Most people understand that their credit score can affect their future chances for credit, but many people do not know that their credit score and credit records are also used by auto insurance and home insurance companies as one way to determine rates.
Most states allow home and auto insurance companies to use credit information in their formulations for premium rates. Needless to say, if your credit history has some bad marks on it you may end up paying more for your coverage. To make matters worse, the Supreme Court of United States ruled this year that insurance companies do not even have to tell you that it was your credit history that caused them to charge you more.
In brief, the court ruled, unanimously, that insurance companies were not at fault in charging certain poor-credit customers more in premiums without notifying them that they were doing so.
What this means to consumers who have poor credit marks is that they will not know that their credit history is the reason they are paying more. This is why it is imperative that consumers watch their reports on a regular basis and make corrections when needed.
It would be nice if customers could...
To view and download this full PLR article, you must be logged in. Registration is completely free. Once you create your account, you will be able to browse, search & downlod from our PLR articles database of over "1,57,897+" on 1,000's of niches and 200+ categories without paying a penny. Click here to signup...
