What is an AM Best Rating?
While life insurance is an essential purchase to provide financial security for your family's future, the life insurance policy is only as good as the insurance company that stands behind it.
For this reason insurance companies are rated by independent rating agencies, and one of the most respected in the field is a company known as A.M. Best.
The job of A.M. Best is to provide independent third party evaluations of insurance companies who write life insurance policies, and the A.M. Best rating provides a very good indication of the financial health of the company in question. They review the financial statements of the insurers and evaluate their financial stability and security.
Since all insurance companies are rated by A.M. Best based on the same rigorous criteria it is easy to evaluate the relative strength or weakness of each life insurance company under consideration.
The financial strength rating is an indication of the insurer's ability to meet their financial obligations and pay their claims.