I think rates should be based on driving record. I know someone will say because of stastics I don’t buy it, I think it is discrimination.

 

  • Sane 5:03 pm on March 1, 2010

    Its simply another insurance company scam. A persons credit rating has NOTHING to do with their driving record. Many states are finally waking up to this criminal activity and banning the practice. Its not discrimination, but just total bull. These companys think up ways to justify raising rates. They also think if you move often or change jobs often your also a risk.

  • hvholli 5:03 pm on March 1, 2010

    because they are fearful that you will not pay your insurance on time. Not to mention the car they are covering is probably still financed somewhere? at a higher interest rate? meaning you owe way more than the car is worth…you total it….guess what? they pay.
    i think it is crap too. Your driving record should be what they look out. Just giving you some insight

  • Lance R 5:04 pm on March 1, 2010

    The credit rating shows how responsible the person is. Bad credit shows lack of responsibility, making it a high risk to insure.
    I don’t care for this practice either, but what can you do?

  • Cris 5:04 pm on March 1, 2010

    Bad credit screws you. If you have bad credit a lot of people look at this as being untrustworthy and irresponsible. Not saying that you are. When you have a black mark on your identity such as bad credit you loose your personal credibility. If someone thinks that you don’t pay your bills and you get into a wreck and smash up a 2007 Lexus they want to know that you are going to pay it, so they up your rates as a cushion. They want to make sure they are getting paid over and above what they should be because it might come back to bite them in the butt having someone with bad credit under them. They also probably have to have a higher policy for people with bad credit that costs them more. If it is something that is really bothering you ask your insurance provider.

  • CarMan 5:04 pm on March 1, 2010

    Insurance companies have done studies that show that people with bad credit are more likely to submit claims. It doesn’t have anything to do with paying on schedule.

    The logic, the companies claim, is that people who are irresponsible with their finances are likely to be irresponsible in other areas of their lives, including driving and having accidents. Of course, there will be exceptions but, in most cases, this will be true.