The business of insurance is once again being attacked in the Oregon Legislature. The Oregon Legislature is looking at two individual bad faith bills being pushed by trial lawyers.
Also on tap is a bill sponsored by the Division of Financial Regulation and the Oregon Department of Consumer and Business Services. House Bill 2920 will do away with credit scoring.
PIA Oregon lobbyist, Lana Butterfield and key members of her political committee have stepped up and are asking for help from members — and non-members — to defeat the bills. If passed, she says these bills will make insurance more expensive for Oregon families and small businesses.
And — this — at a time when they can least afford paying much higher rates.
The two bad faith bills are House Bills 3242 and 3243. They will:
- Increase the cost of resolving claims, which can impact the cost of insurance for homeowners, drivers, renters, business owners, and medical professionals.
- Increase lawsuits by creating a new right to file not just one, but in some cases two lawsuits on a single claim for damages.
Take Action by posting your thoughts on Fighting Against Increase Insurance Rates Coalition (donthikeourrates.org) — https://www.donthikeourrates.org/take-action. The site has an easy-to-use website tool.
When you’re done, we hope you’ll take a minute to share this story with your office staff and ask them to write to their legislators too.
As an FYI, here is information on the two bad faith bills:
Provides insured with cause of action for insurer’s unfair claim settlement practices. Creates duty of reasonable due care for insurance producer toward insured.
Includes insurance in definition of real estate, goods and services that are subject to penalties for unlawful trade practices. Permits person to obtain, and court to award, appropriate equitable relief in addition to monetary damages under Unlawful Trade Practices Act. Requires Director of Department of Consumer and Business Services to request action before prosecuting attorney may take action under Unlawful Trade Practices Act against act or practice related to insurance.
As for credit scoring, Oregon’s House is considering HB 2920. It is a credit scoring bill that will limit how insurers use credit as a tool to set insurance rates. Butterfield is asking PIA members to contact the legislators on the committee to let them know how you feel about this potential change.
MEMBERS OF HOUSE BUSINESS AND LABOR COMMITTEE