Insurance Scores

Did you ever wonder why your insurance agent asks for your social security number when you get a quote? We do this so we can get your Insurance Score.

Do you know what an insurance score is? Do you know what it means for you?

What is an insurance score?

Your insurance score is connected to your social security number, similar to how your credit score is. Your insurance score is calculated from certain elements of your credit report, and were developed in the early 90’s to predict how likely someone is to have an insurance loss.  We run a “soft hit” on your credit report to find your insurance score.

What factors can affect my insurance score?

Some things that may affect your insurance score include:

  • Payment History
  • Length of credit history
  • Outstanding debt
  • If you have applied for credit recently.

Your insurance score is only one of the factors, and can only be used in the underwriting process. For example, if you were getting an auto quote from one of our companies, they would look at the following factors: age of the drivers, your zip code, age/make/model of vehicle, the number of miles you drive annually, and your insurance score, among other factors.

What factors do NOT affect my insurance score?

We cannot use any of the following to determine your score:

  • Race, color, national origin
  • Religion
  • Gender/Marital Status/Age
  • Income, occupation or employment history
  • Location of your residence
  • Any interest rates you are being charged
  • Child/Family support obligations or rental agreements you may have
  • Certain types of inquiries of your credit report (account review, employment, and promotional inquiries, etc.)
  • Whether you are participating in credit counseling
  • Any information not found in your credit report.

What can I do to improve my insurance score?

Some of the things you can do to improve your insurance score include:

  • Making loan payments on time
  • Keeping your account in good standing
  • Avoiding many credit applications in a short period of time
  • Don’t use all of your credit available to you.
  • You can also monitor your credit and make sure there are no inaccuracies