Standard and Poor, yesterday, announced the downgrade of five major life insurance companies from AAA to AA+ – and perhaps warning the public that this is just the first batch of changes to occur in the next few weeks.
The insurance companies affected were New York Life, Northwestern Mutual Life Insurance, USAA, Knights of Columbus and Teachers Insurance and Annuity.
This news has certainly made consumers more conscious when they compare life insurance packages.
When asked about the news, representatives from these companies say that it’s unfortunate that they’ve been downgraded simply because they hold a big portion of government obligations. If they’d look at performance and financial stability, they claim that they’re certainly not going bankrupt.
They said that despite this negative publicity, they will continue to improve on their services and intensify their marketing campaigns.