FRIDAY, MARCH 5, 2021
A number of factors are used to calculate your insurance premium. These include where you live, your age, your claims history and your occupation. Your credit score also helps establish the cost of your premium. 
Read more about why your credit score is used to determine your personal risk and how credit-bolstering measures can help you secure a cost-effective premium.
How Your Credit Score Affects Your Premium
Research indicates that if you are responsible with your finances, you will likely also be responsible when driving your vehicle, taking care of your home and managing your health.
Besides loss reports and other personal information gathered on your insurance application, your credit score is used to determine how likely it is that you may experience a loss. A higher credit score indicates a lower risk, which translates to a decreased rate. Whereas, a lower credit score indicates a higher risk, which leads to an increased rate, according to statistics.
How to Bolster Your Credit Score
Improve your credit score and get the best possible insurance rates with these tips:
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Apply only for needed credit cards.
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Choose loans, mortgages and credit cards that have the lowest interest rate within a specific time period.
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Do not close unused credit cards as a means of raising your credit score. On the other hand, do not open new accounts to increase your available credit.
How to Review Your Credit Score
Contact a trusted organization to obtain an accurate copy of your credit score. The best organizations for this information include Experian (1-888-397-3742), Equifax (1-800-685-1111) or TransUnion (1-800-888-4213).
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NOTICE: This blog and website are made available by the publisher for educational and informational purposes only.
It is not be used as a substitute for competent insurance, legal, or tax advice from a licensed professional
in your state. By using this blog site you understand that there is no broker client relationship between
you and the blog and website publisher.
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