LEGISLATION AND REGULATION
- Each state has its own insurance laws and government regulators. Each sets a minimum level of coverage residents must carry, determines if and when insurance companies can raise rates and
proposes new laws regarding fraud and more. - Insurance departments in some states have prohibited certain factors from being used to price insurance — notably gender, credit score and level of education — arguing that they are discriminatory and irrelevant to driving risk. California, Hawaii, Massachusetts and Michigan are currently the states that ban these factors most broadly. As of March 2022, Washington also prohibits considering credit score as a factor.
- As of early 2022, Congress is considering a bill that would ban personal rating factors like gender, credit, ZIP code and income nationwide.