What an "A-rated" carrier means
A plain-English guide to AM Best financial-strength ratings — what the grades mean, why A− or better is our floor, and how to verify any carrier yourself.
The short version
- An AM Best rating is a financial-strength grade — how likely a carrier is to still be there to pay your contract decades from now.
- The scale runs A++ down to F; A− is the bottom of "Excellent" and the lowest grade GetSure will recommend.
- B-rated carriers often dangle a slightly higher rate — that extra yield is the market pricing in extra risk to your principal.
- You can verify any carrier's rating yourself in a couple of minutes; a Comdex score of 90+ is a useful cross-check.
When you buy a fixed annuity, your principal isn't backed by the government — it's backed by the insurance company's promise. AM Best exists to tell you how good that promise is. Its financial-strength rating is, in plain terms, an assessment of whether the carrier will still be standing and able to pay you years from now.
AM Best is the dominant independent rating agency for insurers, founded in 1899. Its grade reflects the company's balance-sheet strength, operating performance, business profile, and risk management — not just whether it had a good year. This guide walks through what each grade means, why we draw our line at A−, what the rating can't tell you, and how to check any carrier in a few minutes.
The rating scale
The letters run from A++ (Superior) at the top down to F (In Liquidation) at the bottom. The jump that matters most isn't between the A's — it's the drop out of "Excellent" into "Good" and "Fair," words that sound reassuring in everyday English but signal a meaningfully higher risk of financial stress in the insurance world.
| Rating | Category | What it means |
|---|---|---|
| A++ | Superior | Exceptional ability to meet obligations. |
| A+ | Superior | Very strong ability to meet obligations. |
| A | Excellent | Strong ability to meet obligations. |
| A− | Excellent | Good ability to meet obligations — GetSure's floor. |
| B++ / B+ | Good | Adequate ability. Below our floor. |
| B / B− | Fair | Marginal ability. Below our floor. |
| C++ / C+ / C | Marginal / Weak | Vulnerable. |
| D | Poor | Very vulnerable. |
| E / F | Supervision / Liquidation | Do not buy. |
AM Best ratings are reviewed annually and carry an outlook (Stable, Positive, or Negative) alongside the letter grade.
Why GetSure draws the line at A−
A− is the bottom of "Excellent" — the lowest grade at which AM Best still considers a carrier to have a good ability to meet its ongoing insurance obligations. One notch below, the category changes to "Good" (B++/B+), then "Fair" (B/B−). For six figures of principal that's meant to be the safe part of someone's plan, we don't think the line belongs any lower.
Our rule, in one line
Every fixed-annuity rate in our marketplace comes from a carrier rated A− or better by AM Best. Products from weaker carriers are filtered out — even when they advertise a higher headline rate.
That filter has a real cost: some B-rated carriers advertise rates 25–50 basis points higher. But that extra yield isn't a gift — it's the market pricing in the additional risk of a weaker balance sheet. The worked example below shows what that trade actually looks like in dollars.
What the extra yield actually buys
Take $100,000 in a 5-year contract. An A− carrier offers 5.40%; a B++ carrier dangles 5.80%. Here's the whole trade, laid out:
Illustrative. The real question: is roughly $2,500 over five years worth a meaningfully weaker balance sheet standing behind six figures of principal? GetSure's answer is no — which is why the rate table filters below A−.
What the rating doesn't tell you
A strong grade is a green light to keep looking, not a guarantee. Three honest limits worth keeping in mind:
It's not a bond credit score
AM Best rates insurers specifically. Moody's, S&P, and Fitch rate the same companies for bond investors, and their grades can differ slightly from AM Best's.
It's not live-updated
Ratings are reviewed annually. A carrier's real financial position can move faster than its rating does, so the date of the last affirmation matters.
It doesn't promise performance
A rating is a probability assessment, not a promise. Even an A-rated carrier can run into trouble — it's just rare, which is the whole point of the grade.
"A-rated" gets stretched
Some sources loosely count B++ or B+ as "A-rated." The actual grade should be visible on the carrier's own site and on AM Best directly — so verify it.
How to check a carrier yourself
You don't have to take anyone's word for a rating, including ours. The whole check takes a couple of minutes:
Open ambest.com and use the company search.
Search the carrier's full legal name — e.g. "Athene Annuity and Life Company," not just the brand on the brochure.
Read both the financial-strength rating and the outlook — Stable, Positive, or Negative.
Check freshness — an affirmation older than ~18 months is worth noting before you lean on it.
When a brochure says "A-rated," verify it
The claim is easy to make and easy to stretch. Confirm the actual letter grade on the carrier's own website and on AM Best directly before you rely on it.
One more signal: Comdex
Comdex isn't an AM Best rating — it's a composite score from 1–100 that blends AM Best, Moody's, S&P, and Fitch into a single number. A Comdex of 90+ generally means the carrier is rated highly by all the major agencies at once, which makes it a useful tiebreaker when you're choosing between two A-rated carriers.
Use the rating with the rate, not instead of it
When a higher rate looks attractive, check the carrier's grade in the live marketplace before you decide. Strength first, then yield.
Frequently asked questions
Is A− safe enough for my principal?
A− is the bottom of AM Best's "Excellent" tier — a carrier with a good ability to meet its obligations. It's the lowest grade we'll put in front of you. On top of the carrier's own strength, fixed annuities are backed by your state's guaranty association up to its limit. See how that protection compares to FDIC.
Why not just take the higher rate from a B-rated carrier?
Because the extra 25–50 basis points is the market pricing in extra risk, not free money. On $100,000 over five years it works out to roughly $2,500 — a thin reward for a meaningfully weaker balance sheet behind your principal. We filter those products out.
Do all the rating agencies agree?
Not always exactly. AM Best, Moody's, S&P, and Fitch each grade the same carriers and can land a notch apart. That's why a composite like Comdex (90+ is strong) is handy as a cross-check when you're deciding between two well-rated carriers.
Not sure a carrier is strong enough?
Get a free, no-pitch Second Opinion — tell us what you’re considering and we’ll check the carrier’s rating and rate against the live market, then send you a plain written take. You decide what to do with it.
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