Car Insurance Rate
car insurance rates
If your credit report has some blemishes on it, chances are good that you might not get the lowest car insurance rate, even despite the fact that your driving record is spotless. As ridiculous as that sounds, the Supreme Court recently overturned a Circuit Court ruling that said the FCRA (Fair Credit Reporting Act) requires insurers to notify customer whenever their credit rating prevents them from getting the best available car insurance rate.
Auto insurance companies argue that a customer’s credit rating is just one of many criteria they use to establish car insurance rate for the customer.
For about the last 10 years or so, most car insurance companies have used the customer’s credit rating when establishing car insurance rate for the customer. The car insurance companies claim that a credit report “is a solid predictor of risk”, and after all, car insurance rate are all about risk. Studies have shown that an alarmingly high percentage of consumer credit reports contain errors.
Car Insurance Rate When You Have A Bad Driving Record
If you are considered a bad driver or a high-risk driver, finding a car insurance rate you can afford comfortably is a challenge. If you find a car insurance company to insure you, you will pay a high price.
Many factors contribute to a car insurance company considering a driver a high-risk. Accidents, speeding, running red lights, operating over the centerline and driving the wrong way on a road will contribute to your high car insurance rate.
Your high-risk standing makes it difficult to find car insurance rate. If you receive auto insurance quotes that appear high, ask the insurance agent about this problem and determine if it was because of your credit history or your age and driving record. The car insurance companies do like to work with you to give you the best quote on an insurance policy.
There are some things you can do to improve your driving record, you might take a drivers safety course, which helps the insurance company lower your car insurance rate a little.
The other thing people do to improve there car insurance rate, they buy an older car, which should have some safety devices installed.
Also check out my other guide on Compare Insurance and Holiday Insurance.
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