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26 searches - all from insurance companies!

natscat84
natscat84 Posts: 115 Forumite
I was shopping around for car insurance, getting loads of quotes etc and using the big comparison sites and everything else.

Looked at my Experian report and it's recorded 26 searches, all from insurance companies saying 'insurance quotation' on them.

1) Why do they do this?
2) Are these the sorts of searches that put dings in your credit file?

Comments

  • 1) Insurance companies run credit checks on applicants because risk assessors and actuarial studies have shown that a person's credit or financial history is a good predictor of insurance claims. Actuaries have found a strong correlation between credit history and insurance claims.

    2) Insurance inquiries are classed as a "soft" inquiry, which will NOT affect your credit score.
  • natscat84
    natscat84 Posts: 115 Forumite
    Cool - thanks. I was getting worried that it would have an effect, which is mad since most people shop around for quotes!
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