In order to give you an accurate rate an insurance company needs to gather certain information about you. Getting accurate and thorough information means receiving a correct quote. No one minds if the price goes down because information changes but if the price increases then people tend to get angry. If the price changes due to information found out after your policy is started, than you can be sure to get an additional premium notice. So let's discuss what information an insurance company needs to receive from you.
The first thing that an insurer, meaning the company that you have asked to insure you, does is to run a motor vehicle report ( known as a MVR) on you. This MVR report shows what tickets or accidents you were charged with during the dates specified in the search. Most insurance companies will check your drivers record up to 3 years back, although some will go back even further. Further searches are typically up to 5 years back.
Any violation or acc idents that you were charged with will show up on your MVR. This report will also usually show the status of your drivers license. This will inform the insuring company if your license is valid, expired or suspended. Personal information shown on this reports will include: the current address you provided, your social security number (although some MVR reporting companies do not list this information) and your date of birth. The MVR will list how many identification cards or licenses you have had. The report also shows the number of license suspensions you have had in the past.
Clue reports are another report used to gather information. This report is used to see what type of claims you have filed or have been filed against you. These may or may not be your fault, but if an insurance company paid out money on your behalf, it will show up here on this report. The clue report also may be used to list all the people in your household. This will show all those who have the potential to drive your vehicle. It will show the status and license number of all the household residents. If the people listed will be driving your vehicle then their motor vehicle records will also be run.
Credit reports could also be used by an insurance company to rate you. The insurance company will usually give you a rate then verify your credit score using your full name and social security number. You are then rated on a tier system. The best prices are for those that have good credit. You may have a spotless driving record but if you have poor credit you might not get the cheapest rates.
Insurance companies also know where you live and which cities are the busiest and most congested. Every county has its own territory rating based on population, number of accidents and/or claims occurring in it and age demographics. The biggest cities are the most expensive for insurance premiums while the counties that are considered to be more rural will be cheaper t o be insured in.
As you can now tell the insurance company does its background research on potential policy holders. The more the company knows about you, the better it is for you. Not only does it allow for the most accurate rate, but it assures that claims are paid correctly and with no delays.
Visit http://www.carinsurance.com for Car Insurance in your State
James Diaz is a representative of CarInsurance.com. You can visit CarInsurance.com at http://www.carinsurance.com or contact them at 1-877-327-8728.
CarInsurance.com's online insurance marketplace gives an opportunity to consumers and to insurance companies. We offer the ability to shop for car insurance online.
Consumers can receive quotes from many insurance companies, in some states you are able to purchase your insurance instantly, online. You don't have to drive your car to buy car insurance. Buy online... anytime!
Author:: James Diaz
Keywords:: auto insurance, car insura nce quotes, auto insurance rates
Post by History of the Computer | Computer safety tips
No comments:
Post a Comment