A homeowners insurance company rating lets you, the potential policyholder, know the financial strength of the particular company. Although the insurance business is highly regulated, this information is important because you dont want to purchase homeowners insurance from a company that is at risk for filing bankruptcy. You may not even want to purchase a policy from a homeowners insurance company thats been flagged in some way for a current, iffy financial situation.
You can find your homeowners insurance company rating by searching independent research companies. These companies gather and evaluate a plethora of the insurance companys financial information. The rating is designed to let you know the homeowners insurance company rating, therefore assisting you in your decision to, or not to, do business with a particular company. These companies are usually easily accessible via the Internet, too.
Your states department of insurance can also provide you with a homeowners insurance company rating. Too, they can let you know whether or not a particular homeowners insurance company is licensed to sell insurance in your state. This information is also very useful....