Credit Searches.

[Bigbad]

My car insurance is due for renewal 1st March, and my Buildings & Contents at the end of March.

Around this time of year the searches start to appear on my credit files.
Admittedly I changed my car insurance company last year, after getting 3 different quotes, but haven’t changed the Buildings & Contents for years.
I always pay the premiums in full.

Why do I (and presumably everyone else) get searched

a) For just asking for a quotation.

b) When not spreading the payments over the year, and therefore not asking for credit.

c) Just because there is a policy is coming up for renewal, but haven’t asked for any new quotations.

I do realise that these searches don’t affect your credit rating but feel that this an invasion of privacy.
Are we supposed to give permission for a search to be made?

And no, I have never used one of those comparison sites.

Thanks.

[Buenchico]

Your insurance premium is based, in part, upon your 'insurance score' which, just like a credit score, is an indicator of risk.

Historical data shows that there's a clear correlation between credit ratings and insurance claims. (i.e. people with poor credit ratings tend to submit a greater number of insurance claims).

If you've got a good credit score it's actually in your interest for a search to be carried out, as you're then likely to be offered a significantly lower premium than your next door neighbour who is insuring his house for just the same amount as you but who has a lousy credit rating.

This link goes to a US website but the key information is just as valid here:
http://www.insurancescored.com/

[Bigbad]

Thank you for your answer, Buenchico.
I was unaware that a good credit score made my premiums lower, so I guess that is something to be grateful for!
However, I have been searched twice this week, (presumably in anticipation of my car insurance renewal) and I fail to see why a company has the entitlement to “check up” on me without my consent, when I haven’t yet asked for either a quote or chosen to stay with the same company.
All seems a bit “Big Brother” to me!