Shopping for Car Insurance with Bad Credit

Car insurance is not the usually linked to bad credit repair services. If your credit score would benefit from the resuscitative effects of a bad credit repair company, then you realize why.

Getting the Insurance

Commercials would have you believe that buying car insurance is a one-step process easily completed online. Once you click the print button to receive the proof of insurance then process is done, right? Wrong.

Insurance quotes online are just that – quotes. These numbers are not a set-in-stone guarantee of what you will pay. Your actual premium is often a scotch higher than what you see online.

Why is that? One of the most common reasons your insurance premium shifts upwards is because of the bad credit report repair needs that your chosen insurer only learns about after they run your credit report.

Mitigating the Impact

Sometimes it feels like bad credit gets you coming and going. It does, but that does not mean you have to be a victim waiting for your credit history score to rat you out again.

There are many things you can proactively do to plan for insurance and other financial service needs that are negatively impacted by your credit score. Firstly, you an acknowledge that you will likely have to pay more for car insurance – and anything else tied to credit – and plan for it.

If you are getting a quote online, add at least 15% to the number that pops up on the screen. If the number is ridiculously high, don’t shrug your shoulders and forfeit to your bad credit.

In some ways, bad credit doesn’t differ that much from getting insurance when you have good credit. The best way to get the best deal on insurance is to shop long, shop hard. and then shop some more.

Watch the Fine Print

When you shop for insurance, you need to know what you are comparing so you can determine if you are getting a good deal or not. There are three main areas you need to compare: deductible, pay-out satisfaction or customer service, and coverage rates.

If these areas are different from policy to policy, then you don’t really know if one insurance package is really priced better than another. It would be like choosing to buy a Tonka Truck rather than a Toyota because the Tonka costs less. There really is no comparing these two items because they are so dissimilar.

To be certain you are getting an apples to apples comparison that results in a fair comparison of premium rates, dig a bit deeper than the monthly cost. Look at how much your insurance will pay for each accident, injury, or incident. Likewise, look at deductibles. Higher deductibles mean lower premiums. You also want to look at other inclusions like rental cars, towing, and theft recovery.

With all things being equal, you can choose the package you want at the right price from a company you feel good about.


Credit Loan: Shopping for Car Insurance with Bad Credit Repair in Mind http://www.creditloan.com/blog/2010/10/13/shopping-for-car-insurance-with-bad-credit-repair-in-mind/#ixzz12GiUrnX9
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