Welcome to Consumer Reports Advocacy

For 85 years CR has worked for laws and policies that put consumers first. Learn more about CR’s work with policymakers, companies, and consumers to help build a fair and just marketplace at TrustCR.org

CU letter to California Department of Insurance Regarding Disparate Auto Insurance Pricing

SUMMARY: An April 2017 Consumer Reports-ProPublica analysis determined that some insurers in California charged higher premiums to drivers in predominantly minority zip codes than to drivers in white neighborhoods with comparable risk. A California Department of Insurance follow-up investigation revealed that Nationwide and USAA improperly calculated rates for some minority zip codes for the upcoming rate period; and those companies were required to re-submit their rate plans. While we appreciate CDI’s efforts, we renew our request that your office conduct a thorough review of past plan filings for disparate impact to determine if good drivers in predominantly minority communities were charged more than was justified by the risk.