(July 14, 2011) SANTA MONICA, Calif. — Ignoring outstanding bills could raise your car insurance premiums, while paying them off may help you secure a lower rate, reports Edmunds.com.
In its report on the personal factors that affect car insurance rates, Edmunds found that some companies consider a driver's credit score as a factor in setting premiums. Studies show that the way a person manages his or her financial affairs is an accurate predictor of the number and size of insurance claims he or she might file, according to the Insurance Information Institute.