How Do You Value And Evaluate Insurance Companies?

How Do You Value And Evaluate Insurance Companies?

Someone asked on LinkedIn: How Do You Value And Evaluate Insurance Companies? My answer is below

First off there is no such thing as determining a perfect value for any company, let alone companies as complex as insurance companies.

Second there are huge differences in valuing life and P&C insurance companies. The main difference comes in the long-range – and possible huge underpricing in long-term life insurance policies – that can have negative effects for years.

But the following links are some of the best things I’ve learned from on how to get a range of values and help you evaluate insurance companies.

Let me know if you have further questions.

How To Value Float, A Book Recommendation, And Other Thoughts

Unico American Corporation $UNAM: A Company I Would Love To Own Outright

Notes From Phone Conversation With the CFO of Unico American Corp

The Float Of The Companies I Own

Some Questions For You About Insurance Companies

Evaluating insurance companies is a lot different from evaluating most companies.  And the info above will help you learn how to evaluate them.

Get FREE access to 17 of our best training videos from the past by clicking here.

Did I miss anything?  And do you have any other questions about insurance companies?  If so, let me know in the comments below.