Do you know the difference between admitted and non-admitted?

| June 06, 2019
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The terms “admitted” or “non-admitted”, make a big difference if you purchase insurance for yourself or your business. And, I’m not referring to a hospital stay.

I’m talking about the insurance company that sold you Senior Placement Insurance. 

A “Non-admitted” insurance carrier means the state’s insurance department has not approved the company. They may not be subject to the same state insurance regulations as an admitted company.

The most significant risk for you, the policyholder, is there is no guarantee their policy will be paid. If they go bankrupt, you have no recourse with the state insurance department. 

So, why are there non-admitted insurers? They offer policies like Senior Placement Insurance, that other “admitted” companies can’t provide. For example, if you decided to buy a policy from Lloyd’s of London, chances are it’s a non-admitted policy and you could be out of luck if they go insolvent. 

That’s why you should do business with an “admitted” insurer like the one we represent. 
Our carrier is admitted in every state in which we do business, meaning we meet or exceed every state’s standards. 

Most states require substantial financial resources to become admitted.

Our insurance carrier  has one of the highest financial ratings of any insurance company as rated by A.M. Best. They rate our company at A+ (Superior) with an XV financial size. The “XV” is for companies with a Financial Size Category (FSC) of adjusted policyholder surplus (PHS) of $2 billion or more.

Would you like to know the standing of your current company or plan? Please contact us for a no-obligation review or if you you looking for Senior Placement Insurance? We specialize in this unique coverage. Call me today at (480) 941-4895 and let me provide you with a no-obligation quote. 

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