Teachers Insurance and Annuity Association (TIAA), the third largest life insurance company in the United States, received Duff & Phelps Credit Rating Companys highest rating, AAA, on Feb. 8. This makes TIAA one of only three life insurance companies now holding the highest possible rating from all four of the leading independent ratings agencies that analyze the financial strength of insurance companies.
In assigning the AAA rating, Duff & Phelps stated: The rating is based on the companys excellent financial performance, large size, dominant market share in its core business, positive liability characteristics, low operating leverage, and low cost structure.
TIAA, together with the College Retirement Equities Fund (CREF), constitutes the largest pension system in the world, with $113 billion in assets under management; TIAA represents nearly $62 billion. TIAA-CREF serves some 5,000 educational and research institutions and approximately 1.6 million policyholders.
Other top ratings TIAA holds are: AAA from Standard & Poor, Aaa from Moodys Investors Service and A++ (Superior) from A.B. Best Co. These ratings also are based on TIAAs overall financial strength, including its operating and investment performance, and its ability to meet payment obligations to policyholders.
TIAA-CREF is very pleased to receive Duff & Phelps highest rating, said Chairman and CEO John H. Biggs. We believe that it holds particular significance when analyzed in context of TIAA being one of only three life insurance companies, out of over 2,000 nationwide, to currently hold the top ratings from all four leading ratings agencies. Taken together, these four top ratings should provide policyholders with maximum assurance that their TIAA retirement savings are extremely safe and well managed.