Using the following website:

http://www3.ambest.com/ratings/entities/search.aspx?bl=0

Find an insurance company located in the United States (perhaps even in your own state) with an AM Best rating of A++ and find a second insurance company located in the United States (perhaps in your own state) with an AM Best rating of B. Research the two companies you chose. Try to find and read their annual report (if they are publicly traded) and/or find other sources that describe the companies and their history. As you read about the companies, try to ascertain why one has such a high AM Best rating and why the other has such a low AM Best rating.

Write a report using the following format:

Part I: Research the AM Best rating. Explain what it is, how a company rating is determined and why knowing an AM Best rating is important. Also, try to find a source that criticizes the rating and briefly summarize the nature of this criticism.

Part II: Describe the A++ company that you chose. Where is the company located, what products does it sell, what is the company’s history, and why do you believe the company has the AM Best rating that it has? Include any other information about the company that you consider pertinent.

Part III: Describe the B company that you chose. Where is the company located, what products does it sell, what is the company’s history, and why do you believe the company has the AM Best rating that it has? Include any other information about the company that you consider pertinent.

Part IV: If you were in the market for insurance, which company would you buy from and why?

Length:5-7 pages not including title and reference pages