The Colorado House on a 39-26 vote yesterday defeated a bill that would have banned insurers from using customer credit histories for insurance rating and underwriting.
Insurance trade groups said the measure was defeated because lawmakers accepted insurers' arguments that it was unfair to consumers and would have had a negative effect on the marketplace.
“The vote to defeat HB 1143 is proof that legislators in the state see that the proposed credit-based insurance scoring ban would have adversely impacted market competition in the state, forced rate subsidizations on a significant number of consumers, and made it more difficult for insurance carriers to offer consumers fair, risk-based rates,” commented Christian J. Rataj, National Association of Mutual Insurance Companies Western state affairs manager.
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