For Consumers

Facts about the credit scoring ban rule

The following are common questions insurance consumers are asking our office and their insurers about the credit scoring ban rule: 

I understand a rule to ban insurers from using credit scoring was overturned by a judge?

The rule is no longer in effect. On Aug. 29, 2022, the court issued a final order overturning the ban on credit scoring and the commissioner has chosen not to appeal the decision. Your insurance company is allowed to use your credit to determine your insurance premium.

Why is my premium going up? My company told me it’s because of credit scoring.

It's up to an insurer to determine if they want to use insurance credit scoring in consideration of how much to charge for insurance. You have the right to ask your insurer to explain why they increased your premiums.  If the insurer doesn't provide you with adequate information about your premium increase, you can file a complaint with our office. Not all insurers use insurance credit scoring, so it's a good idea to shop around to make sure you're getting the most competitive rates available to you.