When buying a medical plan, you need to make sure that you are buying from a reputable company. There is no point to having insurance if the company you are dealing with will not be able to pay your medical bills. It is very important that you check the companies health insurance ratings to make sure that they are financially sound, and that they can deliver on what they promise.
Many different companies have formed around the idea of rating. You can find health insurance ratings through Finch Ratings, A.M. Best, Standard and Poor's Rating. All of these companies will have a list of ratings for different companies. You can also Google the company you wish to buy from to find their score.
This evaluation system is a little bit different then other systems you might have seen. They are scored from triple A, or AA, to double C, or CC. Triple A is the best score that an insurer can get. If you find a company that has a AA rating that means that they are a very secure company. They will likely be around for years to come, and can pay off your claims in a timely and efficient manner. A company ranked CC, is not financially secure and may have trouble paying any claims. A CC company should be avoided.
You can feel assured with your company if they have a rating of BBB or above. Companies that fall below this line may not be the best ones to deal with. Also, you should know that an NR rating just means that it has not been rated yet. A DDD score means that a company has either failed to pay their claims, or is frequently late with their payments.Health Insurance Ratings - Where Are They and What Do They Mean?