"Preventing insurers from using factors that are predictive of risk of loss would result in less accurate pricing with higher risk drivers paying less and lower risk drivers paying more for insurance," Nat Wienecke, SVP of federal government relations at the APCIA, said in a statement. (Photo: Shutterstock)
In recent years, much controversy has surrounded the practice of using non-driving factors in determining car insurance rates. This week, the issue was front and center at a hearing of the House Financial Service's Subcommittee on Housing, Community Development and Insurance.
At the hearing, H.R. 1756, the Preventing Credit Score Discrimination in Auto Insurance Act, was a central topic of conversation. The bill aims to prohibit auto insurers from using credit reports, credit scores, and other consumer information when calculating insurance premiums.
Want to continue reading?
Become a Free PropertyCasualty360 Digital Reader
Your access to unlimited PropertyCasualty360 content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Breaking insurance news and analysis, on-site and via our newsletters and custom alerts
- Weekly Insurance Speak podcast featuring exclusive interviews with industry leaders
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical converage of the employee benefits and financial advisory markets on our other ALM sites, BenefitsPRO and ThinkAdvisor
Already have an account? Sign In Now
Heather A. Turner
Heather A. Turner is the managing editor of ALM's NU Property & Casualty Group. She can be reached at [email protected].
