Department of Justice proposes reform to stop insurers from using credit scores for screening

The government of New Brunswick has proposed a number of regulations that may stop car insurance companies from being able to include data relating to an individual’s credit score in order to determine whether or not they will insure them, and what their premiums will be every month. There were a number of draft regulations posted by the Department of Justice on its website for public consultation that would change the guidelines for underwriting by insurers. The consumer advocate for insurance of New Brunswick, Ronald Godin, began his push for…

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Bad credit can make for a higher car insurance rate

As if things weren’t bad enough for people who have been affected by the mass foreclosures, job loss, and overall slumping economy; here is that proverbial “last straw,” that could be the back breaker. Everyone knows that a low credit score can determine the rate you pay on a loan; it can also determine your insurance rate. A recent survey shows that 92 out of 100 insurers use your credit score, along with other factors, to decide whether to write you a policy, and if so, what your premium should…

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