Reader question:

How do car insurance companies determine my GA auto insurance rate?

Paul

Thank you for your question, Paul.

There are so many factors that go into a single GA auto insurance quote, that I can’t even begin to address them all in a single post. A few decades ago, the factors could be counted on the fingers of one hand, but each year the process grows more complex. What I can do, though, is tell you about one thing that GA auto insurance companies look at to determine your insurance rates.

• Your CLUE report.

The majority of policy holders don’t have anything on their CLUE report, and this is mostly because the information only remains there for ten years. Unlike credit, which most of society uses constantly, the average GA auto insurance claim is filed only every half a decade or so.

The CLUE report is not connected to you yourself, but, much like your GA auto insurance policy, is connected to your vehicle. The CLUE report will have information on any past claims and repairs, and when you get a new car you can purchase a copy of your CLUE report from ChoicePoint. Since it does affect your GA auto insurance premium, it is probably a good idea to buy a CLUE report before you finalize the purchase of your car.

Like a credit report, sometimes CLUE reports contain mistakes. If you see one, you should contact ChoicePoint to have the offending note removed. This takes less than a month in the majority of cases. Unlike a credit report, though, if you have some information that would make your CLUE report look better, such as the installment of an anti theft device, then you can have that added to the report, making your GA auto insurance rates go down.

• Your CLUE report and your GA auto insurance company.

Once you are already with a company, they will almost never check your CLUE report again. Normally, these reports are looked at when you are getting a policy with a new GA auto insurance company.

The CLUE report will not be used the same across the board by every GA auto insurance company, but the number of claims you have on it will certainly determine whether your rate goes up or down.

Cheers,

Fashun Guadarrama.