Some state lawmakers and regulators are seeking to ban using credit scores to set casualty insurance premiums, responding to racial bias concerns over the underwriting tool that insurers are reluctant to give up.
Insurance regulators in Washington and Oregon are pushing to eliminate credit-based insurance scoring in property-casualty products in the coming year, and legislation has been introduced in several states, including New York and New Jersey, and at the federal level. Insurers say that if regulators, consumer advocates and lawmakers get their way, insurers will lose one of their best and most equitable tools for determining premium rates.
Insurers ...