Insurance Companies Care About Credit
Why would an insurance company care about credit reports? The answer is actually simple but definitely controversial. Insurance companies want to determine whether you should have a low rate or a high rate on your insurance. In fact a study referenced in the below article actually cites that 92% of the largest auto insurance firms used information in credit reports to write new policies and 52% used it to determine rates.
Concerned by how your credit report is being used? You should be. Really, it just puts more emphasis on your credit report and ensuring it’s going to give you high marks on your credit worthiness report card. Read about insurance company and credit reports.
While legislation may take years to reverse how insurance companies can use your reports, you view your credit report in just minutes. If your not sure what’s on your credit report, check out this free trial offer to pull your credit report.
Tags: free credit report, Insurance