Friday, June 23, 2006
Your Credit Score decides your Insurance
According to some insurers there exists a connection between financial credibility and insurance losses. Your credit report might seem to be an important tool to figure out your financial credibility. Its assumed that if your report reflects a lower financial responsibility you are prone to file more claims and so it necessitates you to pay more towards insurance. Some of the consumers are of the opinion that the credit report is not a convincing tool to calculate the premiums or to decide whether a person should be insured or not. Thus they explain a negative effect of credit data on the minority groups.
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