How do I find the top rated term life insurance companies?

Published June 7, 2016 | 2 min read

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If you want to find the top rated term life insurance companies, you first need to decide how you’re going to define the top rated term life insurance companies. Are you basing your decision on user reviews? Reviews from financial experts? Ratings from third-party financial companies? And at the end of the day, does any of that really affect your life insurance policy?

The best way to judge a top rated term life insurance company

The best way to figure out which life insurance companies are the best is to look at their financial strength ratings. Financial strength ratings come from third-party reviewers who look at the insurance company’s overall financial strength. Their ratings are an easy way to judge the financial health of a company.

Why is the best way to judge life insurance companies? Because it’s directly tied to the most important question you should have about your life insurance company: will it still be around when your policy ends? No matter how long your life insurance policy lasts — ten, twenty, or thirty years — this is a serious question to consider."You don’t know what’s going to happen over the next thirty years," says Tyler End, CFP®, Product Manager and resident disability insurance expert at PolicyGenius. "You want the benefit to be there if you need it."A life insurance policy is effectively useless if the company goes belly up five years after you purchase the policy.

Where to find financial strength ratings

You can always go right to the source, i.e., the third-party companies that hand out these ratings. Here’s a list of them along with links to their websites:A.M. BestFitch RatingsMoody’sStandard & Poor’sWeiss Ratings

As you can see, however, their sites are not exactly visually pleasing or straightforward. So we compiled a list of the companies we consider the top rated life insurance companies, based primarily on A.M. Best’s rating system.We think we have put together the best life insurance company reviews out there. Why? Because we give you information that you actually need to know about the policies and the application process. We’re insurance pros who know these companies inside and out, which makes our review way more informative than some disgruntled Google reviewer (who is actually reviewing that company’s car insurance product and is on the wrong page).

Is it important to choose a top rated term life insurance company?

Since policies at top rated life insurance companies are usually the same price as policies at lower rated companies, it makes sense to go with the higher quality company. Top rated life insurance companies have the financial strength to make it through recessions and other rough times, and will most likely still be around in thirty years.But choosing a top rated life insurance company isn’t as important as choosing a life insurance policy that fits you, your needs, and your medical profile. An independent life insurance agent can help you compare quotes from a wide variety of life insurance companies. Your life insurance agent will guide you towards the policy that fits your needs, is the most affordable, and comes from a reputable company.