Fact Sheet

History of the AARP

Contributor
By Delores Williams
eHow Contributing Writer
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AARP was started in 1957. The primary purpose was to help improve the quality of life for its now 40 million members. It is the nation's largest membership organization. AARP is considered to be a leader in social change. It attempts to change society's view of those over the age of 50.

    Founders

  1. Founded in 1958 by Dr. Ethel Percy Andrus as a nonpartisan organization, its purpose was to help change the view of senior citizens. It was an offshoot of the National Retired Teachers Association (NRTA), which Dr. Andrus started in 1948. The NRTA is currently a division of AARP.
  2. Original Purpose

  3. AARP was initially started as a means to sell insurance to senior citizens. Leonard Davis, an insurance salesman, put in $50,000 to establish AARP so he could expand his customer base from the NRTA. To help insurance sales, members were not required to be retired (as in the NRTA).
  4. Colonial Penn Insurance

  5. Colonial Penn Insurance was started for the sole purpose of selling insurance through AARP. Until a "60 minutes" expose, they were the most profitable insurance company for senior citizens. They were replaced by Prudential after the scandal.
  6. AARP Image

  7. In the 1980s, businessman Leonard Davis was the man behind AARP. The image that was projected was that of an advocacy group, but it was found that the sole purpose was to sell insurance to this target group.
  8. Congress Investigation

  9. In the 1990s, AARP was investigated by Congress over its tax-exempt status. There was not enough evidence to change the status.
  10. Legal Status

  11. AARP is a 502(c)(4) corporation. Donations are not tax-exempt, since the group lobbies the government.
  12. Critics

  13. AARP has been accused by many of lobbying for measures that actually harm their membership. There have been many accusations of conflict of interest on matters regarding insurance, since AARP sells insurance. Their accusers say that AARP has been on the side of insurance companies in legislative matters, while disregarding the cost to their members.
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