Oregonians with poor credit pay more than twice as much for their homeowner’s insurance as Oregonians with excellent credit, according to a new report.
The insurance data firm, InsuranceQuotes.com, looked at the homeowner rates that people with good credit and bad credit pay in different states.
At 156 percent, Oregon’s difference was the 11th biggest in the nation. The average difference was 91 percent.
West Virginia had the highest difference at 208 percent.
Report researcher, Laura Adams, said that having good credit can save a homeowner several hundred dollars a year. “Consumers with poor credit tend to file more claims,” she explained, “and that’s why they’re penalizing consumers with poor credit by charging higher rates and rewarding consumers with excellent credit by charging them less.”
California, Massachusetts and Maryland prohibit insurers from using credit scores to calculate insurance.
In Florida, where hurricane risk makes homeowner’s insurance almost twice as expensive as the rest of the nation, credit scores have little effect.