Low cost car insurance and credit scores: the debate continues

Oh, the hypocrisy of the exquisite. It is perfectly acceptable for the Bush Administration to save investment banks and the richest company in October 2008 when his negligent behavior caused widespread economic collapse, but when people fall in difficult times without own fault, should be punished again and again and again - even be denied insurance car under cost.
The argument made by the insurance undertakings, of course, is that the failure of a person to protect their credit is a direct reflection on its global character and sense of responsibility; someone with a low credit score most tend to enter into an accident or a complaint.
The debate continues
Practice of tying a consumer credit score for yourauto insurance coverage is allowed in 26 States.Legislators in those States, including Michigan economically-blasted, have tried to change this practice, but the power of the company money so far has been too much for her to overcome.
In the meantime, the National Association of Insurance Commissioners (NAIC) continues studying this unfair practice-. The Association urges insurance companies now to defend the connection between the credit scores and general car insurance rates for participating in a survey that would demonstrate how to weigh other factors such as age, sex, record engine, region and type of vehicle.
The response
Jim Donelson, who is the Commissioner of insurance Louisiana - a State where drivers pay higher rates of insurance nation - defended the practice, saying:
"" If we have banned the use, as discussed in Washington and Michigan allows us to do so, those with good credit scores will pay more and those with bad credit pay less ", he said."Insurance is on the risk of spread. Unlike age, we can not control the people driving records are determined by their personal activities and insurance score is determined by its own protection or the failure to protect your credit . "
Note the last words. under normal circumstances, where there was full employment and decent wages, Donelson could have had an argument; However, as the NAIC members noted, the current ' economic recession with more people working "due to outsourcing and budget cuts preserve the rescue and tax cuts to the wealthy and finance complex militar-industrial brings serious doubts about the accuracy of all."
On the other side
Honesty, auto insurance is extremely competitive, profit margins are not what was once (although most agents still a comfortable, if not lavish life). In addition, it is not always the case that people with poor credit scores are penalized with higher rates of insurance - in fact, you are denied access to budget car insurance offer people more lucky.
However, there is a strip of Calvinist in American culture, which suggests that the rich and powerful have favor "Divine" and is "unworthy" of those who are poor and must be punished somehow.
Given the behavior of these rich and powerful interests spent hundreds of millions - and even millions of dollars - to influence elections this year, however, perhaps more those who really have to work to eventually live question.
It is something to think about when you compile your vote this year.
In the meantime, your best opportunity to get a decent - even if your credit is not stellar - insurance rate is to obtain acar insurance quotefrom different sources as possible and do insurers to compete for your business.