How Credit Impacts Your Life Insurance Policy

Credit score can affect a great deal of things – it can affect your ability to get a good loan, buy a car or house, or even get a good credit card. Knowing this, can your credit score affect your ability to get insured? 

Life insurance is unique in that your ability to be insured is not affected by your credit score in the same way you’d be affected with homeowner’s, renters, and car insurance. This is because with the latter forms of insurance, your rates are pretty much directly affected by your credit score. In regards to life insurance, however, the connection between your credit score and your rate is a bit more difficult to determine. 

When a company screens you as part of your life insurance application, there are several things, including credit score, that they will look at before they approve you, which can include medical reports, prescription history, driving record, criminal records, and Medical Information Bureau (MIB) status. As a result, the rate you get may be influenced somewhat by your credit score, but your rate will also be influenced by a variety of other factors. 

There are some additional things to consider as well – bankruptcy on your credit report can be a red flag for some companies and they will offer you a modified rate if you have a record of bankruptcy. Some companies will outright deny if you have had a bankruptcy discharged before twelve to twenty-four months have passed. 

While credit scores can be a complicated thing to navigate in regards to getting insured, the process of getting a policy doesn’t have to be, and that’s exactly what we do at Pacific Insurance Group. If you are looking to get insured today, give us a call at (425)-246-4222 or visit our website for a quote at We can’t wait to help you get the best rate possible.