Life insurance company ratings are very important to you if you are a senior age 70+ who wants to sell your life insurance policy in order to earn cash now vs. holding the policy until maturity.
Look at it from the Funding/ buyer company’s perspective, who is going to buy your policy, make all the premiums and then they get paid back their funds and their profit upon maturity from the life insurance company. If life insurance company ratings are at an A level and they get down graded to a B level by Moody’s because of certain financial reasons this life insurance company is now considered to be more “risky” to the buyer. Meaning the carrier may not be able to pay the death benefit and thus the funder could loose money on this purchase.
When you choose a broker to represent you in a life settlement, make sure they have knowledge of your carrier and it’s financial status so that you the Policy Owner get the highest price possible for your policy when you sell it.
If you want to find out more about life insurance company ratings, then click on the LivePDQ link.