Poor Credit, But Want to Have Cheap Car Insurance? - Slimmer Payments

Poor Credit, But Want to Have Cheap Car Insurance?

Yes, it is true that having a low credit score affects your rates, but not all companies penalize with the same severity. Geico’s rates are 23% lower than the national average. To be fair, we should acknowledge that if you live in California, Hawaii, or Massachusetts, then your credit score isn’t used to determine rates— so be careful if this is your choice for insurance and you live in one of those states.


You can get cancelled by your insurance company at any time? During the 60-day binding period when your insurance company scrutinizes your record for discrepancies, making a mistake on your application could risk the entire application getting tossed in the trash! Luckily, there are some resources if you’ve been treated unfairly including legal recourse through the state department of insurance.  

Approximately 16% of Americans Have Bad Credit

Approximately 16% of Americans have very poor credit, or a FICO score of between 300 and 579, according to Experian’s 2019 Consumer Credit Review. Only an elite 1.2% have a perfect 850 credit score.

Average FICO Score Percentage by Range

FICO Score Range   2010 2018 2019
Very poor 300-579 21% 16% 16%
Fair 580-669 18% 18% 18%
Good 670-739 19% 21% 21%
Very good 740-799 24% 25% 25%
Exceptional 800-850 18% 20% 20%
Source: Experian