News Personnel REPORT
New York State Sen. Tim Kennedy is calling for an investigation into New York State auto insurance coverage rating and pricing practices.
Kennedy sent a letter to Benjamin Lawsky, superintendent of the New York State Department of Fiscal Services, expressing concern that “New York’s insurance companies are unfairly, and probably illegally, overcharging their customers” and asking the department for a total investigation.
The request follows a report published last week by the New York Public Curiosity Analysis Group, which showed drivers in the state are charged up to 41 percent a lot more for automobile insurance premiums primarily based on their occupation and education degree.
The report recommended insurance companies use these underwriting elements as a way to judge drivers by their incomes, which is not permitted by law. The auto insurance agency mentioned the practices are legal and normal.
“What is even far more surprising about the statistics in the report is that drivers with worse driving information but larger training or revenue would even now get a reduced quote than their reduced-earnings or less-educated counterparts with much better driving records. In truth, this proved accurate even when the increased-income applicant had acquired 2 speeding tickets or triggered a car accident in the current previous even though their counterpart had a flawless driving record,” Kennedy’s letter reads.