Hmmm...AllState DOES suck!

[Genenco]

Just got a letter in the mail from my loving insurance company stating that
"We will be checking credit reports periodically, and adjusting the rates
according to financial reports"

Now isin't that just lovingly nice, instead of sticking to the "Known rates
if individuals and age" they decide they'll kick in the credit score
too!

The funny thing is this, they describe delinquencies, too many accounts
and EVEN TOO FEW as a reason to jack the rates...I certianly can well
understand the first two, but too few??

I think I'll be shopping for a new insurance company....Picky, thieving,
sneaky little bastards!

[HRx]

This is becoming common practice amongst insurance companies...

[tinroofrusted]

They can't do this in Michigan anymore, thank GOD.

[pink_amulet]

I've heard more and more about that. See I don't think that is fair at all. I am 31 yr old married female, with two kids. I have a CLEAN driving record (only 2 tickets in 15 yrs, One when I was 17yrs, and one when I was 25yrs)..I NEVER had an accident. Just because I have a financial issues they should raise someone rates??......it DOES NOT affect my driving....unless I'm driving off a bridge due to my debt...LOL but that's a whole other story!!

I hope it doesn't mess you up too bad!!

good luck to you

pink_amulet

[robivi3]

They are just like AIG. This is being done in Florida also. I had an at fault accident in 2003, sept. I had slight front bumper damage, about 900.00. I refused the check, fixed it on my own. They lowered my rates about 300.00 for the six months, no one year policies in Florida btw. After BK they checked my credit and jacked my rates much higher. One claim, no check, $294.00 paid to the other customer. I will NEVER EVER NOT FILE A CLAIM AND WILL NEVER REFUSE A CHECK AGAIN. The hell with them all. FILE, FILE, FILE, they are going to get you anyway.

My advice, stick with Allstate. You may get a rinky dink company but could have claim problems down the road. Once legal nearly all companies employee this tactic.

Because you have filed BK you have no integrity? I am a proven lower risk!

[rawar]

RE: Credit Score and Insurance

The insurance companies claim that those with poor credit scores have more accidents and make larger claims than those with good scores. The theory being that if someone has lots of money they are more likely not to file a claim or to settle a claim for less than it's worth.

It's just a load of Insurance Company crap!

The discrimination that exists against those unfortuneate enough to have had to file for bankruptcy, like most biases and prejuidice, is based upon ignorance.

http://www.insurancescored.com/

Read some of the horror stories:

http://www.insurancescored.com/stories.htm

[ducksinarow]

This makes absolutely no sense whatsoever. What does ones credit score have to do with how they drive? I've never had a ticket, never been in a wreck and you are telling me that my bankruptcy could make my insurance go up after driving for the last almost 20 years without a single mark on my record?

[Genenco]

I know folks, it's just another way to get $$ out of us, in one way or another..I too have had NO accidents since I was 21 (I'm 45 now) and NO tickets since I was 18 and never have let insurance lapse.

I'm going to start looking for insurance companies who don't use credit scores AND write the the state legislature to disallow sneaky little things like this to occur...

Maybe State Farm...I always did like them, though the reason I left was that the policies would go up and down like a skyrocket...:P

[LostinMi]

They can't do this in Michigan anymore, thank GOD.

tinroof-- I didn't realize this. I thought my insurance did reflect my credit score.... so I have been dreading the moment they pull a new score. Was this recently changed?

[LostinMi]

tinroof-- I didn't realize this. I thought my insurance did reflect my credit score.... so I have been dreading the moment they pull a new score. Was this recently changed?

BTW - I am in Michigan too.

[HRx]

Massachusetts doesnt allow auto insurance companies to use a person credit as a factor in determining thier insurance rate.

[Mysocalledlyf]

Just got a letter in the mail from my loving insurance company stating that
"We will be checking credit reports periodically, and adjusting the rates
according to financial reports"

Now isin't that just lovingly nice, instead of sticking to the "Known rates
if individuals and age" they decide they'll kick in the credit score
too!

The funny thing is this, they describe delinquencies, too many accounts
and EVEN TOO FEW as a reason to jack the rates...I certianly can well
understand the first two, but too few??

I think I'll be shopping for a new insurance company....Picky, thieving,
sneaky little bastards!

That might not be the best thing to shop for new insurance, b/c almost all go on credit and you'll end up paying a lot more than what you have now for switching. Credit report is the 1st thing they pull.

[robivi3]

rawar, great site!

[derf]

This is a whole new low for insurance companies.

You pay them a small fortune each year in premiums, and then you have one claim, no matter how small, and they inflate your premiums further or cancel your policy.

Yeah, what a great service they provide.

It's pretty obvious who most insurance companies are in the market for, and it sure as heck is not the customer.

In this scenario, I'd personally write a letter of dissatisfaction to your insurance company, stating your concerns with their policy of credit score influenced rates. I would also include that you will be publishing this letter along with a reference of their own policy in local and national printings, as well as online discussion communities. This way everyone can be aware of your insurance companies policies, which will likely result in further dissatisfied customers. No company wants any type of negative publicity.

I would then promptly cancel the policy and seek another insurance provider that does not utilize this practice. Insurance companies are a dime a dozen. There is always another company willing to pick up new customers where another company falls short. I would strongly emphasize this point in your letter to the insurance company in question.

The power of the pen is the most powerful tool you have. So long as you know where the boundaries of libel and dissatisfaction are. The first amendment gives you great power, if you are willing to use it.

[Minnymouth]

Yeh, my home insurance went up also. Amost $100.00 more this year. Bad part, is I have to pay it as long as I'm in the home, even though the sale is in Dec. If I don't, there was a storm or fire, I wouldn't get a dime. Plus they would hold me responsible for not keeping insurance on it and the Court (trustee) possess it right now. Yet I have to pay the insurance bill.

Dog eat dog...............

Minny