Finally — Washington’s Kreidler Reverses Credit Scoring Edict
As most of you know, Washington Insurance Commissioner Mike Kreidler unilaterally banned the use of credit scores as one of the ways insurers set insurance rates. He did it twice.
Both times the commissioner was challenged in court by the PIA Washington and other insurance associations. The challenges were successful.
The last suit resulted in a Thurston County Superior Court ruling on August 29th of this year. The court invalidated Kreidler’s R2021-07 rule and ordered the commissioner to withdraw the rule.
We learned from a news release last week that Kreidler finally got around to making the change.
“The Office of the Insurance Commissioner proposes an expedited rule on Removing Language Concerning Prohibiting Use of Credit History expedited rule (R 2022-08),” Kreidler wrote. “The rule will align current law with the Thurston County Superior Court’s ruling on August 29, 2022, which invalidated R2021-07-the rule that banned insurers’ use of consumer credit to determine personal insurance rates, premiums, or eligibility for coverage. This expedited rule will repeal WAC 284-24A-090 and amend WAC 284-24A-050, restoring the language to its state prior to the R 2021-07 rulemaking.”
Kreidler said the rule will be expedited and thus avoids the need to hold a public hearing.
Source link: Washington Department of Insurance — https://bit.ly/3EfOQBt |
