USE OF CREDIT INFORMATION DISCLOSURE
As part of the quoting, application, and policy processes and services, your credit score, as part of Risk Assessment, will be run and results will be gathered by Insurance Carriers. You can, however, obtain a copy of your credit report from the consumer reporting agency that provided the information used by your insurance carrier to calculate your Risk Assessment. Catherine and any staff members do not have access to your credit file.
Why do Some Insurance Carriers use Credit as Part of Risk Assessment Indicators?
Industry experts have proven that a strong correlation exists between credit history and insurance risk. Because credit history is generally accepted to be a fair and accurate way to predict probability of future loss, some Insurance Carriers use Risk Assessment Indicators and credit data to determine discount availability for applicants and customers. Please keep in mind that this is only one of several factors used in determining your premium.
Can I improve my Credit Score and Risk Assessment Indicators and, if so, how?
You can improve your indicator over time by using credit responsibly. A Risk Assessment Indicator is a snapshot of your insurance risk based on information in your credit report. It's a good idea to periodically obtain a copy of your credit report from the major credit bureaus to check for any inaccuracies.
Catherine recommends that if you need assistance with understanding your credit history or advice on using credit responsibly, you should contact a qualified credit counselor. Catherine and any staff members are not qualified credit counselors.
What if I don't get the Best Discount as a result of my Indicator?
The Federal Fair Credit Reporting Act (FCRA) requires that Insurance carriers tell you if they take adverse action based upon information contained in your credit report. They will give you the name of the credit bureau that provided the information and advise you of certain rights you have under the FCRA so you can address any errors that might appear on your credit report.
What if the Information in my Credit Report is Wrong?
If you find an error in your credit history, you should report the error to the credit bureau. The credit bureau must investigate and respond to your request. Once you are certain that your report has been updated, please contact Catherine. She will re-run your credit score as part of Risk Assessment. Make sure the information in your credit report is correct by reviewing your credit report from each credit bureau at least once a year. Call these numbers to order a copy (a fee may be required):
Equifax Credit Information Services, Inc.
P.O. Box 740241, Atlanta, GA 30374
Equifax Phone Numbers:
1-800-685-1111: Credit Report Inquiries
1-888-766-0008: Place Fraud Alert on Your Credit Report
1-866-493-9788: Credit Reports, Scores and Identity Theft Monitoring
1-888-202-4025: Business Solutions
P.O. Box 4500, Allen, TX 75013
Experian Phone Numbers:
1-888-397-3742: Credit Report / Dispute Information / Fraud & Identity Theft
1-877-284-7942: Triple Advantage Credit Monitoring Membership
1-888-243-6951: Business Credit Services
P.O. Box 2000, Chester, PA 19022-2000
TransUnion Phone Numbers:
1-800-493-2392: Credit Monitoring Service Inquires
1-800-888-4213: Purchase a Credit Report or Get Free Annual Report
1-800-916-8800: Dispute Items on Credit Report and Status Checks
1-800-680-7289: Fraud Alerts and Identity Theft Information
1-866-922-2100: Business Services Assistance
How do insurance companies assess risk?
There are a number of factors that contribute to how insurance companies calculate the risk they’ll assume when offering coverage to a particular individual. Demographic information can impact the premiums you can expect to pay, as well as your driving record and your credit history.
These and other pieces of data help create a bigger picture that insurance carriers use to determine how likely it is that you may get into an accident and, as a result, how risky you are to insure.
How do I know if I’m considered a risk for Auto, Home, or Life insurance?
While certain behaviors, like reckless driving or multiple traffic violations, have more potential to increase your insurance premiums, the method insurance carriers use to calculate your risk is based on a comprehensive, proprietary formula with each insurance carrier.
Have Additional Questions Regarding the Use of Your Credit Information Disclosure?
Contact my home office
Catherine Giles An Independent Insurance Agent Doing Business as Catherine Giles Insurance
1500 South Scullin Avenue
Denison, TX 75020
Home Office: 940-440-8974
Home Office Fax: 888-819-7783