Preventing Credit Score Discrimination in Auto Insurance Act

I 116TH CONGRESS 1ST SESSION H. R. 1756 To amend the Fair Credit Reporting Act to prohibit the use of consumer reports and consumer information in making any determination involving auto insurance with respect to a consumer, and for other purposes. IN THE HOUSE OF REPRESENTATIVES MARCH 14, 2019 Ms. TLAIB (for herself, Mrs. DINGELL, Mr. COHEN, Mr. LAWSON of Florida, Ms. PLASKETT, Ms. CLARKE of New York, Mr. RICHMOND, Ms. WILSON of Florida, Mrs. LAWRENCE, Mr. BUTTERFIELD, Ms. JACKSON LEE, Ms. OCASIO-CORTEZ, Ms. NORTON, Ms. PRESSLEY, Ms. OMAR, Ms. HILL of California, Ms. LEE of California, Ms. ESCOBAR, Ms. JOHNSON of Texas, Mr. GREEN of Texas, Mr. KHANNA, Mr. GARCI´A of Illinois, Mr. MCGOV- ERN, Ms. JAYAPAL, and Ms. SHALALA) introduced the following bill; which was referred to the Committee on Financial Services A BILL To amend the Fair Credit Reporting Act to prohibit the use of consumer reports and consumer information in making any determination involving auto insurance with respect to a consumer, and for other purposes. Be it enacted by the Senate and House of Representa- 1 tives of the United States of America in Congress assembled, 2 SECTION 1. SHORT TITLE. 3 This Act may be cited as the ‘‘Preventing Credit 4 Score Discrimination in Auto Insurance Act’’. 5 VerDate Sep 11 2014 01:56 Mar 28, 2019 Jkt 089200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\H1756.IH H1756 pamtmann on DSKBFK8HB2PROD with BILLS 2 •HR 1756 IH SEC. 2. USE OF CONSUMER REPORTS AND CONSUMER IN- 1 FORMATION FOR AUTO INSURANCE PUR- 2 POSES PROHIBITED. 3 (a) IN GENERAL.—Section 604(a)(3)(C) of the Fair 4 Credit Reporting Act (15 U.S.C. 1681b(a)(3)(C)) is 5 amended by inserting ‘‘, except auto insurance (as defined 6 under subsection (h)(3))’’ before the semicolon. 7 (b) RULE OF CONSTRUCTION.—Section 604 of the 8 Fair Credit Reporting Act (15 U.S.C. 1681b) is amended 9 by adding at the end the following new subsection: 10 ‘‘(h) AUTO INSURANCE NOT AN AUTHORIZED BUSI- 11 NESS PURPOSE.— 12 ‘‘(1) IN GENERAL.—No consumer reporting 13 agency may furnish a consumer report or consumer 14 information with respect to any consumer to any 15 person for use in making any decision to underwrite 16 or rate auto insurance, and no person shall use or 17 obtain a consumer report or consumer information 18 with respect to any consumer in connection with the 19 underwriting or rating of any consumer in connec- 20 tion with a transaction involving auto insurance. 21 ‘‘(2) INSURANCE INFORMATION NOT IN- 22 CLUDED.—Information derived from the following 23 databases shall not be treated as a consumer report 24 or consumer information for purposes of paragraph 25 (1): 26 VerDate Sep 11 2014 01:56 Mar 28, 2019 Jkt 089200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H1756.IH H1756 pamtmann on DSKBFK8HB2PROD with BILLS 3 •HR 1756 IH ‘‘(A) Databases that contain information 1 on property loss data regarding auto insurance, 2 such as the Comprehensive Loss Underwriting 3 Exchange (CLUE) and Automobile Property 4 Loss Underwriting System (A–PLUS). 5 ‘‘(B) Databases that contain information 6 on driver history, such as accidents or moving 7 violations, typically maintained at State depart- 8 ments of motor vehicles. 9 ‘‘(3) DEFINITIONS.—For purposes of this sub- 10 section: 11 ‘‘(A) CONSUMER INFORMATION.—The 12 term ‘consumer information’ means any infor- 13 mation from the file of any consumer at a con- 14 sumer reporting agency, or any product derived 15 from any such information such as consumer 16 credit reports or credit scores or any other risk 17 score or predictor on any consumer. 18 ‘‘(B) AUTO INSURANCE.—The term ‘auto 19 insurance’ means any personal automobile line 20 of insurance, as defined in the Uniform Prop- 21 erty and Casualty Product Coding Matrix es- 22 tablished and maintained by the National Asso- 23 VerDate Sep 11 2014 01:56 Mar 28, 2019 Jkt 089200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\H1756.IH H1756 pamtmann on DSKBFK8HB2PROD with BILLS 4 •HR 1756 IH ciation of Insurance Commissioners or any suc- 1 cessor document.’’. 2 Æ VerDate Sep 11 2014 01:56 Mar 28, 2019 Jkt 089200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6301 E:\BILLS\H1756.IH H1756 pamtmann on DSKBFK8HB2PROD with BILLS