Delaware Business Insurance Update , Credit Scores and your Business Insurance, 8-19-13

Credit scores are part of our daily lives. We can't get credit or loans if your credit score is bad. Now it seems that getting business insurance is also dependent on credit scores. More and more insurance companies that write business insurance are using credit scores to determine whether to write a policy or not. When you apply for a business liability policy, the insurance carriers are putting your information into an algorithm that determines your rates and even if they will offer a policy. Credit scores are one of important components of these algorithms. So do bad credit scores mean your business is a bad risk. Well it there are some very strong data that supports this. Business owners that have higher credit scores usually have more claims. The insurance industry are stating that credit scores for business owners is here to stay and rates and coverages will be dependent upon the score.  All business owners need to monitor their credit scores as the cost of business insurance or the ability to get insurance at all is dependent on it. Until next time be careful out there and know your risks.
G. Kevin Nemith President of CNC Insurance Associates Inc.
Proudly serving DE,PA,MD,NJ, & VA.
www.cncinsurance.com
www.bizinsurancetv.org


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