What is a Comdex Score (Rating)?
In this guide, I will introduce you to the Comdex Score which is a rating method that combines financial strength ratings from multiple rating agencies to generate a single numerical score for life insurance and annuity companies.
I’ll highlight the advantages and limitations of utilizing the Comdex score when conducting your due diligence in selecting an insurance company.
| Company Name | Comdex Ranking |
|---|---|
| 1 Northwestern Mutual Life Ins | 100 |
| 2 New York Life Ins Co | 100 |
| 3 New York Life Ins & Ann | 100 |
| 4 Thrivent Finl for Lutherans | 100 |
| 5 Berkshire Hathaway Life of NE | 100 |
| 6 Life Ins Co of North America | 100 |
| 7 Berkshire Life Ins Co of Amer | 100 |
| 8 New York Life Group Ins Co NY | 100 |
| 9 Northwestern Long Term Care | 100 |
| 10 Teachers Ins & Ann Assn | 99 |
| 11 Guardian Life Ins Co of Amer | 99 |
| 12 USAA Life Ins Co | 99 |
| 13 Guardian Ins & Ann Co | 99 |
| 14 General Re Life Corporation | 99 |
| 15 USAA Life Ins Co of NY | 99 |
| 16 Massachusetts Mutual Life Ins | 98 |
| 17 State Farm Life Ins Co | 98 |
| 18 Knights of Columbus | 98 |
| 19 C.M. Life Ins Co | 98 |
| 20 MML Bay State Life Ins Co | 98 |
| 21 State Farm Life & Acc Assur Co | 98 |
| 22 TIAA-CREF Life Ins Co | 97 |
| 23 Sun Life Assur | 96 |
| 24 Allianz Life Ins Co of NA | 96 |
| 25 Empower Ann Ins Co | 96 |
| 26 Empower Ann Ins Co of Amer | 96 |
| 27 Minnesota Life Ins Co | 96 |
| 28 Western-Southern Life Assur Co | 96 |
| 29 Western & Southern Life Ins Co | 96 |
| 30 Integrity Life Ins Co | 96 |
| 31 Empower Life & Ann of NY | 96 |
| 32 Lafayette Life Ins Co | 96 |
| 33 National Integrity Life Ins Co | 96 |
| 34 Allianz Life Ins of New York | 96 |
| 35 Columbus Life Ins Co | 96 |
| 36 Securian Life Ins Co | 96 |
| 37 Sun Life & Health Ins Co US | 96 |
| 38 Metropolitan Life Ins Co | 95 |
| 39 Prudential Ins Co of America | 95 |
| 40 Pacific Life Ins Co | 95 |
| 41 Pruco Life Ins Co | 95 |
| 42 Metropolitan Tower Life Ins Co | 95 |
| 43 American United Life Ins Co | 95 |
| 44 Hannover Life Reassur Amer | 95 |
| 45 Swiss Re Life & Health America | 95 |
| 46 State Life Ins Co | 95 |
| 47 Munich American Reassur Co | 95 |
| 48 Pacific Life & Ann Co | 95 |
| 49 MassMutual Ascend Life Ins Co | 94 |
| 50 Pruco Life Ins Co of NJ | 94 |
| 51 Banner Life Ins Co | 94 |
| 52 Protective Life & Ann Ins | 94 |
| 53 William Penn Life Ins Co of NY | 94 |
| 54 John Hancock Life Ins Co (USA) | 93 |
| 55 Protective Life Ins Co | 93 |
| 56 Penn Mutual Life Ins Co | 93 |
| 57 UnitedHealthcare Ins Co | 93 |
| 58 John Hancock Life & Health Ins | 93 |
| 59 John Hancock Life Ins Co of NY | 93 |
| 60 Amer Fam Life Assur Columbus | 93 |
| 61 Penn Ins & Ann Co | 93 |
| 62 West Coast Life Ins Co | 93 |
| 63 Ann Investors Life Ins Co | 93 |
| 64 Primerica Life Ins Co | 93 |
| 65 HCC Life Ins Co | 93 |
| 66 First Reliance Standard Life | 93 |
| 67 Principal Life Ins Co | 91 |
| 68 RGA Reins Co | 91 |
| 69 Fidelity Investments Life Ins | 91 |
| 70 Reliance Standard Life Ins Co | 91 |
| 71 American Life Ins Co | 91 |
| 72 MONY Life Ins Co | 91 |
| 73 Empire Fidelity Investments Life | 91 |
| 74 Companion Life Ins Co | 91 |
| 75 Dearborn Life Ins Co | 91 |
| 76 Amer Fam Life Assur Co of NY | 91 |
| 77 Principal National Life Ins Co | 91 |
| 78 Vantis Life Ins Co | 91 |
