I usually don't read every page that comes with my insurance policy information. This week I'm really glad I did. So I want to pass on what I learned to the people who listen to my radio show. I recently revised the coverage on my auto insurance policy. The supplement with the revision explained the "factors" used to calculate my rates. One of the factors was my "insurance score." We all know what a credit score is. What the heck is an insurance score? The letter said an "insurance score" is what insurance companies use to predict future losses. The company said several factors on my score "adversely" affected my rates. Some of those "factors" were not accurate so I gave my insurance company a call.
What I found out was information from my credit report is only part of what goes into my insurance score. There are companies out there who specialize in giving each of us an "insurance score." The representative told me most insurance companies don't automatically check to see if our insurance score has changed every year. If you think your insurance score might have improved since you started doing business with your current insurance company call them. A better score will lead to your rates getting lowered right away.
In my case I was told if my current insurance score was worse than before. They would just continue using my original score. I had nothing to loose so I asked them to check my current insurance score. Which turned out to be much better than a few years ago. I saved money!
I'm not an insurance expert but you might find the link below helpful.
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