To gain your business many independent life insurance brokers and many insurance companies now offer free life insurance quotes on the web. Many allow you to compare their rates with those of their competitors. But comparing rates is not always the answer. It’s important to research the companies premiums as well as their ratings.
An insurance company’s financial strength is important in that you will have comfort and confidence knowing that they will be able to pay your claims or your life insurance benefits. Additionally insurance company ratings are administered by independent companies. These ratings give you a general idea on the aspects of a company’s financial strength.
Ratings For Life Insurance Companies
Best’s A+ Superior
This is the highest grade an insurance company can achieve. Companies with a Best’s A+ have a superior proven ability to meet their financial obligations with their policy holders.
Best’s A Excellent
Companies in this classification also have an excellent financial performance. Not as strong as an A+ company but still more than capable of meeting their financial obligations.
Best’s B+ Very Good
Again going down the list. . . . these companies have shown a “Very Good” ability to meet their financial obligations to their policy holders.
Best’s B Good
Insurance companies with a B show a good ability to meet their obligations, but not as strong at the previous grades.
Best’s C+ Fairly Good
Again, a fairly good overall performance
Best’s C Fair
and finally a C means the insurance company has achieved a fair ability to meet their financial obligations.
There are of course other rating services besides Bests. Standard + Poors, and another company, Moodys are also well regarded as life insurance rating companies
How To Get The Best Life Insurance Coverage For You
Overall you should find a company that is minimally rated A and preferably an A+ or more. Remember this is your money you are spending and that the benefits may not appear for many years. These are two good reasons to make sure you have the right company for your life insurance.