Behind the Scenes of Life Insurance Due Diligence

Updated: Oct 15, 2020

As an independent insurance professional, sometimes the question comes up "How do you pick the companies you choose to represent?" It's actually not an easy process and choice and it's not based on "who is the cheapest on the market." There are a number of factors and criteria that I consider before choosing to represent an insurance company as a "primary" company (meaning a company I would represent most of the time, unless there are other health considerations or specific policy features that warrant "shopping" it elsewhere).

Company Ratings: This is a double-edged sword. Everyone says they want a top rated company... or do they? Here's the interesting fact: There are currently no more "triple-A" rated companies. Since the United States credit rating was lowered years ago, they are some variation of Aa or Aa+ or something depending on the ratings agency.