Monthly Archives: April 2017

Auto Insurance Company

If Big Brother is watching, he just may be your insurance company. No matter what insurance company you use, it is guaranteed that they know plenty more about you than you know about them. When you apply for a new insurance policy or when you submit a claim, the insurance carrier gathers a wealth of information about you.

The insurance carriers obtain your credit score and utilize in making decisions. However, they use your score to create something different. By giving different weights to different factors than the credit bureaus, they come up with what is called an insurance risk score. You can obtain your credit score, but you cannot find out what your insurance risk score. Studies have been done that show a direct correlation between someone’s credit score and on how likely they will be to file a claim. The better the credit, the less you will pay for insurance coverage.

Your insurance company will certainly check your driving record. This has a direct effect on whether or not they will insure you and on how much your insurance premiums will be. Driving records are essential as a predictor of insurance risk, and are utilized by all insurance firms.

Insurance firms often buy comprehensive information about potential customers from large database companies. This information could contain your credit report, your driving history, your claims history, your address history, criminal records, lawsuit history, aliases, and the history of vehicles. As much information that can be gathered will be used in making any decisions.

You can double check much of the information that is used by insurance firms. You can obtain a copy of your credit report from Equifax, Transunion, or Experian. You can write to the Department of Motor Vehicles in your state to get a copy of your driving record. It is always good to check for errors on a regular basis. Errors are common, and one error can cost you.

How To Do So In Two Easy Steps

There are multiple commercials around talking about how much you can save by switching auto insurance. Let’s say that you’ve made that call and found a cheaper auto insurance out there. Now you’re wondering how to drop auto insurance without a problem.

Dropping auto insurance is actually a fairly simple process. Auto insurance may not be canceled over night but it is a fairly smooth process that is easy to handle if the auto insurance holder knows the proper steps to follow.

The first step to dropping ones auto insurance is to make sure that the insurance company that is the current insurance provider is contacted. This is just making a phone call to either the local branch of insurance or to the nationwide number that is provided. Make sure when making this phone call that the customer service rep adds a note to the insurance file of the date that the phone call is taking place.

After the phone call it is a good idea to type up a letter to the insurance company. The letter does not have to be lengthy or wordy but simple put that the insurance holder would like to cancel the auto insurance effective by a certain date. When the letter is finished send it to the insurance company via certified mail. By sending the letter certified mail this gives the insurance holder the proof that the letter was actually received by the insurance company. This can come in very handy if there is a depute about when the insurance was canceled.

Sometimes with auto insurance companies the insurance policy is paid for ahead of time. If one were to cancel after the policy was paid for the auto insurance company might owe the policy holder some money. By many state laws the insurance company has to refund the money back to the holder for any days that were paid for but not covered. It is best to know ones state laws about this or ask the insurance company about this policy.