AAFMAA

American Armed Forces Mutual Aid Association (AAFMAA) is a not-for-profit, tax-exempt, member-owned association that provides life insurance and survivor services to the U.S. Armed Forces communities. In 2012, membership exceeded 90,000. Membership includes life insurance benefits, Member/Survivor Assistance Benefits with no war clause, no terrorist clauses, and no aviation clauses or exclusions, Wealth Management and Trust Services.

History
AAFMAA was founded in 1879 by a group of Army Officers in response to the 1876 Battle of the Little Big Horn, or "Custer's Last Stand." During frontier times when an officer died, the remaining soldiers would literally "pass the hat" to raise money for the surviving family. This system collapsed, however, with the Battle of the Little Big Horn. There were too few survivors to pass the hat, thus leaving the deceased soldiers' families in need. To remedy this situation, Army officers established the association. For many years, it was known as Army and Air Force Mutual Aid Association. In 2013, the name was officially changed to the American Armed Forces Mutual Aid Association (AAFMAA) as it is known today, with the same acronym. AAFMAA is headquartered at Fort Myer, VA with additional offices in Reston, VA and Fayetteville, NC.

In 2009, AAFMAA formed AAFMAA Member and Survivor Benefits LLC to provide living and survivor services. As of July 2010, AAFMAA Member and Survivor Benefits provides Living Services to AAFMAA’s Grandfathered members and Survivor Assistance Services to the surviving widows and widowers of deceased AAFMAA members.

In 2012, AAFMAA formed AAFMAA Wealth Management & Trust LLC to provide financial planning, investment management, and trust services. AAFMAA Wealth Management & Trust LLC is a North Carolina chartered trust company headquartered in Fayetteville, NC with a branch office in Reston, VA.

Lines of business
Life Insurance: AAFMAA offers a range of life insurance products, including whole life and term insurance.

Living Services: AAFMAA offers services to members through its wholly owned subsidiary, AAFMAA Member and Survivor Benefits LLC. These services include document storage in AAFMAA’s secure vault, annual Family Information Report which includes personal affairs planning information, including estimates of Social Security, survivor benefits, insurance coverage, and projected college costs, insurance counseling, Financial Awareness Service, pre-retirement/separation from service briefings, representation with the Veterans Administration (VA) for claims.

Survivor Assistance Services: These services are included with each member’s membership, including payment of AAFMAA death benefit, claims initiation plus follow-up, claims representation, lifetime individualized benefit notification, Social Security notification, Financial Awareness Service and an annual statement of spouse entitlements.

Financial Planning: AAFMAA Wealth Management & Trust provides comprehensive financial plans that focus on six different areas: Net worth, cash flow, insurance analysis, education funding, retirement planning, and estate planning.

Investment Management: AAFMAA Wealth Management & Trust offers an ongoing process of understanding client financial goals, determining the optimal asset allocation, monitoring client investments, and repositioning portfolios as needed. An Investment Policy Statement (IPS) is developed for each client, providing a framework within which investment decisions are made commensurate with client investment objectives, risk tolerance, investment restrictions, and governing instrument(s), and within which portfolio returns are evaluated.

Trust Services: AAFMAA Wealth Management & Trust is a state-chartered trust company, providing estate planning support and complete trust services, including acceptance of assignment as trustee, and trust asset management and administration.

Eligibility
Applicants become AAFMAA members when they meet medical requirements and are issued a life insurance policy on their own life. Members can then purchase additional policies for themselves, their spouse, children and grandchildren. AAFMAA policies have no war, no aviation and no terrorism clauses.

