Why is VIN Important to Auto Insurance Companies?
Posted by: info | April 11, 2007
Many people email us each month wanting to know why we and other insurance companies ask for your vin (vehicle identification number) for an auto insurance quote. This is important to auto insurance companies to provide an estimate on your auto insurance rate.
Sooner or later an auto insurance company will need your vin to get the history of the vehicle you drive. This will give them valuable prior information on the vehicle like previous owners, accidents, thefts, hail damage or other claims filed on it. This will allow them to take a closer look before offering you full coverage on your vehicle. For example, they may send a claim specialist or have you bring in your car for photos to confirm the damage was fixed or repaired properly if a prior claimed was filed. They would keep this information or even turn down certain coverages if some or all the damages still existed.
The vin can also provide the insurance company with exact details and specifications on the cars make and model. This may help them determine if the vehicle is considered a high risk or not. This would also provide them with the information to determine if the car has been altered from the original factory settings.
This is an important tool for insurance companies to help prevent auto insurance fraud, find damages and save them money from not having previous damages fixed if they was to be reported again. This is not another way for auto insurance companies to squeeze more information about you. This is just to help cut their risk of insuring vehicles and continuing to provide services to the public.
Tags: vin, vehicle identification number, auto insurance fraud, vehicle, claim, damages, auto insurance quote, auto insurance rate, estimate, insurance company, previous owners, thefts, hail damage, car make and model, factory settings
Posted in: Insurance, General |
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