Insurance: Look at the Financial Strength of Your Provider

How important is financial strength when we look at personal insurance such as life insurance or income protection?

Most people are looking at the cost of insurance when choosing an insurance provider, some people are looking at quality of the insurance policies, and claim experiences but how many people are asking about financial strength of insurance companies? Not a lot in my experience as an advisor on personal insurance.

But it matters greatly because if an insurer hits financial strife they may need to jack up the premiums, and they may do it after you've suffered illness or injury which will leave you either stuck with that insurer, or feeling like you are forced to cancel.

So, we want our clients to understand cost and quality comparisons when we recommend most suitable insurance for them, but we also want them to understand financial strength, because we aren't thinking about the next few minutes, we're trying to think about the next few decades