(More: Does Spiderman Need Life Insurance?) If you persist and contact your insurance company, it will likely tell you that 99% of its clients do online credit check free Reno not qualify for the companys lowest rate, and to qualify, your credit must be absolutely perfect. In other words, even if you carry no balances on your credit cards, own your home free and clear, are completely debt free and have a credit rating in the high 700s, youre still unlikely to have an insurance score online credit check free Reno that qualifies you for the lowest available insurance rate. So what exactly is this mysterious insurance score, and what exactly is its reason and purpose? What It Is and How It Is Calculated An insurance score is a rating used to predict the likelihood that a customer will file an insurance claim. This score as we noted above - is based on an analysis of a consumers credit rating, and the method for calculating it varies from insurer to insurer. While many companies use proprietary formulas to calculate the scores, the factors used in the calculation include the customers outstanding debt, length of credit history, payment history, amount of revolving credit versus amount of credit in the form of loans, available credit and monthly account balance. Unlike a credit rating, which uses personal financial information to determine your ability to repay debts, insurance-score calculations do not factor in your income. fair credit report act This omission means that it is very possible for you to be penalized for taking out a large loan or charging a large amount on your credit cards each month even if your income is more than enough to cover the expenses. The Logic Insurance companies justify the use of insurance scores by citing studies that apparently show a positive correlation between credit scores and insurance claims. At the level of minor traffic accidents, for example, it is reasonable to argue that individuals with poor credit are more likely to file claims, if for no other reason than the fact that they lack the funds to make repairs on their own. Of course, if we look online credit check free Reno at the logic behind insurance scores we might want to look at it also from a business perspective: insurance scoring is quite profitable, especially since almost nobody qualifies for the lowest-tier pricing. ordering free credit report Keep in mind that insurance premiums are a recurring revenue stream online credit check free Reno for insurance companies, and the scores help justify higher premiums. How to Minimize the Impact on Your Wallet A perfect insurance score, online credit check free Reno in the eyes of an insurance company, represents a client with the lowest possible risk of filing a claim, so since the probability of filing a claim online credit check free Reno is based on credit good credit is the key to a high score. A good credit report can have such a large impact on your insurance premium that you can, for example, have a flawed online credit check free Reno driving record but good credit and pay less for your car insurance than a driver who has a perfect driving record but bad credit. Do keep in mind, however, that your insurance score is online credit check free Reno not the only factor that determines your premium (you can ask your insurer for more details on what the other factors are). You are logged in as $wp_login (log out) Forbes writers have the ability to call out member comments they online credit check free Reno find particularly interesting. Called-out comments are highlighted across the Forbes network.
Bulgaria's Free Economy Score Jumps - Fraser Report HOT: Tensions Grow across Bulgaria over 'Roma Protests' Bulgaria has turned into a more economically free state to conduct business since the beginning of the year, according to a report published on Tuesday. how to check your credit report The Fraser Institute's Freedom of the World report for 2011 showed Bulgaria has climbed up to spot 28, a far cry from number 60 as ranked by the Heritage Foundation and Wall Street Journal at online credit check free Reno the beginning of the year.
The Fraser Institute's Freedom of the World report assesses individual countries according to 42 criteria including the percentage of the economy accounted for by Government activity, the presence of price controls, the legal structure and security of property rights, the freedom to trade, and the regulation of credit and business.
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