October 16th, 2012
We’ve talked before about what auto insurance scores are and how they’re used by insurers. But there remains some concern among Credit Karma members, and rightly so. After all, if your auto insurance score is low, you may be concerned that you’ll receive high insurance rates.
Today we’re going to put some of these fears to rest and explain three reasons why you shouldn’t fret about your auto insurance score.
But first, some basics. The auto insurance score you receive on Credit Karma is called the TransUnion Auto Insurance Risk Score. It ranges from 150 to 950 and is calculated using data from your TransUnion credit report. Now, on to a few important points…
It has nothing to do with your driving record.
Picture this: You have a pristine driving record but a poor auto insurance score. Crazy, right? Well, actually, that happens often. Since your insurance score is based solely on your credit data, it has nothing to do with your driving record. That factor doesn’t even come into play in this score. What’s more, it doesn’t even matter if you don’t have a car; you can still have an auto insurance score.
June 19th, 2012
There’s a lot of confusion surrounding auto insurance scores, and it’s understandable. Why would your insurance premiums be based on your credit history, something that’s completely unrelated to your driving history? Today we'll try our best to clear up the confusion.
November 16th, 2010
The next time you shop for insurance, you may be new to the fact that credit history is on hand for most insurers to use to determine how much you will pay.
In our last post on auto insurance scores, we discussed what exactly an insurance score is; this week, we’re breaking down the logic and truth behind it.