Client Story

What do you personally know what an insurance company is? What does it do? How does it work? Are there any benefits and positive experience for the customers? Let us have a brief look on the insurance company in general, taking a particular example.

Aetna. Aetna, Inc. is an American-BASED diversified health care benefits company, which provides a wide range of traditional and consumer directed health care insurance services and related products, among which are medical, dental, pharmacy, behavioral health, long-term care, group life, and medical management capabilities, and disability plans. is a Fortune 100 member. Aetna is the direct follower of Aetna Insurance Company, which was headquartered in Hartford, Connecticut. Aetna was founded in 1850. In 1960, the company managed to expand outside the U.S. It bought Excelsior Life Insurance Company, a Canadian company.

Insurance companies. General. All the risks which can be quantified can potentially be insured. At the present time, the insurance companies are very numerous and different. People tend to insure everything from property to the parts of the body. The list of insurance cases is non-exhaustive.

The insurance companies may be classified as life insurance companies (which sell life insurance, annuities and pensions products), and non-life or general insurance companies, (which sell other types of insurance). General insurance companies can be also divided into the following sub-categories - Standard Lines and Excess Lines. Insurance companies are usually classified as mutual and stock companies. But the classification is very traditional and mutual insurance companies become very few. They are owned by the policyholders, while stockholders own stock insurance companies. Other forms of insurance companies are reciprocals and Lloyds organizations.

Insurance companies are rated by various agencies such as A. M. Best, for instance. The ratings comprise the company’s financial strength (measurement of the ability of the company to pay claims), financial instruments (products issued by the company, including notes, bonds, and securitization products). There are also reinsurance companies and captive insurance companies. Reinsurance companies sell policies to other insurance companies; this reduces the risks and protects the companies from huge losses. Captive insurance companies may also be called limited-purpose insurance companies. They are usually established to emanate financing risks from their parent group or groups. In other words, these are in-house self-insurance vehicles. As for the Aetna, so it is a life insurance company, since it provides health care insurance services and related products.