| 79 Penn Ins & Ann Co of NY | 91 |
| 80 United World Life Ins Co | 91 |
| 81 Dearborn Natl Life Ins of NY | 91 |
| 82 Nationwide Life Ins Co | 90 |
| 83 RiverSource Life Ins Co | 90 |
| 84 Nationwide Life & Ann Ins | 90 |
| 85 United of Omaha Life Ins Co | 90 |
| 86 Life Ins Co of the Southwest | 90 |
| 87 Hartford Life & Acc Ins | 90 |
| 88 National Life Ins Co | 90 |
| 89 Mutual of Omaha Ins Co | 90 |
| 90 RiverSource Life Ins Co of NY | 90 |
| 91 PartnerRe Life Re Co of Amer | 90 |
| 92 Midland National Life Ins Co | 89 |
| 93 North American Co for L&H Ins | 89 |
| 94 Cincinnati Life Ins Co | 89 |
| 95 Wilton Reassur Co | 87 |
| 96 Wilton Reassur Life of NY | 87 |
| 97 Wilcac Life Ins Co | 87 |
| 98 Texas Life Ins Co | 87 |
| 99 Zurich American Life Ins Co | 86 |
| 100 Liberty National Life Ins Co | 84 |
| 101 Globe Life And Acc Ins Co | 83 |
| 102 American Income Life Ins Co | 83 |
| 103 United American Ins Co | 83 |
| 104 Equitable Finl Life Ins Co | 82 |
| 105 Transamerica Life Ins Co | 82 |
| 106 Athene Ann & Life Co | 82 |
| 107 Athene Ann & Life Assur Co | 82 |
| 108 Standard Ins Co | 82 |
| 109 Transamerica Finl Life Ins Co | 82 |
| 110 Equitable Finl Life of America | 82 |
| 111 Athene Ann & Life Assur NY | 82 |
| 112 Voya Retirement Ins & Ann Co | 81 |
| 113 Everlake Life Ins Co | 81 |
| 114 Modern Woodmen of America | 81 |
| 115 Lincoln National Life Ins Co | 80 |
| 116 American General Life Ins Co | 80 |
| 117 Variable Ann Life Ins Co | 80 |
| 118 United States Life Ins in NY | 80 |
| 119 Lincoln Life & Ann Co NY | 80 |
| 120 SCOR Global Life Americas Re | 80 |
| 121 Symetra Life Ins Co | 79 |
| 122 CMFG Life Ins Co | 79 |
| 123 Ameritas Life Ins Corp. | 79 |
| 124 Brighthouse Life Ins Co of NY | 79 |
| 125 American Memorial Life Ins Co | 79 |
| 126 Ameritas Life Ins Corp. of NY | 79 |
| 127 SCOR Global Life USA Re Co | 79 |
| 128 MEMBERS Life Ins Co | 79 |
| 129 SCOR Global Life Re Co of DE | 79 |
| 130 Connecticut General Life Ins | 78 |
| 131 ReliaStar Life Ins Co | 78 |
| 132 ReliaStar Life Ins Co of NY | 78 |
| 133 AGC Life Ins Co | 77 |
| 134 American Family Life Ins Co | 77 |
| 135 Cigna Worldwide Ins Co | 77 |
| 136 Brighthouse Life Ins Co | 76 |
| 137 Cigna Health & Life Ins Co | 76 |
| 138 Horace Mann Life Ins Co | 76 |
| 139 New England Life Ins Co | 76 |
| 140 First Penn-Pacific Life Ins Co | 76 |
| 141 Amer Bankers Life Assur Co FL | 76 |
| 142 Commonwealth Ann & Life | 75 |
| 143 Forethought Life Ins Co | 75 |
| 144 American National Ins Co | 75 |
| 145 Accordia Life & Ann Co | 75 |
| 146 First Allmerica Financial Life | 75 |
| 147 Pan-American Life Ins Co | 75 |
| 148 Amer Natl Life Ins Co of NY | 75 |
| 149 Provident Life & Casualty | 75 |
| 150 Blue Shield of CA Life & Hlth | 75 |
| 151 Pan-American Assur Co | 75 |
| 152 Jackson National Life Ins Co | 74 |
| 153 Unum Life Ins Co of Amer | 74 |
| 154 Jackson Natl Life Ins Co of NY | 74 |
| 155 Provident Life & Acc | 74 |
| 156 First Unum Life Ins Co | 74 |
| 157 First Symetra Nat Life Ins NY | 74 |
| 158 Colonial Life & Acc Ins | 74 |
| 159 Pacific Guardian Life Ins Co | 74 |
| 160 Paul Revere Life Ins Co | 74 |
| 161 Humana Ins Co of Kentucky | 74 |
| 162 Aetna Life Ins Co | 73 |
| 163 Mutual of America Life Ins Co | 73 |
| 164 Bankers Life & Casualty Co | 73 |
| 165 Washington National Ins Co | 73 |
