Do you need good credit to get car insurance?
I have okay credit, but a short credit history. Can I still get car insurance?
Answer provided by
Answered on Jun 14, 2021
Emily Maracle is a car insurance specialist living in New York. Originally from the Pacific Northwest, she has a degree in English Literature and a background in customer service. She enjoys cooking, gardening, and living sustainably. In the future, she can't wait to upgrade to a hybrid or electric car.
“Credit history is one factor that car insurance carriers look at when determining a rate. By looking at your credit history, they can determine whether you are a financial risk.
While it’s not necessary to have good credit, or any credit at all, it does help.
Someone with a good credit score is more favorable to insurance companies. They want to insure someone who will pay their bills on time and is financially responsible. If you aren’t able to demonstrate that, they may charge you a higher rate.
Once you’ve been insured for a longer period of time or raise your credit score, you may be able to find a better rate. There are also companies that insure higher risk individuals.
You can look into those companies to see if you’d be able to get more affordable car insurance. “
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