Know The Score When It Comes To Insurance

Saturday, March 1, 2008

can have a major effect on your home and auto insurance. Increasingly, insurance compa- nies are weighing credit histo- ries—including late bill payments and debt balances—whenassess- ing a consumer application or renewal and setting the associ- ated premium. That’s because there’s a proven connection between how you’ve managed your finances over the years and how likely you are to file an insurance claim. In much the same waythat lenders look over your credit scores for a loan, many insurers now review your Property and Auto “Insurance Scores” to help determine your insurability and the premiums you'll pay. Yet most people don’t realize this practice is commonplace. “We surveyed consumers across How much you pay for auto insurance may depend on timely paymentof your credit cardbills. turns out. In addition to being a safe driver and homeowner and filing claims only when necessary, ments can contribute to increased follow these tips to help make sure insurers view you in the most positive light next time around: e Pay all your bills on time percent think credit card balances are a factor,” says Lucy Duni of from time to time. the country and found that only 22 percent think late bill pay- insurance premiums and only 16 TransUnion’s TrueCredit.com, which provides consumers with access to their Property and Auto Insurance Scores as well as a host of other credit managementtools. “The bottom line is, your credit every month, even if you can only make the minimum amount due Keep the balances on your credit cards at 35 percent or less of the limit on each card. Apply for credit in modera- tion during the year to avoid mul- how insurers view you as an tiple creditor “inquiries” on your credit files. Think twice before closing ance coverage every month.” So what can you do to “insure” that you’re in a good position next time your policy comes up or you need to reinsure? Quite a bit, as it paid in a timely manner over the years. Get more details and options for checking both your insurance and credit scores by visiting www.truecredit.com/insurance. health is likely going to factor into applicant and how much you’re going to end up paying for insur- old credit cards on which you’ve

--- PHOTOS ---

File: 20190801-080210-20190801-080208-74094.pdf.jpg

--- FILES ---

File: 20190801-080208-74094.pdf