Insurance Company Information Where Do you start?
Welcome, this is the place to find the information you have been looking for on your Insurance Companys that you either do business with or are thinking about doing business with.
Most Insurance Companies are basically broken down into a few different categories. The first and foremost in terms of asset size would be the Life and Health and second would be the Property and Casualty company.
You see the companies in the U.S. will range from industry giants with tens of millions of policies in force to smaller companies that sell only a few hundred policies each year. So how do you know what insurance company’s you should purchase your next policy from? Below you will find some great tips to help you along your way.
What do I need to know about the Insurance Company I choose?
For the most part, life insurance companies are in excellent financial health. With that being said, make sure you can depend on the company you choose. Insurance Companys are required by law to maintain very large reserves to guarantee they can meet their future payment obligations to their customers, but as I always preach do your homework, ask friends and family who they purchase there insurance policy from. Make sure you ask them how the whole experience was especially if purchasing a life insurance policy.
Insurance Companys Ratings and where do I find them?
One of the best ways to find out the stability and financial strength of the company you will do business with is to look up it is Rating. There is a number of private Rating Companies that run financial analyses of Insurance Companys. You can purchase these direct from the Rating Company look up at the library or ask your broker or agent to provide you with the Ratings and Financials of the Insurance Company they are trying to sell you. Some will provide their ratings for free and others will charge a small fee. Keep in mind that not all agencies use the same rating system. For instance, Aaa is the top rating at Moody’s, but A++ is the best ranking at A.M. Best. So be careful when comparing information from different rating agencies. Also, remember that a company’s rating is just one of several factors to look at when considering a purchase. If you’re evaluating two policies and one is underwritten by a company with an A.M. Best rating of B+ (“very good”) and the other is from a company with an A rating (“excellent”), don’t automatically assume you should buy from the higher-rated company. If the policy from the other company has more of the features you’re looking for, it might very well be the better choice.