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AARP

AARP Medicare History

AARP, formerly the American Association of Retired Persons, is a United States-based non-governmental organization and interest group, founded by Dr. Ethel Percy Andrus in 1958 and based in Washington, D.C. According to its mission statement, it is “a nonprofit, nonpartisan membership organization for people age 50 and over … dedicated to enhancing quality of life for all as we age,” which “provides a wide range of unique benefits, special products, and services for our members.” 

AARP operates as a non-profit advocate for its members and as one of the most powerful lobbying groups in the United States, and it also sells insurance, investment funds and other financial products. The organization claims over 40 million members, making it one of the largest membership organizations in the United States.

Dr. Ethel Percy Andrus founded AARP in 1958. The association evolved from the National Retired Teachers Association (NRTA), which Andrus had established in 1947 to promote her philosophy of productive aging and in response to the need of health insurance for retired teachers. After ten years, Andrus opened the organization to all Americans over 50, creating AARP. Today, NRTA is a division within AARP. According to Andy Rooney, AARP was established by insurance salesman Leonard Davis in 1958, after he met Ethel Percy Andrus.

 

AARP Insurance

According to critics, until the 1980s AARP was controlled by businessman Leonard Davis, who promoted its image as a non-profit advocate of retirees in order to sell insurance to members. After a lengthy competitive bidding process, The group shifted the insurance contracts made available to members to Prudential in 1980. In the 1990s, the United States Senate investigated AARP’s non-profit status, with Republican Senator Alan Simpson, then chairman of the United States Senate Finance Subcommittee on Social Security, Pensions, and Family Policy, questioning the organization’s tax exempt status in congressional hearings. These investigations did not reveal sufficient evidence to change the organization’s status. 

The organization was originally named the American Association of Retired Persons, but in 1999 it officially changed its name to “AARP” (pronounced one letter at a time, “ay ay ar pee”) to reflect that its focus was no longer American retirees. AARP no longer requires that members be retired, just that they be over 50 years old, and does not extend full membership privileges to applicants who are retired but not over 50.

AARP is widely known for addressing issues affecting older Americans through a multitude of initiatives, including lobbying efforts at the state and national governmental level, an activity permitted by its 501(c) status. The organization claims that it is non-partisan and does not support, oppose or give money to any candidates or political parties. AARP’s total revenue for 2006 was approximately $1 billion and it spent $23 million on lobbying. AARP also provides extensive consumer information, volunteer opportunities, and events including the annual National Event & Expo (in Los Angeles in 2011).

 

AARP Mission Statement

AARP is a nonprofit, nonpartisan membership organization for people age 50 and over.  AARP is dedicated to enhancing quality of life for all as we age. We lead positive social change and deliver value to members through information, advocacy and service. AARP also provides a wide range of unique benefits, special products, and services for our members. These benefits include AARP Web site at www.AARP.org, “AARP The Magazine,” the monthly “AARP Bulletin,” and a Spanish-language newspaper, “Segunda Juventud.” Active in every state, the District of Columbia, Puerto Rico, and the U.S. Virgin Islands, AARP celebrates the attitude that age is just a number and life is what you make it.

 

AARP Medicare Supplement
The AARP Medicare Supplement Insurance Plans carry the AARP insurance name and UnitedHealthcare® pays a royalty fee to AARP for use of the AARP intellectual property. Amounts paid are used for the general purpose of AARP and its members. Neither AARP nor its affiliate is the insurer. 

*Insured by UnitedHealthcare® Insurance Company, Horsham, PA (UnitedHealthcare® Insurance Company of New York, Islandia, NY for New York Residents). Policy Form Number GRP 79171 GPS-1 (G-36000-4). In some states, plans may be available to persons eligible for Medicare by reason of disability. All plans may not be available in your state/area. Call for complete information including benefits, costs, eligibility requirements, exclusions and limitations.

The association does not recommend health-related products, services, insurance or programs. You are encouraged to evaluate your needs.

The organization and its affiliate are not insurance agencies or carriers and do not employ or endorse insurance agents, brokers, producers, representatives or advisors.

Not connected with or endorsed by the United States government or the federal Medicare program

 
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