Lower Rates on Auto Insurance

There are lots of things that determine your car insurance rates, but having a clean driving record and good credit are two things that will have a lot to do with determining how much you end up paying for your auto insurance policy. In fact, if both are good, there is a possibility you could end up paying somewhere around 25% less.

Auto insurance companies are changing the way that they rate policies, which is good for most of us. Some people have noticed changes as high as 30% on their auto insurance policies, and they haven’t changed vehicles or coverage – they simply have good driving records and pay their bills on time.

If you have an excellent credit rating you will save more on their auto insurance than someone with a good credit rating, someone with a good credit rating will save more on their auto insurance than someone with a fair credit rating, and so on. Auto insurance companies say that they now look at more than 30 factors when determining pricing for their policies.

Instead of simply looking at where you live, how old you are, whether you are married or not, and your driving record, the auto insurance companies now take many different things into consideration such as credit history and kind of car you drive. Of course, there is a down side to this pricing as well – if you get behind in your bills you could start seeing an increase in your auto insurance policy as well.

Back to August 2007 Archives