This is a 2-part question so I will post it in both places of relevance:
State Farm is trying to drop all homeowners insurance in my state so after being with them for over 30 years I am now “shopping” for new insurance. My State Farm agent only sells State Farm so needing an agent as well I figured I would use the Internet. The problem is that when I ask for a quote & then get bombarded with SEVERAL “follow-up” e-mails that want more personal information than the original from specific companies or agencies and I understand that. However since these follow-up offers from the various specific insurers want personal data like DOB & SSN I assume the will be pulling a credit check.
I have not replied to any of these yet because I have these two questions:
1. If they are pulling my credit, is it a “soft pull” or a “hard pull” which would count as an inquiry for each offer I respond to?
2. How much does my FICA score effect my homeowners and auto insurance rates?
Answers
2082 points
alanj answered 7 months ago …
I don't know for sure, but if I had to make an educated guess I'd say they want to do a back ground check to see how many times you have made a claim in the past and for how much in order to determine what your rate should be. And whether or not you pay your bills on time. They want to know if your insurer dropped you. It probably has little to do with your FICA score. They are simply using your SSN as a means of identification. And DOB- let's be honest, young adults, particularly males are likely to be more destructive than a seasoned adult. Which would also factor into determining the rate. Those are just a few thoughts right off the top of my head.
Read more from alanj2769 points
Oldman answered 7 months ago …
I don't think you should give any on-line query your financial keys (SSI, is a no-no to give out, because you can have your identity "stolen"). If you know the site is really from the insurer you contacted, really verify that the site you are replying to hasn't been compromised.
In addition, there are many agents who sell various insurors' products...and they can shop for you...to find a reliable one go to the Florida Insurance Government oversight and Licensing web home page (and be sure to type the url in carefully, because without a . after the www...you'll be getting scammed....that's how bad it is).
Further, you can contact Poe and others who are now mailing offers to see if a - they offer policies in your zip; b - if they can offer coverage you want; c- how their rates compare to others'...and your State Farm Agency should be able to give you a set of addresses and phone numbers of these other Ins., legitimate agencies, because the S.F. agency agents need to deal with these other companies and local agents every day.
Remember, the Ins. Co. and agents in Fl. must be licensed in the state to do business...and you can check each of these "referrals" before you initiate any contact.
DO NOT SEND ANY KEY I.D. info to any website, unless it is secure and you are certain that it IS the site you want. It will be better to call and go to the offices of any potential agency, and ask to see their licenses, and record those #'s and names...and check them out, before you disclose really sensitive info.
It's not your credit score that's at risk here, but your financial identity.
380 points
SirCrashton answered 7 months ago …
I guarantee that the insurance companies want to see your credit score and it probably will have a bearing not only on the rates they charge but also whether or not they will insure you at all.
While shopping for a more competitive rate, in spite of a clean driving record and no prior claims, my application for auto insurance was declined by a major insurer because of a personal bankruptcy. The explanation is that a person who has trouble managing his finances is presumed to be irresponsible and therefore, a careless driver. Moreover, my own insurer with whom I had coverage for about 25 years, lowered my rates after the bankruptcy came off my credit report. This line of thinking may or may not apply with regard to underwriting a homeowner's policy.
I don't know if it's a "hard" or "soft" pull but I agree with Oldman that you shouldn't give out personal information on the Internet that could lead to identity theft. If it is essential for the application, I would phone the company/-ies directly. When you speak to an agent you could inquire about what bearing the credit report has on your policy.
