Q: How does GCU’s financial strength compare against 25 of the top Life Insurance Companies?
In that GCU does not subscribe to the rating services of A. M. Best, they did secure the services of Standard Analytical Service, Inc. Standard Analytical is an independent analyst of the Insurance Industry, and has provided their services since 1932.
Understanding that the financial condition of a life insurance organization is an important element in public confidence, they issue an independent comparative report for companies like GCU. The information that they use in their report is gathered from the STATUTORY filings that are required from EVERY insurance company. They believe that there are certain fundamental factors that are very significant when evaluating a life insurance company.
The statistics used are from the GCU 12/31/15 filings:
- Solvency
- Average of 25 of the leading life companies: 01%
- GCU: 18%
- Liquid Assets for each $100 of liabilities
- Average of 25 of the leading life companies: $43.44
- GCU: $104.13
- Profitability
- Average of 25 of the leading life companies: 69%
- GCU: 45%
- Net Interest Rate Earned (Ratio of net investment income to mean invested assets)
- Average of 25 of the leading life companies: 78%
- GCU: 88%
As you can see, GCU compares very favorably.
* For the complete Standard Analytical Independent Comparative Report on GCU.
* GCU is a legal reserve company, required by State and National Regulations to maintain reserves that are equal to, or greater than, the guaranteed surrender values of all its contracts.