Insurance to be rated on your credit history - your thoughts
Insurance to be rated on your credit history - your thoughts
Author
Discussion

warp9

Original Poster:

1,632 posts

227 months

Friday 7th May 2010
quotequote all
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?

Stedman

7,475 posts

222 months

Friday 7th May 2010
quotequote all
I like the idea, as it should bring my premium down quite a bit not having anything! (I intend it to stay that way)

Yes please.

sinizter

3,348 posts

216 months

Friday 7th May 2010
quotequote all
How does my credit rating affect my driving ?

Seems like a an idea hatched up to collect more data ...

Jim the Sunderer

3,261 posts

212 months

Friday 7th May 2010
quotequote all
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: £££££

Edited by Jim the Sunderer on Friday 7th May 16:49

collateral

7,238 posts

248 months

Friday 7th May 2010
quotequote all
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? Complete bks, but if it works, cue the rest of them following suite.

Edited by collateral on Friday 7th May 16:54

t84

6,941 posts

224 months

Friday 7th May 2010
quotequote all
Can you get a quote with this scheme now? Is it Av***?

homerjay

1,249 posts

255 months

Friday 7th May 2010
quotequote all
complete nonsense idea.

but

it'd work for me, so im in favour.

PHmember

2,487 posts

201 months

Friday 7th May 2010
quotequote all
t84 said:
Can you get a quote with this scheme now? Is it Av***?
I think you mean **iva, not Av***.

Devil2575

13,400 posts

218 months

Friday 7th May 2010
quotequote all
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?
I suspect there may be a connection.

briSk

14,291 posts

256 months

Friday 7th May 2010
quotequote all
it's rowlocks because you get a good credit history by actually using credit cards etc. i would imagine at least 'many' safe drivers are the sort of people who keep away from credit cards...

.blue

726 posts

210 months

Friday 7th May 2010
quotequote all
source?

t84

6,941 posts

224 months

Friday 7th May 2010
quotequote all
Has anyone noticed it says on the quote screen

"To make sure you get our best deal, please enter your name exactly as it appears on your driving licence"

Wtf?!

Gun

13,432 posts

248 months

Friday 7th May 2010
quotequote all
Just another way for those thieving bd 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, censoreds

collateral

7,238 posts

248 months

Friday 7th May 2010
quotequote all
Devil2575 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?
I suspect there may be a connection.
Or none at all. What next, IQ tests? Colour of your eyes? Sexual preference?

Just an excuse to squeeze cash out of people for things which have nothing to do with driving ability

warp9

Original Poster:

1,632 posts

227 months

Friday 7th May 2010
quotequote all
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.

Papa Hotel

12,760 posts

212 months

Friday 7th May 2010
quotequote all
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?

dave1409

221 posts

208 months

Friday 7th May 2010
quotequote all
Not good frown 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.


kma

959 posts

224 months

Friday 7th May 2010
quotequote all
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?
Skinheads have less wind resistance so they will be travelling faster, so if they crash, more damage will be caused. wink

dave4959

173 posts

222 months

Friday 7th May 2010
quotequote all
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

Papa Hotel

12,760 posts

212 months

Friday 7th May 2010
quotequote all
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.
What makes you think you're safer than someone who shaves their head?
Skinheads have less wind resistance so they will be travelling faster, so if they crash, more damage will be caused. wink
But... we're less likely to be distracted by hair getting into our eyes when we drive, that makes us safer.