Insurance Company Rating Definition

Insurance Company Rating

An insurance company rating is a measure of financial strength and the ability of of an insurance company to meet its obligations. Policyholders need to know that the insurance company they are buying from has the current and future ability to pay the claims. Insurance company ratings are provided by third-party rating agencies such as A.M. Best, Standard and Poor’s, Moody’s and Fitch.

A.M. Best Report Suggests Light at the End of the Tunnel for Life and Annuity Companies

Insurance Company rating agency A.M. Best released a report on the state of the industry for life and annuity insurance companies. The report is somewhat optimistic given the carnage the industry has experienced over the past year or so. The industry as a whole managed to eke out a small amount of net income --$91.5 million--for 2008. However, capital losses for 2008 reached $19.6 billion. Companies such as Allstate Corporation and The Hartford Financial Services have been hit hardest. However...

Companies:

Key Phrases:

Glossary: