Some question why something that has nothing to do with a person's driving has such a major impact on their insurance.
Using credit scores to determine car insurance rates was already controversial without even considering how it’s potentially systemically problematic. When viewed through the lens of how it potentially affects non-white people though, it’s even more of an issue.
Some states have already cracked down on the problem, including
has spoken about how Black families pay more for car insurance than white families.
Federal representatives have also introduced bills to prohibit using credit scores in insurance pricing. However, none of these bills have made it past the House.
While the movement may seem slow, states have shown that progress on the issue can be made. Individual insurance companies have also made strides to focus pricing on safe driving rather than factors like credit.
Insurance companies and government officials have recognized that this problem exists, and that’s the first step to solving it.
Serena has a BA in Honors English Literature from California State University, Northridge. She has worked as an editor and writer for several years and has had various forms of content published in magazines, websites, anthologies, and more. Serena calls herself a modern "Renaissance woman" since she has a hunger for learning and strives to succeed in many fields. During her free time Serena enjoys acting, singing off-key to songs in the car, and working on her novel.