Does anyone know for sure (no speculation please) whether insurance companies do a driving record check if you sell or buy another car? I got a ticket awhile back and so far they have not found it on my record. I have been with them for years so I understand why they don't spot check but if I gave them a reason like buying or selling a car would the company automatically do a DMV check? Thanks in advance.

 

Yes in order to provide you with a quote for new insurance on a new car they have to run your credit and DMV report.

 

Amazing how companies rate you off credit ratings. I mean it makes sense but credit isn't always in indicator of someones personality or ability to pay. I have excellent credit but what if I had to file bankruptcy over medical bills or divorce?

 

i have been using the same insurance for 4+ years now .. the only time they ran my record was when i very first started the policy.

 

It depends on the state you live in. In MA, the state sends the insurance company a safe driving value every year.

 

actually, this whole thread is speculation.
because each state can have different laws/rules/regulations.

if you wanted NO speculation and JUST the truth, a simple phone call to your insurance company will do.

 

Speculate before you informate?

 

^^

Yeah, but then they're going to know something's up and run his MVR. I can see him wanting to let sleeping dogs lie, but there are other sources which can probably offer better information. I would imagine almost any insurance company would run a new MVR upon switching a policy to a new car.

 

you dont tell them your name!!! lol

"i'm looking for information, maybe you can help me?"
"what can I do for you?"
"How long do moving violations stay on record for?"

etc.

if they ask for a name; Dodge and deflect.

 

*67 them and use one of those voice alteration machines that the kidnappers always use in the movies.

 

LOL!
the customer service rep wouldnt know what to do.
call the police or answer the insurance question.

 

Uhh, yeah it is. People with great credit always pay their bills and people with bad credit dont. Simple as that. Sure, there are always special circumstances like you mentioned, but generally speaking credit absolutely is the way to tell someones ability to pay or not.

 

LOL! I didnt want to be the one to tell him.

 

if you dont know yet .. i pay $72 a month on full coverage.

 

The problem most people have is that insurance companies charge higher rates to people with bad credit, even if they have a perfectly clean driving record and no claims. There's not enough anecdotal evidence to support their claim that people with poor credit are more likely to cost the insurance company money. If someone gets into a bind due to losing their job, medical problems etc and their credit suffers because of it, they shouldn't be penalized with higher insurance rates based solely on that.

 

Sort of. People with bad credit are more likely to make a small claim. Both presumably know it will affect their rates, but a person with good credit is more likely to have the strategic reserved needed to self-insure the small stuff. I don't think it has a ton to do with their ability to pay on time. No pay= no coverage after all.

 

Yes...new car, new VIN, new insurance policy.

 

That's simply a theory that insurance companies like to use in order to price gouge. It's not been proven. Lots of people have "bad credit" due to erroneous information on their reports.

 

Well I feel dumb.... I had no idea credit affected insurance rates. Good thing to know.

 

I'm beginning to like this guy, sharksbreath.

 

you and me both. he provides the lulz that this forum needs.

 

If you have a proper/good agent, they would be the one to ask. A good agent will not throw a good customer under the bus for asking questions. Their goal is to keep a customer. Corporate office's goal is to keep money coming in and no money going out.

 

LOL some interesting comments. Jackass and anx1300c have some really good points. Maybe I should call a friend of mine at the agency directly as I was trying to avoid this but I do know her and don't think she would throw me under the bus.

 

Well bottom scored people file 40% more claims than people with top scores. The main argument seems to be that it unfairly punishes people like minorities, people going through divorce, those with a medical emergency, not that a relationship doesn't exist. There is some truth in that some people will be much better risks than their credit score indicate, but that is true of any way of categorizing people.

This practice has been under intense scrutiny for awhile now. If there wasn't a strong correlation between score and future risk it would have be banned as a factor already. So proven... as much as you can with statistics I guess. Supposedly its a better predictor than your driving record. As for it being a 'cause' of more claims- Correlation doesn't imply causation is all I can say on that and nobody seems to the stepping up to explain.

 

I wonder how much Project04tl pays a month for insurance.