And yet another car insurance question

Question: What I want to know is why insurance companies can decline coverage based >>on your credit rating, or why they can even check your credit in the first >>place. A co-worker’s policy was not renewed because the ins. company >>decided she was not credit-worthy. JohnDoe wrote in message …

>because: 1. most people finance their policies, if you are a bad credit risk >they don’t want to bother with you. 2. People who are irresponsible with their credit are probably >irresponsible in other areas of their lives, in other words a bad >risk.

Answer: We recently changed from Farmers to Allstate and they did some kind of mini-credit check on us…. but not a full credit check.

In the State of Texas you can’t do anything without proof of insurance…. car inspections, renewing driver’s license (unless you prove you don’t own a car), and license plate renewals.

People who have recently gone threw a divorce and other reasons may have bad credit. I wonder if there is a pool (like for high risk drivers) that has to accept drivers with bad credit? Must be???

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Filed under: Bad Credit Loan

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