It happens to us all; we miss a couple of payments on a credit card or we fall behind on loan. The result can be a hit to your credit score. Having a bad credit score doesn't necessarily mean that you won't be able to get auto insurance, but it could mean a higher monthly premium.
In Iowa, having bad credit can have an impact on your auto insurance rates. However, the significance of that impact can be dependent on several factors. Things such as credit tier, location, and insurance provider can all determine how much you pay each month.
Insurify's comparison tool will help you make sure you're getting the best possible quote even with a bad credit rating. You can have peace of mind you're not paying any more than need to, and customers save $48 per month on average.
Drivers in Iowa who have bad credit do tend to pay more than their counterparts with good credit. In fact, the impact of a bad credit score can result in a 15 percent increase in monthly premiums.
One way that Iowa drivers with poor credit can lower their average monthly insurance rates from $169 is to shop around for quotes. While they most likely won't be as low as the $147 rate drivers with a good credit score might pay, it will still be more affordable.
Typically, it is difficult to get an auto insurance policy without a credit check in Iowa. Iowa insurance providers routinely use credit scores to help determine where to set car insurance rates. Generally, the higher the credit tier, the better average premium rates the driver has access to.
For drivers worried about the price increase that comes with bad credit, there are a couple of options. The main way to find affordable coverage is to shop around for quotes. Multiple insurance companies in Iowa offer competitive rates even if you have a poor credit rating.
One challenge that drivers with bad credit in Iowa face is finding affordable coverage. The good news is that there are multiple providers that work with those who have poor credit scores to offer cheap auto insurance. If you have had issues with your credit rating in the past, you should consider getting a quote from companies such as Travelers, Nationwide, and The General.
|Carrier||Avg. Monthly Cost|
|American Family Insurance||$131|
|Midvale Home & Auto||$147|
As to be expected, drivers who have in the excellent credit tier tend to have the lowest average monthly cost in Iowa. However, there isn't much difference in cost between having a good or average credit score. Motorists with a poor credit score do tend to pay more for coverage, but it is only $13 more a month than those in the average tier.
|Credit Tier||Avg. Monthly Cost|
Depending on which Iowa city you live in, your credit rating can play a factor in how much you pay in coverage. For instance, having a poor credit score in Des Moines means you will have an average monthly cost of $144. Conversely, having the same poor rating in Council Bluffs would cause you to pay an average of $198.
|City||Credit Tier||Avg. Monthly Cost|
Insurance prices and policies can vary significantly between companies, and a state like Iowa draws a wide variety of choices when factoring insurance rates for drivers with bad credit.
Insurify's rate comparison tool will help you make sure you're getting the best possible quote based on your needs and location. You can have peace of mind you're not paying any more than you need to, and customers save $585 per year on average.