The majority of insurance companies writing new policies in South Louisiana today will use your credit score to determine your premium.

First thought for many is what does my credit score have to do with insurance on my house?

The thinking from the big brains behind the curtain at the home office for the insurance company is that a lower credit score could indicate a higher probability of making a claim.

A lower credit score may indicate more debt.

More debt may equal more incentive to use your home insurance policy to try to make some money.

Regardless if this is true, it is the position that most insurance companies have taken.

The Good News is not all insurance companies use your credit score to develop a home insurance rate

If an insurance company does not use credit scoring, they will determine your rate based of many other underwriting factors but not limited to

  • Roof Shape
  • Original year built
  • Claims history
  • Mature homeowner (over 55 years old)
  • Brick or Frame construction

So if you believe you are paying too much for home insurance because your neighbor is paying much less for the same type of house, you should take a look at two things


Do current home insurance companies use credit scoring?

If so, what is your credit score?

Answering these questions could help you understand why you pay more than your neighbor.


What you can do when you have a low credit score


Find a company that does not use your credit score to give you a home insurance quote.

At FM Agency Group, we have partnered with more than a few solid insurance companies that don’t use credit.

If you have a low credit score and you are insured with a company that uses credit scoring, you could be overpaying for insurance.


What is a good credit score for home insurance?


On a scale of 300 to 850, 700 or higher is usually considered good credit, but every credit tier is different for each insurance company.


The Game Plan to lower rates.

1. Find an insurance company that doesn’t use credit scoring for rates

2. Take steps to work on raising your credit score.

Once you raise your credit score, you could be eligible for lower home insurance rates because some of the more preferred insurance companies have adopted credit scoring.

Sometimes easier said than done because raising your credit score is no quick endeavor.

It takes time and effort on your part but while you are working on raising your credit score, at least you hopefully have obtained lower insurance rates.


At FM Agency Group we will work to find you a company that will best fit your needs.

Low credit score?  We have a solution for you.

Great credit but two water claims and you are being canceled?  We have a company that will write you a policy.

Risk changes from year to year and you need to find an insurance agency that can offer more than one option when life throws a curve ball.

We have partnered with insurance companies that prefer nice clean claim free risks with perfect credit and we have options for customers with not great credit

So when someone has a low credit score or too many claims, we provide solutions to insurance problems.

And just because you have poor credit does not indicate that you are going to pay much more than you neighbor.

In most cases you could pay less.

Some non-credit scoring companies are offering very competitive rates in our area but the real savings is in the discounts that the company could offer and you need to take advantage of the discounts available to you.

Here are some sample discounts with a company we represent that could cut your premium by 40%.

  • Mature homeowner (you are over 55 years old)
  • Monitored Burglar alarm (police show up)
  • Monitored Fire alarm (fire department show up)
  • Hip Roof (pyramid shape roof)
  • Companion discount (auto, rental, boat, motorcycle, umbrella)
  • Flood discount (your flood insurance is with the same insurance agency)


Too many times I talk with people and they have their home insurance with one agent, their flood insurance with another and their auto with someone else.

Three personal insurance policies in three different places.

At this time, you just don’t have to spread it around town anymore.

You can consolidate your insurance protection with one agency.

Find an insurance agency that can handle your auto, home, flood and umbrella and monitor your renewals to make sure you are still getting the most competitive premium.


If you are ready to see what we can do for you, just click on the quick contact button now so we can get started.