Question

Jonathan needs insurance for his new vehicle. Why are insurers most likely to look at his credit history? (5 points)

Credit may be related to car loan requests.

Credit may be related to a degree of responsibility.

Credit may be related to good or bad health habits.

Credit may be related to a driver's license.

Answer 1

Insurers are most likely to look at his credit history because credit may be related to a degree of responsibility.

What does your credit score say about your driving habits?

Insurers look at credit scores as a measure of a driver's responsibility. The indication is that those with high credit scores manage their money well and are more likely to behave more responsibly behind the wheel.

What is credit history?

Credit history is a record of how you've managed the repayment of debts, such as credit cards and loans. Your credit history is recorded in your credit reports, which also contain additional information about your finances.

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