| 166 Colonial Penn Life Ins Co | 73 |
| 167 Bankers Conseco Life Ins Co | 73 |
| 168 Unum Ins Co | 73 |
| 169 Fidelity & Guar Life Ins Co | 71 |
| 170 National Western Life Ins Co | 71 |
| 171 Savings Bank Mutual Life of MA | 71 |
| 172 Fidelity & Guar Life Ins of NY | 71 |
| 173 USAble Life | 71 |
| 174 Americo Finl Life & Ann | 70 |
| 175 AuguStar Life Insurance Compan | 69 |
| 176 AuguStar Life Assurance Corpora | 69 |
| 177 Health Net Life Ins Co | 69 |
| 178 Security Life of Denver Ins Co | 68 |
| 179 Fortitude Life Ins & Ann | 68 |
| 180 United Ins Co of America | 60 |
| 181 United Life Ins Co | 59 |
| 182 Guaranty Income Life Ins Co | 59 |
| 183 Talcott Resolution Life Ins Co | 57 |
| 184 Talcott Resolution L&A Ins Co | 57 |
| 185 Amer Equity Invest Life Ins Co | 56 |
| 186 Security Benefit Life Ins Co | 56 |
| 187 S.USA Life Ins Co | 56 |
| 188 Eagle Life Ins Co | 56 |
| 189 SBLI USA Life Ins Co | 56 |
| 190 GCU | 56 |
| 191 Shenandoah Life Ins Co | 56 |
| 192 Gleaner Life Ins Society | 56 |
| 193 Aspida Life Ins Co | 56 |
| 194 United Heritage Life Ins Co | 56 |
| 195 First Security Benefit L&A NY | 56 |
| 196 Life of the South Ins Co | 56 |
| 197 Reliable Life Ins Co | 56 |
| 198 Union National Life Ins Co | 56 |
| 199 Bankers Life Ins Co of LA | 56 |
| 200 Southern Financial Life Ins Co | 56 |
| 201 Delaware Life Ins Co | 55 |
| 202 Union Security Ins Co | 52 |
| 203 EquiTrust Life Ins Co | 50 |
| 204 ShelterPoint Life Ins Co | 49 |
| 205 Natl Security Life & Ann | 49 |
| 206 Amer Equity Invest Life of NY | 49 |
| 207 Lincoln Benefit Life Co | 48 |
| 208 Baltimore Life Ins Co | 48 |
| 209 Catholic Order of Foresters | 48 |
| 210 CL Life & Ann Ins Co | 48 |
| 211 Investors Heritage Life Ins Co | 39 |
| 212 ELCO Mutual Life & Ann | 39 |
| 213 SILAC Ins Co | 35 |
| 214 Genworth Life Ins Co | 32 |
| 215 Genworth Life & Ann Ins | 32 |
| 216 Genworth Life Ins Co of NY | 32 |
A Best’ s Financial Strength Rating opinion addresses the relative ability of an insurer to meet its ongoing insurance obligations. It is not a warranty of a company’s financial strength and ability to meet its obligations to policyholders.
View an Important Notice: Best’s Credit Ratings for a disclaimer notice and complete details at: https://web.ambest.com/ratings-services. All ratings shown are current as of May 15, 2024. Powered by VitalSales Suite, a product of Zinnia Distributor Solutions LLC.
Key Takeaways:
- A Comdex Score combines all of an insurance company’s ratings into a single numerical score making it easier to compare insurance companies financial strength.
- A Comdex Score of 85 means an insurance company is ranked higher than 84% of all insurance companies; or you could say, lower than 15% of all rated companies.
The Comdex Rating Scale
The Comdex is not a rating from an individual rating agency but a composite of all the ratings an insurance company has received from the five main insurance company rating agencies.
There are five main insurance company rating agencies whose Insurance Company Ratings are widely accepted:
The Comdex score was created to take those ratings from A.M. Best, Moody’s, Fitch, and Standard & Poor’s and place them all on a level playing field. The idea here is to take a sort of ‘average’ number, then find out where the carrier ranks among the others based on that ‘average.’
