Topics for Consumers

Top 10 private passenger auto insurers,
by volume, and their use of credit
(as of September 2009)
Name of company Does it use credit? If so, how is it used?
State Farm Mutual Insurance Co.
(NAIC No. 25178 )
Yes State Farm uses an automobile insurance risk score based on auto claim history and certain consumer credit information to help determine, along with other factors, if new business is eligible for State Farm Mutual or State Farm Fire and Casualty Company. In addition, an automobile insurance risk score is one of many factors that determine the rate charged to a new business policy. State Farm only uses consumer credit information to initially rate a vehicle.
American Family Mutual Insurance Co.
(NAIC No. 19275)
Yes Credit scoring is used as part of the rating process to help determine the price customers pay for their insurance coverage.
Shelter Mutual Insurance Co.
(NAIC No. 23388)
Yes Shelter Insurance has seven price tiers within its Private Passenger Auto rate plan. A consumer's CPAttract score is one factor used to determine the tier to which the consumer will be assigned.
Farmers Insurance Co.
(NAIC No. 21628 )
Yes Farmers uses a proprietary model to create a risk assessment score to provide our customers a discount on their insurance premium. The amount of discount varies depending on the customer's risk assessment score.
Safeco Insurance Company Of Illinois
(NAIC No. 39012)
Yes Safeco Insurance Company of Illinois considers a number of insurance risk factors including a credit scores to determine the tier placement for customers.
Automobile Club Inter-Insurance Exchange
(NAIC No. 15512)
Yes The Automobile Club Inter-Insurance Exchange uses a consumer insurance score as one of the factors used to rate an insurance risk. This could result in a discount or a surcharge.
Progressive Preferred Insurance Company
(NAIC No. 37834)
Yes Progressive uses "underwriting tiers" made up of prior insurance information and an insurance score based upon credit report data. The tier determines the discount or surcharge applied to the coverage. Policies are automatically re-tiered every three years. Policies can be re-tiered once annually at the insured's request.
American Standard Insurance Company Of Wisconsin
(NAIC No. 19283)
Yes Credit scoring is used as part of the rating process to help determine the price customers pay for their insurance coverage.
Farm Bureau Town and Country
(NAIC No. 26859 )
Yes Farm Bureau Town & Country Insurance Company of Missouri currently uses insurance scores as a rating factor in the determination of premium and insurance scores are used in conjunction with other criteria as qualifications for certain preferred programs and discounts.
Geico General Ins. Co.
(NAIC No. 35882)
Yes Credit scoring is used as one of over twenty factors in underwriting to determine the GEICO company and tier placement.

Credit scoring FAQs