When selecting an auto insurance provider, you want to be sure that the company you choose will meet your needs not only for the immediate future but also for the long term.
At CarInsurance.com you are able to compare insurance companies and check out such items as:
- Whether or not a company is authorized to provide insurance coverage in your state
- Any complaint history against a company and how it was handled
- The overall health of an insurance company to include the financial strength and company stability
through viewing the company ratings by A.M. BEST.
Insurance companies are rated by a number of rating institutions. These institutions use many different factors to assess each company and these factors have a direct bearing on the insurance rates each company can offer the consumer for similar coverage plans. You want to be certain that the company you select is one that is well qualified and is capable of sustainment for the long term in rocky economic periods and ever-changing markets. While we would like to believe that all the ratings systems equal and fair, this is not always the case. The major insurance rating companies are:
A.M. BEST – A.M. BEST provides the consumer with a clear independent overall image of a company’s past and present operating performance and financial strengths and obligations for a period of no less than 12 months and as far out as 36 months. They rate companies in the following manner:
A++ and A+ (Superior) – This rating implies that the company is superior in their ability to fully meet all
of the obligations to the consumer.
A and A- (Excellent) – This rating implies that the company has an excellent ability to fully meet all of
the consumer obligations.
B++ and B+ (Good) – This rating implies that the company has a good standing and ability to meet all
B and B- (Fair) – This rating implies that a company has a fair ability to meet all consumer obligations.
C++ and C+ – (Marginal) – This rating implies that a company has a marginal ability of being able to
meet consumer obligations.
C and C- (Weak) – A company holding this rating is implied to have a weak ability to comply with
D (Poor) – This rating implies that the company stands a good chance of not being able to meet the
obligations it has to its consumers.
E (Under Regulatory Supervision) – This rating indicates that a company is under observation by
regulatory agencies and is not considered a good candidate for consumers.
F (In Liquidation) – This company is one that is having significant issues and is one that consumers will
want to avoid.
S (Rating Suspended) – This implies that the company in question should not be authorized by the state
You will want to keep in mind that most new companies will start out at an intermediate rating and should move up in rating as they progress. Just make sure to do your homework before signing with a newer organization to ensure they are trustworthy.
J. D. POWER AND ASSOCIATES – J.D. Power is traditionally most extensive consumer satisfaction database in existence today. The site, http://www.jdpower.com, provides feedback on areas such as products, services, and consumer satisfaction regarding the companies represented. Data from consumers is used to develop ratings related to price, coverage availability, claims handling and the overall experience when working with an insurance company.
STANDARD POOR’S RATINGS – With more than 16 years of data and ratings archives this site provides some of the most in-depth history and insurance company performance available. Containing more than 8 million ratings on 40,000 policy issuers throughout the world in addition to over 240,000 research and commentary articles, http://www.standardandpoors.com provides a range of services aimed at assisting the consumer making the best-informed financial decisions through its subscription-based website.
FITCH RATINGS, INC. – Providing research and ratings on insurance related- companies around the globe, the Fitch Ratings Insurance Group is stepping up to the challenge that is created by the increased globalization the insurance market, Using a Global Insurance Ratings and Policies Committee this group seeks achieve a standard method of rating insurance companies worldwide. At http://www.fitchratings.com, this company is working to create fair assessments of each organization through use of market data that is unique to each market and market analysts with expert knowledge of the local market.
The companies that CarInsurance.com works with are always companies that are highly rated so that you, the consumer, is assured of being under the umbrella of companies with a history of strong ratings and performance. CarInsurance.com itself is of strong financial strength as evidenced by our ratings at A.M. Best. Check our ratings and the ratings of your insurance company at their site today.
For more information, please go to Is your Auto Insurance Company Rated?