Your credit record is usually considered by insurers to decide on your premium charge. Don’t forget that as you are looking for a new insurance. This is how exactly that is done:

Insurers believe in the strong interdependence between the expected auto insurance claims and the customer’s credit record. Also such personal info as your age, occupation, education, gender, driving experience and record, etc are considered. Therefore if you are not so proud of your credit history, try and find insurers that will look at some other aspect of your profile. Thus you may still receive some considerable discounts and have cheap auto insurance premium with them.

Do they have the right to investigate into my credit record? Yes, they have. There is a Federal act allowing for this. So if u feel like they have looked into your credit history and got it wrong, make sure they get it right.

“Insurance credit score” is what they would probably look into; otherwise they look directly into your credit reports. Statistical methods are used to form you credit score.
The insurers use it to predict the anticipated loss: whether it going to be higher or lower than regular.

These are just some factors, used by auto insurance agents to evaluate your credit reports: credit history length, credit payments history, credit inquiries, open credit lines score, type of your used credit, and unused credit. Your score would be different with different companies but, don’t let this confuse you. The trick is that they are usually using different methods for counting your score.

In case of any error on your credit report, do not wait until someone else investigates the error for you, inform your auto insurance agent immediately upon discovery of the error as it may make difference in your insurance plan. Whenever you feel like there might be false information on it – report it to your insurer and the credit bureau. It is their responsibility to investigate the error in 30 days’ time. If it a blunder rather than an error, try and convince your insurer that you are negotiating this blunder with credit bureau, and ask if they agree to wait until this blunder is corrected. It would not hurt you to check the information back in again in few month to see if all is correct.

Once you have your credit score corrected or are actively working on your improvement let your insurer know about it, so they re-evaluate you.