Ratings in this article were taken from each insurer’s or rating agency’s own website, which we checked in October 2026. The ‘As at’ column shows the date each rating applies to, as given by the source. Ratings can change at any time. This article doesn't cover every insurer.

An insurer financial strength (IFS) rating is an independent opinion on how able an insurance company is to pay claims, including in difficult conditions such as a natural disaster or an economic downturn. Ratings are set by credit rating agencies.

What IFS ratings are based on

Rating agencies look at a wide range of information, some public and some provided privately by the insurer. This can include:

• capital and solvency (how much capital the insurer holds compared with its risks)

• profitability and cash flow

• the investments it holds and how risky they are

• the types of policies it writes and how concentrated its business is

• its position in the market

• risk management and governance

• reinsurance arrangements

• wider economic and sector trends

What IFS ratings don't tell you

IFS ratings are opinions, not guarantees. Each agency uses its own method, and ratings can be put on watch, downgraded or withdrawn. A rating also says nothing about customer service, claims handling or the price and features of a policy.

Ratings often apply to a specific company within a group. A group's main insurer may have a different rating from its UK subsidiary, or the UK business may not be rated at all.

The main rating agencies

S&P Global, Moody's, Fitch and AM Best all rate insurers that operate in the UK. Each uses its own scale, and the scales aren't directly comparable.

It's important to note the the scales are not directly comparable to each other. For example, a AA+ from Fitch may not be equivalent to a AA+ from S&P.

Ratings for some large insurers in the UK

Direct Line and Churchill policies are underwritten by U K Insurance Limited, which is now part of Aviva. Moody’s rates U K Insurance Limited Aa3 for insurance financial strength. Direct Line Insurance Group’s A2 rating from Moody’s is a different type of rating for the holding company, not the insurer that pays claims.

We've compared ratings for some of the biggest UK insurers to see how they rank. Note, rating agencies have different levels of coverage and there is no rating company that rates all insurance companies in the UK. If you're looking for the rating for a specific company you might have to check all three providers to find a rating.

Insurers' claims costs

Claims costs show why financial strength matters. According to the Association of British Insurers (ABI), insurers paid a record £6.1 billion in property insurance claims in 2025, including almost £3.4 billion on more than 560,000 home insurance claims. Pet insurers paid a record £1.23 billion in 2024.

Several well-known brands are underwritten by the same insurer. For example, since Aviva bought Direct Line Group in 2025, Direct Line and Churchill policies have been underwritten within the Aviva group. When you check a rating, look up the company that underwrites your policy. Its name is in your policy documents.

If an insurer fails

If a UK-authorised insurer fails, the Financial Services Compensation Scheme (FSCS) may cover your claim. For general insurance, FSCS covers 100% of claims for compulsory insurance (such as third-party motor) and 90% for most other types, with no upper limit.

Other ways to compare insurers

• Complaints data: The FCA publishes complaints data twice a year, including firm-level data for firms that meet its publication thresholds, so not every insurer will appear. See the FCA’s firm-level complaints data.

• Customer reviews: sites such as Trustpilot and Reviews.io collect customer reviews. Many reviews describe buying a policy rather than making a claim.

• Independent reviews: organisations such as Which? and Defaqto compare policy features and customer experience.