In choosing a disability insurance company the first and most important consideration should be insurance company ratings. This concern should come even before one considers pricing and benefits. If the insurance company backing the disability insurance policy is financially incapable of giving you your benefits that were promised, then every other thought that was involved in the initial comparison will have proven to be unimportant.

When you’re rating insurance companies, there are a few steps to follow. Look into your choice of disability insurance by checking price, the wording of definitions of disability and policy design, but it’s a primary step to look into the insurance company ratings – its financial strength.

Rating Insurance Companies Is Important

Research the insurance company’s financial strength rating. There exist independent companies that make insurance rating simpler by grading the financial strength of financial institutions. This is done by a letter grade using an insurance rating system similar to school grades. The insurance rating analysts are independent companies that are paid to evaluate an insurance company’s financial strength.  Below you will find a chart of the different financial ratings from the leading insurance company rating companies. We at can access and review any insurance company’s financial ratings with you.

Insurance Company Comparison

The insurance company comparison graphic includes information on the insurance company rating data from Standard & Poor’s, A.M. Best and Company, Moody’s Investor Service and Fitch.


A.M. BestStandard & Poor’sMoody’sFitch
RankFinancial Strength
1A++ Secure / SuperiorAAA Extremely StrongAaaExceptionalAAASecure / Highest
2A+Secure / SuperiorAA+ Very StrongAa1, Aa2, Aa3ExcellentAA+Secure / Very High
3ASecure / ExcellentAA Very StrongA1, A2, A3GoodAA Secure / Very High
4A-Secure / ExcellentAA- Very StrongBaa1, Baa2, Baa3 AdequateAA-Secure / Very High
5B++Secure / Very GoodA+StrongBa1, Ba2, Ba3 QuestionableA+ Secure / High
6B+Secure / GoodA StrongB1, B2, B3PoorA Secure / High
7BVulnerable / FairA-StrongCaaVery PoorA- Secure / High
8B-Vulnerable / FairBBB+ GoodCaExtremely PoorBBB+ Secure / Adequate
9C++Vulnerable / MarginalBBB GoodC LowestBBB Secure / Adequate
10C+Vulnerable / MarginalBBB-GoodBBB-Secure / Adequate
11C Vulnerable / WeakBB+MarginalBB+ Uncertain
12C- Vulnerable / WeakBBMarginalBB Uncertain
13D Vulnerable / PoorBB- MarginalBB-Uncertain
14EVulnerable / Under State SupervisionB+WeakB+ Possessing Risk
15FVulnerable / In LiquidationB WeakBpossessing Risk
16SRating SuspendedB-WeakB- Possessing Risk
17CCC+ Very WeakCCC Substantial Risk
18CCC Very WeakDDLiquidating
19CCC- Very WeakSR Suspended Rating
20CCExtremely Weak
21R Regulatory Action
Based on public information only.