Evaluation of the Fiscal Ranking of Safeco Insurance
When choosing an insurance company, one of the most important qualities to research is the company’s financial strength. This is crucial because a higher financial ranking means a greater likelihood that the insurance company will be able to pay your claims and meet contractual requirements. For example, Safeco Insurance is a subsidiary of Liberty Mutual Group, which grants Safeco the security of the fourth largest American insurance company. As such, the Safeco Insurance financial rating currently stands at “A” for “Excellent”, according to A.M. Best Co. It has also been ranked “A2” for “Good” by Moody’s and “A” for “Strong” by Standard & Poors.
What is Financial Rating?
Financial ratings encompass two fields. They are:
1. Debt rating, which is the evaluation of the insurance company’s credit score and ability to remain solvent.2. Financial strength, which is an appraisal of whether or not an insurance company has the funds to operate to client expectations.
By considering both debt rating and financial strength, rating agencies can judge an insurance company’s financial rating.
What are Safeco’s Insurance Options?
Safeco offers a wide range of insurance options to its clients. These include:
• Auto insurance• Liability insurance• Homeowners insurance
However, it could be argued that the most valuable contribution the company can give is the high level of the Safeco Insurance financial rating across the board. This means that Safeco customers can confidently trust the level of financial coverage provided by the insurance company.