Membership eligibility  All ranks of Army, Air Force, Navy, Marine Corps and Coast Guard who are:
 * Active Duty (or within 120 days after separation)
 * Guard or Reserve (Full or Part Time)
 * United States Air Force Academy (USAFA), United States Coast Guard Academy (USCGA), United States Military Academy (USMA), United States Merchant Marine Academy (USMMA) and United States Naval Academy (USNA) midshipmen and cadets
 * Reserve Officers' Training Corp (ROTC) Contract/Scholarship Cadets
 * Army, Air Force, Navy, Marine Corps and Coast Guard retirees
 * Honorably discharged Veterans residing in Connecticut, Florida, Hawaii, Maryland, North Carolina, Oklahoma, South Carolina, or Virginia

Life insurance eligibility
 * Members and spouses (age limits are dependent upon product selected)
 * Children and grandchildren 6 months through age 17 (whole life only)
 * Children and grandchildren ages 18–23 (whole life and Level Term I)
 * Widows of members (for themselves and children/grandchildren of member)

Introductory membership program AAFMAA offers cadets a free introductory membership program. Midshipmen and cadets must be attending one of the service academies or ROTC cadet under contract, or attending an Officer Commissionary Program or Warrant Officer Candidate School (WOCS). This free Introductory Membership includes a $5,000 term life insurance policy at no charge and Survivor Assistance Services. The policy covers them until their date of commission. Those desiring continuing coverage may purchase any of AAFMAA’s life insurance policies by completing a life insurance application and qualifying for coverage. Upon commissioning, they are eligible to apply for AAFMAA’s Career Assistance Program (CAP).

Financial Planning and Investment Management eligibility All ranks of Army, Air Force, Navy, Marine Corps and Coast Guard who are:
 * Active Duty
 * Guard or Reserve (Full or Part Time)
 * United States Air Force Academy (USAFA), United States Coast Guard Academy (USCGA), United States Military Academy (USMA), United States Merchant Marine Academy (USMMA) and United States Naval Academy (USNA) midshipment and cadets
 * Reserve Officers' Training Corp (ROTC) Contract/Scholarship Cadets
 * Retirees
 * Honorably discharged Veterans residing anywhere

Trust Services eligibility AAFMAA Wealth Management & Trust provides Trust Services to those eligible for Financial Planning and Investment Management service, but only in North Carolina, Virginia, Maryland, or DC. Trust Services are currently not available through AAFMAA Wealth Management & Trust outside of these jurisdictions.

Target market
AAFMAA shares a unique, niche market with few other companies. AAFMAA's target market includes all ranks of the American Armed Forces, active duty, retired, National Guard and Reserve, Service Academy midshipmen and cadets, and ROTC scholarship cadets. Additionally, all honorably discharged service members of the Armed Forces under the age of 66 who reside in the states of Connecticut, Florida, Hawaii, Maryland, North Carolina, Oklahoma, South Carolina, or Virginia are also eligible for membership. AAFMAA also offers its insurance products to spouses, children and grandchildren of members.

Structure
AAFMAA is a not-for-profit, member-owned association. A Board of Directors governs policy at AAFMAA. All board members serve without compensation and must be association members themselves. Additionally, officers of the Association must also be members. As a wholly owned subsidiary of AAFMAA, the AAFMAA Member & Survivor Benefits LLC performs the Living Services and Survivor Assistance Services to members and surviving families.

Returning profits
As a not-for-profit, mutual, membership association, all "profits" made by the company are returned to the members, policy owners or the association through cash-value additions to interest-sensitive whole life policies, term refunds for eligible term policies, increased services, and increases to the insurance reserves.

Honorable board members and chairmen

 * Jack Neil Merritt is a retired U.S. Army four-star general who has served on the Board of Directors for AAFMAA since 2000 and is currently the Vice Chairman of the Board and Chairman of the Finance Committee.
 * Robert W. Sennewald is a retired U.S. Army four-star general who served as Chairman of the Board for AAFMAA from 2000 to 2006.
 * Clyde D. Eddleman was a United States Army four-star general who served as Chairman of the Board for AAFMAA from 1962 to 1982.
 * John R. Guthrie was a United States Army four-star general who served on the Board of Directors for AAFMAA.
 * Walter T. Kerwin, Jr. was a United States Army four-star general and served as a member of the Board of Directors for AAFMAA from 1969, becoming its Chairman in 1982 and serving until 1997.
 * Michael S. Davison was a United States Army four-star general and served as the Vice Chairman for AAFMAA from 1982 to 1997 and Chairman from 1997 to 2000.