In order to be assigned a Comdex Score, an insurance company must have a rating assigned by at least two of the five main rating agencies listed above.
A Composite Index Rating Scale
The Comdex Rating then puts each company into a single, 100-point scale. This method creates a percentile in which to place each company.
The higher the percentile, the higher the company’s overall rankings among the other private rating companies.
Many individuals shopping for an insurance product find it much easier to look at a score on a scale of 1-100 than to try to understand four different rating scales and their methodology.
Below is a sample insurance company financial chart that shows different ratings available from each of the five main rating agencies, and once lesser-known agencies (KBRA).
The Comdex Score takes all of these into account when creating a single Comdex Score from 1 to 100.
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The Comdex Score: Rating Insurers on a 100-Point Scale
The 100-point scale puts the credit rating scores in context as it allows you to see how a company compares to its competitors based on what percentile it falls into.
For Example, a Comdex Score of 85 means the insurer is in the top 15th percentile. Or another way of putting it – rated superior to 84 percent of insurance companies.
To be assigned a number, the Comdex Score first takes a complete count of all rated companies.
Next, each individual rating agency’s full list of carriers is counted and divided by how many carriers were in each category.
For example, if A.M. Best rated 100 carriers and only five were able to obtain the top rate, those five would be in the 100th percentile. If another 20 got the second-highest score, they would be in the next percentile, and so on.
How is the Comdex Rating Calculated?
After the four agencies have their lists compiled, sorted, and calculated for carriers’ scores, the scores are then tallied up and averaged for the carriers.
He is a specific example:
Let’s say XYZ insurance company was in the 90th percentile for A.M. Best, the 85th percentile for Fitch and the 80th percentile for Moody’s, the average of the three would be a Comdex score of 85 (90+85+80=255, 255/3=85).
While, once again, this cannot be the only number you can rely on, it does help to find what percentile a company is in with a somewhat fair amount of data.
Rather than trying to compile all the life insurance providers on your radar, comparing their scores across rating companies, then seeing how they stand up against their competitors, you can simply check the percentile in which each company falls.
Understanding Financial Profiles
EbixExchange
The Comdex score is only available in VitalSigns, a product of EbixExchange. If you’d like to review more company-specific information for Ebix, they are listed on the NASDAQ Global Market (ticker symbol – EBIX).
Ebix provides a complete suite of services with seamless data flow to insurance channels around the world. They have a long history of designing innovative solutions that have earmarked an era of excellence in the history of Ebix.
Committed to its endeavor to answer the ever-increasing needs of Insurance organizations all over the world; Ebix is a leading international supplier of on-demand infrastructure exchanges to the insurance, financial, and healthcare industries.
In the Insurance sector, the Company’s main focus is to develop and deploy a wide variety of insurance and reinsurance exchanges on an on-demand basis.
VitalSigns
VitalSigns provides carrier financials and ratings for a little over 500 insurance companies. VitalSigns quickly and reliably qualifies a carrier’s financial strength in a variety of easy-to-understand reports.
- Reliable Data – VitalSigns uses yearly financials reported to the NAIC and ratings from the 5 leading rating services with a Comdex ranking to help interpret the ratings.
- Time-Savings Features – VitalSigns aggregates all the ratings and financial data and creates a report showing a carrier’s financial strength. In addition, financial charts and tables provide a more in-depth look into the overall health of each insurance company.
You’ll find total assets & liabilities, invested asset distribution, non-performing assets, 5-year investment returns, and bond quality in addition to financial ratings from each of the major agencies.
Insurance companies are required to report annual statements to the government. This data is used to monitor the financial health of insurers and protect the interests of consumers.
VitalSigns provides this data, for 500 companies. These statements, filed in March, contain data for the previous year. VitalSigns releases new financials each spring.
Using these yearly financials reported to the NAIC and ratings from the five leading rating agencies, VitalSigns establishes a Comdex Score (or ranking) to help you interpret the ratings.
VitalSigns includes explanations for each rating and a chart that compares the ratings by each service.
An AM Best A+ is quite different from a Standard & Poor’s A+.
Comdex – Our exclusive composite index, Comdex, gives you a quick summary of a carrier’s ratings and shows you how they stack up.
Numerical Equivalent – A number in parenthesis next to each rating quickly tells you where that rating fits on the scale for that rating service. A+ (2) tells you this is the second-best rating for AM Best.
Rating Chart – A rating chart compares the ratings for each rating service, so you can quickly compare.
