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Insurance Regulators Pledge To Address Racism And Discrimination Within The Industry

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The National Association of Insurance Commissioners (NAIC) has announced the formation of a special committee focused on Race and Insurance

“To Address Societal Systemic Bias and Inherent Racism in Insurance By Explicit Recognition of Disparate Impact as Unfair Discrimination in Insurance,” the Center For Economic Justice called on the NAIC to explicitly recognize the impact of discrimination against protected classes.

The CEJ called for the development of data collection and analysis by insurance regulators so that both regulators and the public can monitor outcomes for all consumers, to identify discriminatory outcomes and to trace any problems to the causes. Furthermore, the CEJ says that the states and NAIC should collect data on whether changes actually reduce discrimination in insurance.

If regulators fail to take action, state lawmakers should prohibit the use of factors that make auto insurance more expensive for Black drivers.

 

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