When we are looking to make a large purchase, we tend to ask questions and do our research. Is the product of good quality? Is it worth my money? What are others saying about it? Then we go straight to the reviews to continue our research.
But when you’re buying something that isn’t tangible, like a car, you are placing a lot of trust in that company and product.
When it comes to life insurance, you want to know that the company you choose is solid. You want to know that it will be around for many years so when it’s time for your loved ones are to receive the death benefit, they have no issues. That’s a whole lot of trust.
The good thing is that the life insurance industry is super regulated. There is a reason why there are so many questions you have to answer on your application and that it’s a lengthy process. It’s not a fun process, but know that it’s a good thing that it’s comprehensive.
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All major life insurance companies have financial strength ratings. Multiple agencies assess the financial stability of insurance companies.
What are the rating agencies?