Does AARP Offer Homeowners Insurance
Formally known as the American Association of Retired Persons, AARP is tailored for retirees and an older demographic. Their focus is on connecting retirees to services and products, as well as lobbying for issues pertaining to the older generation, such as the health care debate. It was founded in 1958 by a retired teacher, and originated from the National Retired Teachers Association (NRTA). It has since grown into a large insurance organization that sells insurance to people of all ages, across a large portion of the US. Like many large companies, there are a few criticisms. US senators have questioned the associations non-profit status, claiming that AARP abuses its non-profit status and image of an advocate for retirees as a way to market and sell insurance. A 2019 class action against AARP accuses them of taking undisclosed commissions from Medicare patients. AARP executive staff have been criticized for the extravagant travel expenses charged to the company. On the other hand, AARPs charitable organizations offer education programs and employment opportunities to older citizens, and the majority of their executive board is women, so it’s a company that is led by women.
AARP Homeowners Insurance Review and Costs
Technically AARP is not an insurer. Instead, it receives a commission when insurance companies use the AARP brand. This is an effective strategy, since it’s a brand that is well established with retirees. AARP homeowners insurance actually uses other insurance companies to underwrite its policies while using its brand to market insurance to the older generations. The Better Business Bureau (BBB) give AARP homeowners insurance an A+, however most of the customer reviews on BBB only rate them with 1 star for customer satisfaction, and there is an above average number of complaints. Most complaints for policy holders are for reduced payments after a claim has been made, or a policy that has been suddenly cancelled. AARP homeowners insurance is not available in all states, and is only available to AARP members, which incurs a small annual fee.
| AARP Homeowners Insurance High-Level Review | By the Numbers |
|---|---|
| BBB rating for AARP Homeowners Insurance | A+ |
| AARP Renters Insurance JD Power Rating | 3/5 |
| Avg. Cost for AARP Homeowners Insurance Yearly | $1,164.00 |
| Avg. Cost for AARP Homeowners Insurance Per Month | $97.00 |
AARP Howeowners Insurance Coverage
A basic policy with AARP homeowners insurance covers houses and condos for vandalism, theft and damage from accidents or storms, as well as personal property protection, personal liability and medical expenses. You can also cover additional structures such as sheds, fences and pools for an extra fee. Other add-ons that are offered by AARP homeowners insurance include additional cover for expensive personal items, cover against identity theft and fraud, replacement of certain appliances, earthquake cover, reimbursement for temporary accommodation expenses, reimbursement for replacing locks, protection for electrical wiring, water pipes, sewage pipes, air-conditioning and heating. AARP can also tailor insurance packages specifically for older people, which include cover for assisted living and small reimbursements for installing safety features to your kitchen and bathroom, for example handrails and non-slip floor surfaces. Always read your policy carefully to make sure you know what is covered.
It’s not uncommon for homeowners to assume that mold, flood and water damage will be covered in a standard policy. Unfortunately, none of these are covered in a basic AARP homeowners insurance policy. Mold in particular is commonly misinterpreted by many policy holders. In most cases, AARP homeowners insurance only covers mold so long as it was caused by an event that is specifically listed in your policy. Unfortunately, flood and water damage, which are the main causes for mold, are not covered in a standard policy from AARP homeowners insurance. In order to secure cover for mold, the policy must also specify cover for flood and water damage. The cost of adding mold, water and flood damage to your insurance policy varies depending on which state you live in, as well as the characteristics of your home. If you live near a flood zone, or in an area prone to high winds and storms, then taking out extra cover for mold, flood and water damage makes sense.
How Much is AARP Homeowners Insurance Near You
The 5 most expensive states across the US are those that are frequently impacted by natural disasters and storm; Oklahoma, Kansas, Texas, South Dakota and South Carolina rank as the most expensive state to take out AARP homeowners insurance. On the bottom of the list is Delaware, Vermont and Pennsylvania with the cheapest rates. Shopping for homeowners insurance can be tedious, and the amount of information that is required to get an accurate quote can be overwhelming. This aside, a quote from AARP homeowners insurance will allow you to make an informed decision. It’s obligation free, and there are plenty of add-ons and discounts that members can take advantage of.
