quite affordable, especially for those who are young and in good health. Term life insurance policies will cover an insured for a certain length of time.
Permanent life insurance offers both death benefit protection and a cash value or savings component. The money that is inside the cash value portion of the policy is allowed to grow and compound on a tax-deferred basis, meaning that there is no tax on the gain until the time the funds are withdrawn.
Amica offers a level term insurance product that not only provides life insurance coverage for a set length of time, but that can also essentially be “customized” to best fit an insured’s personal needs.
These term insurance policies allow the choice of coverage for ten years, 15 years, 20 years, 25 years, or even for 30 years. During the period that is selected, the amount of the premium rate will remain the same – and, as long as the premium is paid, the policy will guarantee a level amount of life insurance protection up to the insured’s age 95. (With these policies, the coverage amount will also not decrease as the insured gets older).
Amica’s level term life insurance coverage also allows the option to add a cost of living adjustment rider. This provides the opportunity to offset inflation by increasing the face amount of the policy each year – at the same premium rate.
Also, the insured may also wish to take advantage of the conversion option, which can allow him or her to convert the term policy over into a permanent form of life insurance coverage. This option is available, regardless of the insured’s health.
The policy can also include a terminal illness rider, which allows the insured to receive a portion of the policy’s death benefits if he or she becomes terminally ill. These funds can help to pay for medical expenses or any other need that the insured sees fit.
Additional optional benefits and riders that can be available with the Amica level term life insurance policies include the waiver of premium, the children’s insurance rider, and an accidental death benefit rider.
Regarding premium price, Amica Life Insurance Company offers discounts for larger policies, and there are no policy fees. Also, an insured may be rewarded with a lower amount of premium if he or she is in excellent health, and they make healthy, positive lifestyle choices, such as exercising and eating right. For those who qualify for Amica’s better premium rate classes, there may be no need to take a medical examination as a part of the insurance underwriting process.
About permanent life insurance coverage, Amica Life Insurance Company offers whole life insurance. With a whole life insurance policy, the death benefit is guaranteed, and the cash value funds will grow at an interest rate that is set by the insurance company. Also, the amount of the premium cannot be increased – even as the insured ages, and if they contract an adverse health issue.
Whole life insurance is meant to cover an insured for the entirety of their lifetime – as long as the policy’s premiums are paid. And, the cash that is in the cash value portion of the policy may be either borrowed or withdrawn by the policyholder for any need or reason.
The whole life insurance from Amica also has some ways to customize the coverage to meet the needs of the insured better. For example, there is an early benefit provision, whereby if the insured is diagnosed with a terminal illness and given a life expectancy of one year or less, then they may receive advanced funds from the policy’s death benefit.
There are also additional optional benefits and riders, which include a waiver of premium, children’s insurance, accidental death benefit, and/or a guaranteed option to purchase additional insurance.
As with Amica’s term insurance policies, there can be premium discounts available for larger policies, and there are no policy fees. Also, Amica may reward an insured with lower premiums based on the insured having excellent health and lifestyle choices.
Amica also offers a simplified whole life insurance policy option. Here, the application and approval process is fast and easy and does not require a medical exam to qualify for the coverage. This coverage protects an insured up to the age of 120, and it guarantees level premium, never to increase – even regarding age or health condition. The premium payment on this simplified whole life insurance coverage option can be made monthly, quarterly, annually, or semi-annually.
The simplified issue whole life insurance plan is available in face amounts of $5,000, $10,000, $15,000, $20,000 or $25,000. There is no waiting period for coverage to begin, and there is a 31-day free look period for the insured to determine whether or not this is the right coverage for their needs. (And if not, they can return the policy and receive a full premium refund). Simplified issue whole life policies are often used to help survivors pay for funeral and other final expenses, as well as final medical bills and debt.
Other Products and Services Offered
In addition to providing life insurance protection, Amica Life Insurance Company also has additional products in its inventory, including:
- Auto Insurance
- Home Owners Insurance
- Marine Insurance
- Personal Liability Coverage
- Condo Insurance
- Renters Insurance
- Motorcycle Insurance
- Small Business Insurance
- Wedding and Event Insurance
- Retirement Annuities
- Traditional and Roth IRAs
How to Find the Best Life Insurance Premium Quotes with Amica Life Insurance Company
If you are looking for the best life insurance premium rates with Amica Life Insurance Company – or on coverage from any insurance company – it is typically recommended that you work with an independent insurance agency or broker that has access to many different insurance carriers. That way, you can directly compare – in an unbiased way – the policies and the premiums of multiple insurance options, and from there you can more easily choose the one that may work best for you.
When you are ready to move forward with comparing life insurance policy options, we can help. We are an independent life insurance brokerage, and we can provide you with all of the essential information you need for making a well-informed decision. We can do so for you very quickly and easily, without having to meet with an insurance agent in person. In fact, you can receive the details that you need directly online from us. If you are ready to proceed, then just simply fill out our quote form.
We know how overwhelming it may be to look for the right life insurance coverage. There are many angles to consider – and you want to make sure that you are going with the best alternative for you. We can help you to find the coverage that’s best. So, contact us today – we’re here to help.