Finder is committed to editorial independence. While we receive compensation when you click links to partners, they do not influence our content.
Compare car insurance with good credit
Score higher savings with a few money-saving methods for drivers with good credit scores.
You’ll enjoy the benefit of wide insurance options at cheap rates due to your good credit. But you can still look for ways to save on top of that.
What’s the best car insurance for good credit?
Good credit means you’ll have many companies who’d be delighted to fill your insurance needs. Choices to consider include:
- Standard, credit-checked policy. While those with lower credit scores often opt for mileage-based insurance, you’ll likely benefit from standard insurance with discounts and optimum rates, especially if you have a few dings on your driving record.
- Best value for coverage. Be sure to find the best when it comes to your preferred provider, coverage and pricing. Consider shopping around for a full drive-by of options.
- Specialty insurance. Specialty insurers often provide great perks but exclude risky customers. You’ve got a good chance at qualifying because of your credit.
Discover coverage that’s broader than competitors, valuable discounts up to 30% off and perks like shrinking deductibles that reward no claims.
- Broad coverage, including for custom car parts or ridesharing
- Transparent pricing tools that help you buy within budget
- Accident forgiveness on small claims or for staying claim-free
- Stack a variety of discounts for multiple cars, autopay or homeownership
Cheapest car insurance for good credit
How do I save on car insurance with good credit?
Companies may already cut you a better deal on your premium than drivers with poor or no credit. But you can still find other money-saving methods too.
- Compare providers. Getting multiple quotes ensures you’re likely to get the best rate possible.
- Maintain a safe driving record. In addition to your credit, how you drive and what you drive are the two biggest factors that determine your premium.
- Stay claims-free. Consider paying for accident repairs without filing a damage claim if repair costs are less than the deductible. This could help you avoid premium surcharges.
- Look for multiple discounts. You may qualify for several discounts, like safe driver rewards and insurance bundling.
- Be smart about coverage. Keep coverage that offers needed protection, but consider dropping unnecessary coverage.
- Raise deductibles. Raise the amount you pay for repairs upfront if the savings are worth the financial responsibility.
How much am I saving with good credit?
Making good credit even better can save you money on insurance in the long run. With good credit, you’ll likely pay around $1,300 per year, which is the average insurance rate.
By comparison, drivers with fair credit often pay 17% more, or $1,521 per year. Those with poor credit pay as much as $1,846 per year, which is $500 more than those with higher scores. However, if you raise your credit score, you might just achieve a premium that’s below $1,300.
Why are insurance rates based on credit?
Although using credit to determine insurance rates can be controversial, studies show that it’s an accurate indicator of a driver’s risk. Those who hold higher credit scores tend to make fewer accident claims.
Not all states allow credit-based insurance checks, including California, Hawaii and Massachusetts. Companies also use other demographic info like your driving record and the type of vehicle as determining factors as well.
How do I know if insurers are looking up my credit?
You’ll know insurers are looking up your credit score when they ask for permission to do so during the quoting process. Companies will request personal information to check the score, such as your address or Social Security number.
Must read: Will a credit check from an insurer affect my credit score?
Most insurance companies use a soft pull to check your credit, which means it’ll have no negative effect on your score. You’ll still see the insurance check on your personal credit history for recordkeeping purposes.
Good credit opens up many options for insurance providers so that you can choose from the best. Plus, improving your credit score could help you score an even lower premium.
Common questions about car insurance with good credit
More guides on Finder
Compare tuition insurance
If your child gets sick or injured and has to take time away from college, tuition insurance can reimburse you for what you already paid.
Is now a good time to buy a car? 5 ways COVID-19 may have helped you
Navigate car deals and a wavering market if you’re buying a ride during the coronavirus.
Do I qualify for unemployment?
Get the financial help you need as you search for a new job.
Should you let Amazon deliver goods inside your garage?
While it’s incredibly convenient, you’ll need the right tech to be eligible for this service.
How much does health insurance cost?
Most working Americans pay around $1,489 in premiums each year. Compare costs now.
Denied life insurance
Learn the common health reasons that lead to denials and how to get life insurance anyway.
Mortgage life insurance vs. term life insurance
Mortgage life insurance may be a good fit for people with serious health conditions, otherwise term life insurance offers more value and flexibility.
How to get life insurance as a freelancer
As a freelancer you may have unpredictable cashflow, but you can still find income protection with term life insurance.
Survivor benefit plans vs. life insurance
Survivor benefit plans pay out a monthly benefit to your surviving spouse or dependents — you won’t be able to designate any other beneficiary.
CreditLend short-term loan connection service review
Find a line of credit — even if you don’t have a perfect score.
Ask an Expert