What Is Your Auto Insurance Score

Payment historyAmounts owedLength of credit historyCredit mixNew credit inquiries

Paying bills on time is a solid start for improving your credit score, and in turn, your auto insurance score. Set calendar reminders, put sticky notes on your desk, or do whatever it takes to make sure your bill is paid when it needs to be. This simple task can work wonders on your insurance score.

The takeawayExcluding California, Hawaii and Massachusetts, all states look at credit factors when determining your auto insurance rates.A statistical correlation exists between a low insurance score and an increased risk of filing a claim.The credit history and car insurance relationship varies from state-to-state. More items...

Life insurance typically does not impact your credit score. However, car payments and mortgage payments can have a huge impact on your score if you constantly are late with your payments. A lower credit score means it will cost you more to borrow money, and over time, that could cost thousands of extra dollars.