Did you know that when you apply for car or property insurance, the insurance companies may check your FICO score? Whether you get the coverage and the amount of your premiums are determined at least partly by your credit. Insurers claim (pun intended) that there is a correlation between lower credit scores and the likelihood of future insurance claims. I know, it seems crazy to assume that if you have a low FICO score, you're more likely to get rear-ended by the jerk driving behind you.
When credit providers turn down your application for credit, they are required by law to send you an "adverse action notice" that says that you were denied because of your credit. However, the Supreme Court just ruled that auto and property insurers do not need to notify you that your low FICO score was to blame for the rise in your insurance premium or your failure to get coverage.
For more details, see the story in Bankrate.com:
