As anecdotal evidence regarding adverse underwriting decisions spreads among insureds by word of mouth, many are complaining to their departments of insurance and their elected representatives. In many states, legislators are debating the merits of allowing insurers to consider loss histories when determining pricing or coverage.

The 2004 edition of NAMIC's Survey of New State Insurance Laws identifies new insurance laws enacted throughout the year. In 2004, laws protecting the use of loss history reports generated by the Comprehensive Loss Underwriting Exchange were enacted in nine states: Arizona, Colorado, Georgia, Maine, North Carolina, Oklahoma, Utah, Virginia, and Wyoming.

• Arizona HB 2547 prohibits insurers from using as claims inquiries about whether a policy will cover a loss or about types or levels of coverage.
• Colorado HB 1292 restricts insurers from using certain negative factors in the rating or underwriting of homeowner coverage.
• Georgia HB 1263 defines a claim and establishes that reporting a loss or a question relating to coverage does not independently establish a claim.
• Maine SB 692 restricts the conditions under which insurers can refuse to underwrite or renew property insurance policies.
• North Carolina SB 486 prohibits insurance companies from terminating policies based on inquiries or claims closed without payment.
• Oklahoma HB 2324 prevents insurance companies from raising premium rates, canceling, or refusing to issue or renew on the basis of such inquiries.
• Utah HB 250 prohibits premium increases based on certain inquiries, while SB 52 prohibits personal line writers from using certain types of losses and inquiries as bases for rendering adverse underwriting or rating decisions.
• Virginia HB 818 bars insurers from refusing to renew homeowners', coverage solely due to claims incurred more than five years prior to the expiration of current policies.
• Wyoming HB 40 imposes related restrictions on cancellation, issuance, and refusal to renew decisions.