Insurance to be rated on your credit history - your thoughts
Discussion
Hi All
FYI - A well known insurer (the yellow one that recently rebranded itself) is currently testing a car insurance policy that uses all publicly available information on you to calculate the premium, (credit history, ID records, parking tickets, tax, insurance etc) alongside the standard risk data. If you're clean and squeaky - cheaper premium. If you've walked the dark side - it's going to cost you.
Government agencies have been using your data for years. This is the first time I've come across a private company using it. America has been doing this for some years.
What are you thoughts?
FYI - A well known insurer (the yellow one that recently rebranded itself) is currently testing a car insurance policy that uses all publicly available information on you to calculate the premium, (credit history, ID records, parking tickets, tax, insurance etc) alongside the standard risk data. If you're clean and squeaky - cheaper premium. If you've walked the dark side - it's going to cost you.
Government agencies have been using your data for years. This is the first time I've come across a private company using it. America has been doing this for some years.
What are you thoughts?
If they would record that I am a graduate and not a skinhead and adjust the price accordingly I would appreciate it greatly.
They will use this to make more money;
40 year old married man working in professional job
Parking ticket from Norfolk & Chance Parking Consultants in 1997
10 years NCB
Insurance premium: £££££
They will use this to make more money;
40 year old married man working in professional job
Parking ticket from Norfolk & Chance Parking Consultants in 1997
10 years NCB
Insurance premium: £££££
Edited by Jim the Sunderer on Friday 7th May 16:49
Just another way for those thieving b
d insurance companies to get more of our money (I don't believe for one second that premiums for those with squeaky clean credit histories will go down, you just won't have to pay the extra for bad history), here's an idea why don't you concentrate on finding those people driving without insurance rather than making us pay for their accidents, s
d insurance companies to get more of our money (I don't believe for one second that premiums for those with squeaky clean credit histories will go down, you just won't have to pay the extra for bad history), here's an idea why don't you concentrate on finding those people driving without insurance rather than making us pay for their accidents, sDevil2575 said:
collateral said:
Jim the Sunderer said:
They will use this to make more money.
Ding!How does me missing a payment on a TV have any bearing how likely I am to bash my car into something?
Just an excuse to squeeze cash out of people for things which have nothing to do with driving ability
Hi all,
It’s not just your credit rating they are looking at. It’s all public info to build up a profile about you. I guess that if they can see that you’ve only been in the country for 2 years and done for selling coke to school kids, they’ll chance the car higher to be ‘in an incident’, thus want more premium. If you’ve always repaid on your DFS sofa and have a traceable life history in the UK, your premium will cost less.
Yes they will use this to make more money – they have to. Premiums have been so low over the last 5 years that it hasn’t covered claim costs. The insurance company’s coffers are empty. They have previously survived on investment income which just isn’t there any more.
No you can’t quote with the scheme now – at least not with us. I work for a broker who is trialling it. Go live is June 1st.
I also agree more should be done to catch the scum that avoid paying insurance or falsify claims to the detriment of law abiding folks.
It’s not just your credit rating they are looking at. It’s all public info to build up a profile about you. I guess that if they can see that you’ve only been in the country for 2 years and done for selling coke to school kids, they’ll chance the car higher to be ‘in an incident’, thus want more premium. If you’ve always repaid on your DFS sofa and have a traceable life history in the UK, your premium will cost less.
Yes they will use this to make more money – they have to. Premiums have been so low over the last 5 years that it hasn’t covered claim costs. The insurance company’s coffers are empty. They have previously survived on investment income which just isn’t there any more.
No you can’t quote with the scheme now – at least not with us. I work for a broker who is trialling it. Go live is June 1st.
I also agree more should be done to catch the scum that avoid paying insurance or falsify claims to the detriment of law abiding folks.
The credit reference agencies have a lot of incorrect or out of date information (they certainly did about me and the last vehicle I bought). They have no records at all relating to two credit cards I have had and used regularly since 1984.Papa Hotel said:
Jim the Sunderer said:
If they would record that I am a graduate and not a skinhead and adjust the price accordingly I would appreciate it greatly.
What makes you think you're safer than someone who shaves their head?
Look at it this way.
If you damaged your car to the tune of say £800-£1000, (reversed it into a wall, no 3rd Party damage)
Who is more likely to claim on their insurance? Instead of just swallowing the cost from their back pocket and not bothering to claim.
Person A who has a good credit report, and some savings etc
or Person B who doesn't have a good credit report, and has no extra savings.
Also, a person with a worse credit report ***MAY*** exaggerate a claim
NB Not my opinion, just looking at it from an insurance companies point of view
If you damaged your car to the tune of say £800-£1000, (reversed it into a wall, no 3rd Party damage)
Who is more likely to claim on their insurance? Instead of just swallowing the cost from their back pocket and not bothering to claim.
Person A who has a good credit report, and some savings etc
or Person B who doesn't have a good credit report, and has no extra savings.
Also, a person with a worse credit report ***MAY*** exaggerate a claim
NB Not my opinion, just looking at it from an insurance companies point of view
kma said:
Papa Hotel said:
Jim the Sunderer said:
If they would record that I am a graduate and not a skinhead and adjust the price accordingly I would appreciate it greatly.
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