A good life insurance company is one that will be there, and be able to pay your beneficiary, when you die. It is one that will use your premiums in a responsible fashion and, if you purchased Whole or Universal Life, generate as much cash value for you as possible. It will provide good customer service. This type of life insurance company usually has a high rating by one or more rating companies. Looking at those ratings and the accompanying financial data by AM Best, S&P, Moody's and Fitch's is the easiest way to determine a good life insurance company.
President, The Firm of Steven H. Kobrin, LUTCF, 6-05 Saddle River Rd #103, Fair Lawn, NJ 07410
A good life insurance company for you is the one that will give you the best rates. I mean, the bottom line is that you do not want to overpay for coverage, right?
Underwriting drives the purchase of life insurance. Which company will underwrite you most aggressively? It has to be a company that has a sophisticated understanding of the risk you represent, and a comfort level with being aggressive in applying their underwriting guidelines.
Let’s suppose you unfortunately have diabetes. Your broker would have to find you a company that is very competitive in underwriting diabetics. The same applies for people who have hepatitis, and a cancer history, and heart disease, and who climb mountains, and who scuba dive, etc. Companies vary widely in their willingness and capability for taking on different risks at a good price.
And this can change over time. The company that was good for people who are overweight last year, may not be the best one this year.
Not only that: even a company who is usually good for your underwriting risk, may not be the right company for you at this time. Like every other business, life insurance companies can have ebbs and flows in their level of service. They may be short-staffed. They may be experiencing a huge backlog of cases. There may be a merger or an acquisition in the wind which will affect their underwriting decisions.
Then again, there could be factors that would work in your favor. A company may want to close out the year with an influx of good business, and make you an exceptional offer. Sometimes they make just want to make a business decision and take your case because they like it.
If your broker prequalifies you properly, all these factors will be addressed. You’ll be confident that you’ve chosen a good company.
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Underwriting drives the purchase of life insurance. Which company will underwrite you most aggressively? It has to be a company that has a sophisticated understanding of the risk you represent, and a comfort level with being aggressive in applying their underwriting guidelines.
Let’s suppose you unfortunately have diabetes. Your broker would have to find you a company that is very competitive in underwriting diabetics. The same applies for people who have hepatitis, and a cancer history, and heart disease, and who climb mountains, and who scuba dive, etc. Companies vary widely in their willingness and capability for taking on different risks at a good price.
And this can change over time. The company that was good for people who are overweight last year, may not be the best one this year.
Not only that: even a company who is usually good for your underwriting risk, may not be the right company for you at this time. Like every other business, life insurance companies can have ebbs and flows in their level of service. They may be short-staffed. They may be experiencing a huge backlog of cases. There may be a merger or an acquisition in the wind which will affect their underwriting decisions.
Then again, there could be factors that would work in your favor. A company may want to close out the year with an influx of good business, and make you an exceptional offer. Sometimes they make just want to make a business decision and take your case because they like it.
If your broker prequalifies you properly, all these factors will be addressed. You’ll be confident that you’ve chosen a good company.