Get a AARP Homeowners and Auto Insurance Discount
As with most insurance companies, there are an abundance of factors that affect the cost of AARP homeowners insurance, but one way to reduce the cost of your AARP homeowners insurance is to increase the deductible, which is the amount that you have to pay in the event of a claim. If you use environmentally friendly products when you make any repairs then you may be eligible for a 10% increase in the payout of a claim. Bundling your AARP homeowners and auto insurance policy will make you eligible for a 20% discount, as well as a 5% reduction in your car insurance. Travel related discounts are a common feature with AARP homeowners insurance. This can include discounts on cruises, car rentals and other holiday packages. There are often pharmaceutical discounts on offer for AARP homeowner insurance policy holders. Having a good credit score can also drop the price of your insurance, as well as a no-claim record and being retired. Updating your home, especially the roof, plumbing and electrics will decrease the risk of an accident, and will therefore reduce the cost of your premiums. Eligibility for a few of these benefits and discounts may only require membership instead of being a full policy holder.
Costs of AARP Homeowners Insurance Compared with Competitors
When searching online for the cheapest homeowners insurance companies in various states, AARP is consistently missing from the lists. This isn’t to say that AARP isn’t the cheapest option in your city or area, but it points out the importance of requesting a quote from AARP homeowners insurance and have an assessor visit your home to inspect your house. Some people have reported that while AARP homeowners insurance has a competitive price tag in their particular city, they found that AARP car insurance was substantially more expensive, even when their auto and homeowners insurance was bundled together. The savings for eligible members come from the packages, discounts and special offers that come with AARP homeowners insurance.
Reaching Out to AARP Homeowners Insurance
To make an AARP homeowners insurance claim, the first thing you should do is record as much information as possible. Take photos of the incident, and provide before and after photos to the AARP assessor, if possible. You should either call your local agent, or call the 24/7 helpline to notify them and start the claim process. Often an assessor will visit your home, inspect the damage, provide advice and file an internal report. In many situations, the assessor will provide you with a list of approved tradesmen and contractors that you can use to complete emergency repairs, or the final work. Be sure to keep all of the receipts and invoices for the repairs since AARP will request this information as part of their claims process. It can be quite a long process, and you have to be prepared to wait sometimes. Photos and a household inventory list can both be helpful tools to make it smoother.
To cancel your AARP homeowners insurance policy, simply visit a local office and talk to a representative, write to their head office or call the AARP tollfree helpline on 800-514-4564 and they will cancel it over the phone. It isn’t possible to canel AARP homeowners insurance online. The process is simple; have your policy number on hand and the date that you would like your cover to finish. If you choose to cancel your policy with AARP homeowners insurance, check to make sure any automatic payments are also stopped. There can be a 10% cancellation fee associated with ending a policy, especially if it is cancelled within the first 6 months. The AARP membership fee can also be refunded if cancelled within 30 days of renewal, as well as refunding any time left over on your AARP homeowners insurance policy. If in doubt, then you can always refer to your AARP homeowners insurance cancelation policy for more details.
Deciding on Whether AARP is Right for Your Home
If you are a retiree who likes to travel and is looking for a female led insurance company that can bundle all of your insurance needs into a single policy, then AARP homeowners insurance may be a good choice. The US health care reform debate divided the country on AARP, so it will depend on which side of the debate you are on as to whether to choose buy a policy with them. If you do, then make sure to double check your policy when you receive it to make sure any additional cover that has been purchased is included in the actual policy. AARP homeowners insurance is not the cheapest option that is out there, but sometimes the cheapest option isn’t always the best choice. Call to request an AARP homeowners insurance quote, compare it with others and balance the pros and the cons with online research and legitimate reviews from customers who have dealt with them.
