Do You Use B+ Companies?

[iiinycboi]

I see a lot of agency website where they say they only use A+ companies. What's wrong with B+? I've looked at the am best and it seems that B is still good with their financial reserve.

 

[pcbinsurance]

I think many of those sites you mention offer A- and better.

For many, it's a personal thing. I am in process of getting all my appointments after being with an A+ captive, and all my 12 carriers will be A- or better.

The only B+ I'm considering is Baltimore Life, but when you add a B type company, you can't tell your potential clients that ALL your carriers have EXCELLENT or better financial ratings.

All that said, 95% of the people you talk to (more like 97%) will never ask you what rating the insurance company is.

 

[rousemark]

I really wouldn't worry about the financials of a B+ company but the problem is a lot of the E&O polices will not cover a claim that arises from business placed with a company rated lower than the A range with AMBEST.

 

[VolAgent]

I really wouldn't worry about the financials of a B+ company but the problem is a lot of the E&O polices will not cover a claim that arises from business placed with a company rated lower than the A range with AMBEST.

Read it again. The last time I read mine, what was excluded are claims relating to a B+ or lower carrier becoming insolvent.

 

[jhplat5685]

All that said, 95% of the people you talk to (more like 97%) will never ask you what rating the insurance company is.[/QUOTE]


That is true but as a broker trying to win the business..I certainly will bring it up.

 

[HealthGuy]

You guys worried about ratings are paranoid.

 

[Guest]

You guys worried about ratings are paranoid.

But when a client says, I never heard of that company, your reply is, we ONLY work with companies that a A rated, it let the client know, it is a good company and you are protecting the client........

 

[HealthGuy]

b plus is good enough

 

[lifesettlementadvisor]

Phoenix (life side) is a good example of this.
After they dropped to B+, their rates went up and then they tried to do a massive COI increase on the Accumulator products.

 

[iiinycboi]

The problem for me is sometimes, i get asked why you give me this company? or whats wrong with my current? I tell them oh this is a A company and you have nothing to worry about.

But it seems that most brokers in my area are doing the same, now all the clients are asking if the companies are A and now when they are B+ they go oh, thats why its cheaper.

kinda shot myself in the foot there lol.

I got a mix of A and B+, and my B+ carriers are the most competitive, but the the insured are starting to ask about am best ratings.