A Connecticut bill that would have banned insurers in from rating Nutmeg State drivers using credit scores has died in committee.
The bill has passed a procedure deadline set by the General Assembly’s Insurance and Real Estate Committee without any action – meaning it’s not going anywhere this session.
The bill would have made it illegal for companies to use credit scores to set insurance rates – in whole or in part – for Connecticut drivers.
The bill had drawn the ire of insurer group who say that credit rating is one of the best methods of predicting a risky driver.
“The bill would have interfered with the efficient functioning of the Connecticut insurance market and potentially increased rates for drivers with good credit histories,” said Paul Tetrault, Northeast state affairs manager for the National Association of Mutual Insurance Companies.
Credit ratings “help consumers by letting insurers extend coverage offers and provide lower prices to more applicants and policyholders than they would otherwise,” he said.
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