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Car Insurance and Your Credit Score Dothan AL

Your credit score is used by car insurance companies to determine what you pay. It's important to know your score before you shop for insurance. It's easily possible that someone who has never had an accident and never filed a claim could pay up to three times as much for insurance as another similar customer with an identical vehicle โ€” because of differences in credit scores.

Allstate Auto Insurance
(888) 355-7971
150 Court Sq Blakely
Dothan, AL
Description
Safe Drivers Save up to 20% on Auto Insurance. Call Allstate Now!
Phone Hours
SUN - SAT 12:00AM - 12:00AM

Allstate Insurance-Delbert E. Phillips
(334) 792-7676
130 Honeysuckle Rd
Dothan, AL
 
Grimmer- Stewart R
(334) 793-6241
3124 W Main St
Dothan, AL
 
Allstate Insurance - Ken Still
(334) 792-9495
2238 Westgate Pkwy
Dothan, AL
 
Alfa Insurance - Midland City
(334) 983-4039
1314 Westgate Parkway Suite 1
Dothan, AL
 
Allstate Auto Insurance
(888) 355-7971
214 Woolfork Ave Donalsonville
Dothan, AL
Description
Safe Drivers Save up to 20% on Auto Insurance. Call Allstate Now!
Phone Hours
SUN - SAT 12:00AM - 12:00AM

English- June S - State Farm Insurance Agent
(334) 792-4183
2565 Fortner Street
Dothan, AL
 
Aaron Insurance Agency
(334) 712-0777
1455 Westgate Parkway
Dothan, AL
 
Voellinger- Otto R - State Farm Insurance Agent
(334) 793-6396
2603 Choctaw Street
Dothan, AL
 
Alfa Insurance - Geneva
(334) 684-3436
213 Broadway Street
Dothan, AL
 

Car Insurance and Your Credit Score

Many car insurance companies now use your credit score to determine what you pay. Why? Because they say studies show that customers with poor credit histories are more likely to be in accidents and file claims. They claim that customers with bad scores are higher risks and it's only fair that those customers pay more for their policies.

Insurance regulations in many states now allow this practice, although regulatory administrators admit they don't understand the connection between credit scores and car accident claims.

It's easily possible that someone who has never had an accident and never filed a claim could pay up to three times as much for insurance as another similar customer with an identical vehicle โ€” because of differences in credit scores.

How does it work?
Insurance companies use a secret formula to calculate a customer's "insurance score" that is not quite the same as the more familiar FICO score from credit reporting agencies such as , Transunion, and Experian. Although the score itself may be different, the end result will nearly always be the same. If a customer has a poor FICO score, he'll almost certainly have a poor insurance score.

Companies such as Allstate charge poor-credit customers as much as three times the rate for customers with excellent credit. In fact, credit history is becoming one of the major factors, if not the major factor, in determining insurance rates.

Insurance companies want ...

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