Thankfully the answer is no getting an auto insurance quote doesnt negatively impact your credit score.

Do you need a credit score for car insurance. If youre shopping around for car insurance its a good idea to get quotes from credit- and non-credit-based insurance plans. Thus the higher your credit score is the less likely you are to be in an accident and file a claim or so goes the theory. Studies show that using this score helps us better predict insurance losses.

With this there is some leeway around your credit score requirements when looking to obtain a car loan. In fact 92 of all insurers now consider credit when calculating auto insurance premiums. The age of your car its reliability and mileage will all affect your car insurance quote.

According to Experian data from late 2020 youll need a credit score of 781 to be eligible for the lowest interest rate on a car loan. A credit score between 630 and 650 is generally what lenders want to see. Dependent on your lender or bank sometimes they will be stricter and look for higher credit scores.

However when you order your credit score it may be different from the score produced for a lender. In provinces where insurers are permitted to use credit scores when calculating auto rates they do so because it may be an indicator of the level of risk a driver poses. Before applying for a car insurance policy its a good idea to look at your credit report.

Drivers with poor credit may pay as much as 42 more for car insurance than drivers with stronger credit. Your credit score doesnt need to be a perfect 850 to get approved for auto insurance. If you have a good credit score you may be able to negotiate lower interest rates.

Drivers with poor scores in the low 600s or 500s can expect to pay a higher amount for the same coverage. Lenders set their own guidelines on the minimum credit score you need for them to lend you money. The choice is ours as to whether we would like to use our credit score to get car insurance or not.