Massachusetts Poll Shows Support for Banning Credit Scores in Insurance

Should your credit score matter to an auto insurer?

Should your credit score matter to an auto insurer? (image by caribccu.org)

You’ve got average credit, graduated from high school but dropped out of college after one year of study, and you work as manufacturing manager. Should any of these things matter when you look to buy car insurance?

No, says a new poll conducted by the Massachusetts Association of Insurance Agents (MAIA). The poll shows high support from residents of the state in passage of a ban on insurers using socioeconomic factors like credit scores, education levels and occupations when underwriting car insurance policies.

The poll showed that nearly 64 percent of likely voters would either definitely support or probably support a law that banned insurers from using things like credit scores in auto insurance policies. 29.1 of respondents indicated they wouldn’t support such a law, and that they would probably or definitely vote against it. Almost 83 percent of respondents said credit scores should have no role in determining auto insurance premiums.

Insurers are currently prohibited from using socioeconomic factors like credit scores, education levels and occupations when underwriting auto policies in Massachusetts based on insurance regulations currently in place that were established by the state’s previous insurance commissioner.

The current commissioner says he won’t change these regulations, but the MAIA would like to see these bans codified into law. They hope the Massachusetts legislature will do so, but if not, the MAIA intends on getting such a law on the 2012 ballot to be voted on by residents of the state.

What’s your take? Should insurance companies use considerations such as your occupation and credit score into consideration when they quote a policy?


About Cecil Helton

Cecil Helton Cecil Helton is a U.S.-based writer and editor with passions for cars, motorcycles, boats, technology and social media. Much of his professional life since 1996 has been web-centric, and he’s written and developed content on a variety of subjects. His work in the houseboat industry received wide acclaim, such as winning the 1999 Cisco Systems Growing with Technology award and being named one of five finalists in the manufacturing sector of the 2000 Computerworld-Smithsonian Awards. As an Air Force brat, he spent much of his childhood in a two-year cycle of moving to a new place, making new friends, establishing a life, and then moving again. Destinations included: Kentucky, Illinois, Texas, the Greek isle of Crete, California and Ohio. Today you’ll find Cecil coping with his 15 year old son’s decision to pursue a motorcycle license at the same time he gets his driver’s license, being active across the web on multiple social media sites, and of course, writing articles and creating content on automotive and car insurance related topics right here at CarInsurance.org.


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