Ratings can be confusing since each rating company has its own way of ranking insurers.The Insurance Information Institute cites as an example that an A+ from A.M. Best is the next-to-highest rating of its 15 categories while an A+ from Fitch or Standard & Poor's is their fifth-highest rating (out of 24 categories for Fitch and out of 19 categories for S&P). Meanwhile, Moody's doesn't have an A+ rating. Confused?Financial planners say your safest move is to choose among companies with the highest ratings. You can get ratings by phone or from the Web sites of the ratings companies. It's also best to look at the ratings from several different companies since the companies don't always agree. Independent research is superior to relying on information from the companies that sell annuities. They'll only share their best ratings.Annuity rating agenciesAgencyWeb sitePhoneA.M. Best Company Inc.ambest.com(908) 439-2200Fitch Ratingsfitchibca.com(800) 75FITCHMoody's Investor Servicesmoodys.com(212) 553-0300Standard & Poor'sstandardandpoors.com(212) 438-7280Source: Insurance Information InstituteWhere to buy annuities The monthly payout from an immediate annuity can vary a lot, depending on the source. Check Immediateannuities.com to get a baseline price, but then get quotes from other highly rated providers. Be sure to look into annuities available through low-cost providers such as TIAA-CREF, Fidelity and Vanguard.Here is a partial list of the companies that offer annuinities:Companies that offer annuitiesAIGAIG American GeneralAmerican National Insurance CompanyAviva Life Insurance CompanyFidelityGenworthIntegrity LifeJohn HancockLincoln Financial GroupMetLifeMidland National Life InsuranceMutual of OmahaNorth American Company for Life and Health Insurance (NACOLAH)TIAA-CREFVanguard advertisementRelated Links:Got no-fault insurance?Pay-as-you-drive premiumsGap insurance good ideaRelated Articles:Disability claim coverageDisability claims deniedSaving on insurance
Ratings can be confusing since each rating company has its own way of ranking insurers.
The Insurance Information Institute cites as an example that an A+ from A.M. Best is the next-to-highest rating of its 15 categories while an A+ from Fitch or Standard & Poor's is their fifth-highest rating (out of 24 categories for Fitch and out of 19 categories for S&P). Meanwhile, Moody's doesn't have an A+ rating. Confused?
Financial planners say your safest move is to choose among companies with the highest ratings. You can get ratings by phone or from the Web sites of the ratings companies. It's also best to look at the ratings from several different companies since the companies don't always agree. Independent research is superior to relying on information from the companies that sell annuities. They'll only share their best ratings.
Where to buy annuities The monthly payout from an immediate annuity can vary a lot, depending on the source. Check Immediateannuities.com to get a baseline price, but then get quotes from other highly rated providers. Be sure to look into annuities available through low-cost providers such as TIAA-CREF, Fidelity and Vanguard.
Here is a partial list of the companies that offer annuinities:
Bankrate wants to hear from you and encourages thoughtful and constructive comments. We ask that you stay focused on the story topic, respect other people's opinions, and avoid profanity, offensive statements, illegal contents and advertisement posts. Comments are not reviewed before they are posted. Bankrate reserves the right (but is not obligated) to edit or delete your comments. Please avoid posting private or confidential information, and also keep in mind that anything you post may be disclosed, published, transmitted or reused.
By submitting a post, you agree to be bound by Bankrate's terms of use. Please refer to Bankrate's privacy policy for more information regarding Bankrate's privacy practices.