Why the negative "reason code 70" from my credit report / car insurance

Insurance companies are scamming people with this all over. It's just their way to squeeze every dime out of you. My progressive policy had the same thing except mine was because I did not show a new car loan in the past 4 years.
Calling won't do any good, they don't even have a clue as to why they are doing it.

Virginia.
But I have no claims, no tickets, no violations and almost perfect credit.
My agent said I was only one discount away from getting their best rate. When I asked what I had to do to get the best rate? She didn't have a clue and neither did anyone she talked to at Progressive.
Talking to other customers on another board, they said that they have started getting these flimsy excuses for not getting discounts and in some cases using it as an excuse to raise rates.
Oddly enough, people who have filled claims or have points on the DL, don't get these little annoyances. But they pay higher rates already.

you do have a right to get that reason code explanation if it negatively impacts you right?

you sure its not a CLUE or other reporting agency code?

remember even if you have a 790 score (old fico standards) you will get 4 reason codes. if their top tier is 800 to get the best rates and you have 799 you'll get a reason code and not hit that tier.

my credit union was like that back in the old days, 719 score i had, 720 was like 1% less on an auto loan. i was like any way to override that? NO! - went home, thought about it, disputed a card with a large balance which was off by 1 cent - came back in 30 days and had them repull (735). they said why is this account in dispute? "the balance was not accurate." .."ok". approved highest tier. lol.

Credit scoring for insurance purposes is not the same as credit scoring by credit card or mortgage companies. And the algorithm is more mysterious. If it says insufficient history, then I bet that's the reason. Now, if you have 10 years of history and you feel that's enough, obviously you're wrong. You must need 15 or 20. I don't know.

And insurers have good reason to do this. There have been many studies that show that drivers with the worst credit are twice as costly to insurance companies than drivers with the best credit. That means your premium can be twice as high, or half as much, depending on how you look at it.

You do have the right to examine your credit report if your insurer fails to give you the lowest rate because of your credit. But you don't have the right to have the algorithm explained to you, and that is really what would help the most.

vaylon said: Here's something else to keep in mind. When you shop around for insurance? be careful about getting quotes. The reason is sometimes they will do a hard pull. When progressive sent me the letter, I called them up wanting an explanation. Somehow they did a hard pull. Now they had already done a hard pull the month before for the statement. A few days go by and I call my agent up and want an explanation from her. Sure enough, she does a soft pull again. Somehow in less than 2 months the company and its reps ended up pulling 3 hards and 2 softs. Later when I went to Allstate, they gave me a higher quote because I had too many inquiries on my account. You can't win with insurance companies.That's the first time I've ever heard of an insurance company doing a hard pull. According to this link credit pulls from Progressive are soft pulls.

Here in IL, auto insurance companies need to give 4 reasons for why you dont get the best rate. Even if some of those are not negative ones, the insurance company prints it anyway...just to abide by the law.