November 29, 2004
Outraged by 'credit scoring'
The use of "credit scoring" in insurance has been a lightning rod issue over the past several years, as insurers have sought a new way to trim their losses. The companies have increasingly used the information to help their underwriting, while consumers and their advocates denounce the practice as needlessly intrusive and discriminatory.
But while insurance companies praise scoring and insist they'll continue using it, regulators and independent agents say the practice hasn't been as effective as the companies had expected.
Posted by Tom Troceen