Connecticut Issues Bulletin Banning Price Optimization
Posted on Dec 4, 2015 in Insurance Developments and Trends, Insurance Regulation | Comments Off on Connecticut Issues Bulletin Banning Price Optimization
In a recent bulletin, Connecticut became the 16th jurisdiction to ban price optimization in insurance pricing. Connecticut Insurance Commissioner Katherine L. Wade stated that the Department “views price optimization as a discriminatory practice and therefore a violation of state insurance law.” Wade specifically cited factors such as a customer’s “propensity to shop for insurance or...
Auto Body Shop Choice Bill Enacted in Wisconsin
Posted on Nov 20, 2015 in Insurance Regulation | Comments Off on Auto Body Shop Choice Bill Enacted in Wisconsin
Wisconsin has enacted a law establishing that “a consumer has the right to select the motor vehicle repair facility of his or her choice.” The new law prohibits auto insurers from requiring that a particular auto shop make repairs to a vehicle or from delaying the investigation of a claim simply because repairs were made by a particular shop. For existing policies, the provisions of...
Hearing on Vehicle Cybersecurity Standards
Posted on Nov 20, 2015 in Insurance Regulation | Comments Off on Hearing on Vehicle Cybersecurity Standards
The House subcommittees on Information Technology and Transportation and Public Assets have recently addressed vehicle security. In a November 18 hearing, members of Congress questioned a regulator from the National Highway Traffic Safety Administration about progress on developing cybersecurity standards for connected vehicles, and noted that NHTSA had not created such standards...
Minnesota the Latest State to Join the Price Optimization Bandwagon
Posted on Nov 16, 2015 in Insurance Regulation | Comments Off on Minnesota the Latest State to Join the Price Optimization Bandwagon
The Minnesota Department of Commerce has issued Administrative Bulletin 2015-3, barring the use of price optimization in ratemaking by property and casualty insurers. The Bulletin states that “[p]rice optimization is not an actuarial estimate based on expected losses, expenses, and the degree of risk,” and it therefore concludes that the use of price optimization is unfairly...
Areas for Compromise on House and Senate Transportation Bills
Posted on Nov 9, 2015 in Insurance Regulation | Comments Off on Areas for Compromise on House and Senate Transportation Bills
The House of Representatives and the Senate have passed transportation bills and now must negotiate a compromise bill that can be signed by the President. Some of these differences affect manufacturers. For example, the House bill provides some protection from liability for failure to follow National Highway Traffic Safety Administration guidelines; requires steps to ensure access to...
Car Cybersecurity Study Bill Introduced in Congress
Posted on Nov 5, 2015 in Insurance Regulation | Comments Off on Car Cybersecurity Study Bill Introduced in Congress
Two congressmen introduced the “Spy Car Study Act” in the House of Representatives in reaction to news of potential hacking of vehicle software. This proposed legislation calls for the National Highway Traffic Safety Administration, the Federal Trade Commission, and other groups to conduct a study of best practices in the areas of cybersecurity and privacy as it relates to cars. The...
