Lower your insurance costs by improving your credit score

Sometimes a busy schedule prevents you from doing certain things on time. If this includes paying your bills within the due date period, your credit is being negatively affected. One major consequence to this will be higher monthly auto insurance costs.

Insurance companies use an “insurance credit score”, which is different from a regular credit score that consumers can pull themselves from the bureaus, when determining premiums for consumers. The insurance credit score is generated by a specific algorithm that insurance companies use to evaluate your overall risk as a policy holder. If they deem you to have poor credit, your car insurance costs could be much higher than those with good credit.

Insurance is based on risk, and research has shown that individuals with lower scores tend to file more claims, and those claims are more expensive. When insurers get stuck with a bad risk, other policyholders end up footing that bill. Therefore, you will end up receiving a higher insurance premium if you have bad credit.

The most important first step for every consumer is to know exactly what your credit score is. Don’t just guess or assume your credit score is good. This could cost you a lot of extra money year after year.

Improving your Insurance Credit Score

How do you see and improve your insurance score, you ask?

ScoreAssist can provide you with a fast, easy and accurate credit score report, along with your insurance score – as well as your regular consumer score. Through this revolutionary product, you can now improve your credit scores yourself – with just a click of a button.

Remember, having a good credit score can save you hundreds of dollars per year in car insurance costs. Click below to learn your credit score to begin saving $$ each month!