Your Insurance score is the following according to the Insurance Information Institute (www.iii.org).
"An insurance score is a numerical ranking based on a person’s credit history. Actuarial studies show that how a person manages his or her financial affairs, which is what an insurance score indicates, is a good predictor of insurance claims. Insurance scores are used to help insurers differentiate between lower and higher insurance risks and thus charge a premium equal to the risk they are assuming. Statistically, people who have a poor insurance score are more likely to file a claim.
Insurance scores do not include data on race or income because insurers do not collect this information from applicants for insurance."
What can I do to protect or improve my insurance score?
More so than ever, we are characterized by our handling of our credit matters. Most insurance companies use it, in varying degrees, and it impacts your premium. Or if you are even insurable at all in some cases. If you have had credit issues in the past, are going through a tough time now, or see trouble ahead, it is essential that you act.
Review your credit history monthly.
It is best to get on a credit monitoring program that will notify you each time there is a change in your report.
Use a system that offers a credit score watch so you always know where you stand.
Hire a credit repair firm if you do not have time to deal with the confusing maze of credit dispute. They can do the job better, faster, and more completely than most poeple. The small investment will pay for itself in better credit.
If you forsee or are late with major payments like a mortgage, get help. Foreclosure prevention companies can mean the difference between you keeping and losing your home.
Keep inquiries to your bureau to a minimum. Too many inquiries lower your credit score. When you research your bureau yourself through monitoring, this does not apply.
Avoid maintaining maximum balances on credit lines. This does not look good to potential creditors and lowers your score.