Determining Car Insurance Premium Price

Some of the rating factors that influence your car insurance premium include:

   Age or driving experience
   How your vehicle is used
   Driving and claims history
   Claims history
   Make and model of your vehicle(s)
   Geographic location
   Credit history

Nationwide uses a credit-based insurance score when determining premiums. Studies show that using this credit-based score allows Nationwide to better predict insurance losses. In fact, 92 percent of insurers also consider credit when determining premiums.

Nationwide uses many factors to determine your score. Some of the more common factors are:

   Payment history (delinquencies or late payments)

   Length of time of credit history (when was your credit
   history established?)

   Type(s) of credit (credit cards, finance company
   installments, etc.)

When determining your score, gender, marital status, age, ethnicity, address and income are not considered.

The way that you manage your credit is very important − it helps determine things like home mortgage interest rates and auto insurance rates. A credit-based insurance score allows insurers to quote the fairest, most appropriate rate for every customer. Our experience shows that about half of our existing customers receive a rate decrease based on credit score.

A financial institution uses credit to assess credit-worthiness. Insurers do not look at credit the same way. Insurers only consider items relevant to potential loss.

Nationwide has many safeguards to ensure the confidential and responsible handling of your personal information.

    We restrict access to your personal information within
    our organization

    We only give access to those employees who need to
    know that information to provide products or service to
    you, or to conduct Nationwide business

    Employees who have access to customer information
    may use it only for legitimate business purposes

    A Nationwide associate will never view your actual credit
    report

Visit the Federal Trade Commission (FTC) website for more consumer credit information and resources that explain how you can improve your credit score.