SB 938 Summary

• Prohibits motor vehicle insurers from using rates or underwriting rules based on an insured's educational level, occupation, trade, profession, or lawful employment that does not directly involve vehicles covered by the policy.

• Bans insurers from using credit reports or credit scores in motor vehicle insurance rating determinations, repealing all prior regulations that limited and governed such use.

• Expands the definition of unfair refusal to insure to include refusal based on educational level, occupation, profession, lawful employment, or credit information.

• Removes definitions of "adverse decision" and "tier" from insurance statutes and eliminates the Financial Services Commission's authority to adopt rules regarding credit score use by insurers.

• Takes effect July 1, 2011.