I was surprised to hear that query requires credit rating check. How true is that? Do companies pull credit rating? And if they do, then does it effect credit rate or FICO or beacon score? I’d like to inquire auto rates and I’m in NJ state. How should I deal?

 

  • Mahala Z 1:01 pm on March 12, 2010

    Kanada, There are lots of places where you can get an online quote. http://www.autoadviceonline.com/Free-Auto-Insurance-Quote.html It only takes roughly 10 minutes to do.

  • DaylightsDarkness 1:01 pm on March 12, 2010

    Yes, insurers check your credit score… that influences your rates. (Higher score = less risky person = less likely to have accidents = lower rate) However, they do a "soft pull" which does not affect your rating and comes off quickly.

  • cacabutt 1:01 pm on March 12, 2010

    I never knew that either, but yes the insurance agents check your credit score to determine your insurance premium… :(

  • Gowen 1:01 pm on March 12, 2010

    Yes it is true that some auto insurance companies require a credit rating check in order to rate your auto policy. Not all companies check credit, but more auto insurance companies are now using a credit score (or insurance score) as one of the factors in rating a policy. Most states do not allow an insurance company to deny you a policy based solely on your credit score, but if you have poor credit it can negatively impact your premiums. When an insurance company checks your credit rating it will appear on your credit report as a soft hit. So, it will not impact your credit score.

  • Beverly 1:01 pm on March 12, 2010

    Yes, auto insurance companies will order credit in order to rate you.. in other words the better your credit the better rate you’ll get. However, it will not affect your fico score on your credit. More importantly, you will want to get the best rate even if your credit is not that great. So, what I suggest is to get a quote from several major carriers online. This way you can compare rates between each company in order to get the best rate. All you need to do is go to the url below put in your zip code and then you’ll be taken to a page where you will put in your information and then you’ll get a quote from several major insurance carriers. Some individuals may be able save up to $598 annually.

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