Mo. Gov. Signs Credit-Scoring Bill

Monday, July 15th, 2002 Auto Legislation & Regulation Liability Property

Gov. Bob Holden late last week signed a bill regulating insurers' use of credit-based insurance scores in auto and property insurance. National Association of Independent Insurers (NAII) Counsel Ann Weber said representatives of insurance companies and agents worked extensively with legislators to draft language in House Substitute Bill 1502/1821 that is acceptable to all interests. The legislation, which will go into effect July 1, 2003, provides that insurers cannot take adverse action against an applicant or policyholder under the following circumstances: Using credit information as the sole factor in underwriting. Basing decisions on credit information contained in a credit report that the insurer knows is in dispute.

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http://www.insurancejournal.com/news/midwest/2002/07/16/20491.htm

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