In which we pass on a number of tips from the National Association of Insurance Commissioners can help consumers with problem credit shopping for the full coverage car insurance required for an auto loan

Our experience

Here at Auto Credit Express we've spent the last two decades helping consumers with poor credit find those new car dealers that can give them their best opportunities for auto loan approvals.

Like traditional loans these higher-risk auto loans typically come with the requirement for full coverage auto insurance. Because of this, we also try to educate applicants on choosing the right type of vehicle while shopping around for the best possible insurance rates.

But according to the National Association of Insurance Commission (NAIC), looking only at the bottom line price of insurance while ignoring the signs of possible fraud can cause car owners more than just headaches as "taking a shortcut when it comes to your insurance could prove catastrophic and costly."

Car insurance fraud

Many of these scams began when the economy took a turn for the worse with instances taking place in states ranging from New Jersey to California and in between (Florida). But according to the NAIC, doing a bit of research along with a little common sense can help avoid being taken for a ride (pun intended).

"What seems too good to be true often is," said NAIC CEO Dr. Therese (Terri) Vaughan. "Consumers need to be extremely careful not to take a shortcut with their insurance, which, in the long-term, can affect the safety and security of themselves and their loved ones."

Double trouble

Being taken in by a fraudulent insurance agent or company is also doubly bad – not only are you out the money you paid for the policy, the same transaction could unknowingly leave you without the required insurance coverage for your vehicle.

Fortunately there are ways that you can protect yourself. The first step is to check with your state insurance commissioner. "State insurance regulators are always on the lookout for these individuals and companies," continued Vaughan. "Consumers can always protect themselves through proper research and vigilance."

Before buying a policy

According to those in the know at the NAIC, consumers should take the following steps before purchasing a new policy:

1. Stop before signing any paperwork or writing a check.
2. Call your state insurance department, which is easily reached by phone.
3. Confirm that the company or agent offering insurance is legitimate and licensed in the state.

Agent fraud

Even if the company is legitimate, an agent can collect your money without delivering a policy to you. You will know if this is the case if you haven't received an identification card or a copy of your policy in a timely fashion. According to the NAIC, if this happens, here is what you should do:

• Contact your state insurance department to file a complaint against the insurance company.
• Visit and completing the form provided by the Online Fraud Reporting System (OFRS). Through the OFRS, consumers can take a proactive role in identifying and reporting insurance fraud.

As we see it

When buying an auto insurance policy, be sure to choose a legitimate insurance agent representing a reputable insurance company. For more information you can visit the web site of the National Association of Insurance Commissioners at

One more thing to keep in mind if you have bad credit: at Auto Credit Express we match credit-challenged applicants with those franchised new car dealers that can give them their best chances for approved auto loans.

So if you're ready to reestablish your car credit, you can begin now by filling out our online auto loans application.