Why do insurance companies ask for personal info for quotes?

I'm thinking of getting a second car to work on, and I was looking around to see how much the insurance would cost. Every insurance company required a ton of personal information for just the quote. I'm not giving my birthday, address, SSN, etc just to get an estimate.

17 Answers

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  • car253
    Lv 7
    2 months ago

    In California insurance is not connected with credit scores.   So, a SSN is not needed.   That depends on what state you live in.   Insurance companies do need your personal information so they can give you an accurate quote and check for any tickets or accidents with your drivers license.   I have seen many people do online quotes themselves.   They rarely, very rarely come back accurate.  Then when the policy gets issued and the premium comes back 5 times higher because they put in inaccurate information or lied about their DMV record, then they are upset.   It is much better to use a live insurance agent for the quotes because they know what questions to ask and do it right the first time.   And, it does not cost more to use a live insurance agent and let them do all the work for you.   

    Yes, you need to give information if you want a correct quote.   But you get a better deal if you add the 2nd car to the same company you have for your other car because you would probly get a multi-car discount.   And, if you add renters or homeowners insurance you get a multi-line discount.   Most of the time you bundle everything with the same company, you get the most discounts. 

    Source(s): Insurance agent
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  • 2 months ago

    They are looking for extra ways to scam you, such as checking your credit score. What that has to do with how good of a driver you are is beyond me

  • 2 months ago

    They can't give you an accurate quotes without all that information. Insurance cost is based on personal factors as well as non-personal factors. Besides, when you decide on a company, they'll need all that information or you won't get insurance.

    • car253
      Lv 7
      2 months agoReport

      Great answer. 

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  • 2 months ago

    It's your prerogative to withhold that information.

    Just like it's the insurance company's prerogative to withhold a quote.

    There may be a law that requires you to hold insurance cover on a vehicle.

    There's no law which requires an insurance company to offer you insurance cover

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  • 2 months ago

    It is for underwriting purposes. They have to know who they will be insuring, or if they even want to insure you.

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  • ron h
    Lv 7
    2 months ago

    They use that info to get a report from DMV about your driving record and a credit report so that they can give you a quote (an offer to do business with you for a particular price), not a guess.  

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  • 2 months ago

    Yes you are.  You don't give that information, you don't get no estimate.  The debate is over.

    Auto insurance rates are based 90% on personal information.  Your age, where you live, previous accidents or convictions, how far you drive to work, and a hundred other factors go into the rating.  If you don't give that info, you can't get an accurate estimate.  

    Don't worry, they're not allowed to use your information for anything but policy rating.  There are plenty of privacy laws in place, everywhere in the free world, and the penalties for breaking them (even unintentionally) make it not worth the risk.  

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  • May
    Lv 6
    2 months ago

    "I'm not giving my birthday, address, SSN, etc just to get an estimate."

    It is NOT an estimate.  It is a quote.

    If you don't provide the information they ask for, Then you won't get a quote.  They need all of that information because it all is built into the insurance quote

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  • TedEx
    Lv 7
    2 months ago

    Then you won't g et an estimate. They own the bat and ball, you play the game their way.

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  • 2 months ago

    They need that information so they can work out the level of risk

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