There are many factors that insurance companies use to calculate insurance rates, and one of the common considerations is a person’s credit score. The reasoning behind the trend is not completely clear, but statistics show that people with bad credit file more claims, and more costly claims, than those with good credit scores.

This means that while those with good credit may receive insurance discounts, people with bad credit could be paying two to three times as much for the same insurance coverage. If your car insurance costs are high because of a low credit rating, the friendly Chicago auto insurance agents at Insure on the Spot are prepared to help you explore your coverage options.

Your Credit Score & The Insurance Company

Many insurance companies have determined that there is an association between your credit rating and your risk of having an accident and filing a claim. Those with poor credit sometimes have trouble finding car insurance, or are charged extremely high rates because they are considered to be in a high risk category. If you feel that you are paying too much for car insurance, it is important for you to know that you can shop around for a more affordable plan.

If you have a low credit rating and high insurance rates, taking steps to improve your credit rating can have a positive impact on your finances and may lower your coverage rates as well. Increasing your credit score takes time but could ultimately result in much lower insurance premiums. In the meantime, consulting with an experienced car insurance representative and getting a free quote can help you to find the best car insurance rates for your needs.

Contact Us Regarding Low Credit Scores

With Insure on the Spot, customers with low credit scores can comparison shop to find more affordable car insurance. If you are looking to purchase new car insurance or want to switch from your current plan, the helpful Chicago car insurance experts at Insure on the Spot are prepared to help you! Contact them today at 1-888-972-SAVE.