Posted On: September 13, 2006, 2:52 pm CDT

Posted By: Not a stockholder

Perhaps insurance companies are evil, but most of them are not great money mills for the stockholders. Take a look at their loss ratios (ratio of income from premiums to monies paid out for losses) and you will see that it is only their investments that keeps them afloat much of the time.

As with any company, their primary goal is to make money so that they can continue in business. If they don't make money, they close their doors. Why begrudge an insurance company (very large business much of the time) a profit while probably fully endorsing the small business that makes a profit.

If credit scoring allows an insurance company to better predict losses and then reasonably adjusts the premium then this is only fair.

As for only rich folks have good credit scores and the less fortunate don't, that is a bunch of hooey. Credit scoring is based on how well you manage your expenses. People with low incomes can have good credit scores, we see it all the time. Likewise, there are "rich" folks with poor scores. It has to do with responsiblly handling your expenses. That responsiblity indicates that you will probably be responsible in your other habits (including driving).