In most states, auto insurance companies can use your credit score to set your rate. That's not surprising. But there are a handful of lesser-known reports they use, too. It helps to know what these are so you have a better idea of your monthly premium.
MoneyTalksNews made a list of ten reports, including your credit score, that insurances companies use to set your rate. Your claims history and motor vehicle record are pretty obvious, but there are a couple of more surprising reports:
Undisclosed-driver report
Both Verisk and LexisNexis offer insurance companies reports that uncover undisclosed drivers living in your residence by cross-checking public records. One report focuses on drivers between the ages of 15 and 25 who are newly licensed but haven't been disclosed.
If a "hidden" driver of any age is found, you'll likely be asked to add the person as a driver or exclude the individual if your state and insurer allow this option.
Attract score
Another credit-based score comes from LexisNexis, a provider of risk and data information services. This is called the Attract Insurance Score and helps insurers judge your risk. Unlike a FICO insurance score, you can get your own Attract score from LexisNexis for a modest cost.
For more reports and data these companies use, check out the full article.
10 Reports Your Car Insurance Company Pulls About You | MoneyTalksNews
Photo by TheBusyBrain.
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