A brief filed by the U.S. Department of Justice in a recent Supreme Court case over the use of credit scores by insurers shows a significant lack of knowledge as to how the industry works, according to an official at an insurance industry group.
That lack of knowledge, according to National Association of Mutual Insurance Companies vice president for public policy Robert Detlefsen, should be viewed as a warning sign for those advocating a greater federal role in insurance regulation.
His report titled “Safeco v. Burr: How Does Ruling Reflect on Federal Role in Insurance?” examines how the federal government understands and views the insurance industry as demonstrated in a brief filed in a 2007 Supreme Court case that decided how certain elements of the Fair Credit Reporting Act apply to insurers.
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