Department Of Insurance Securities And Banking Public Hearing
The public hearing, convened by the Commissioner, was held to review recent requests for large premium increases for private passenger automobile insurance and analyze the impact on consumers. Key discussion points included the justification for rate increases citing increased accident frequency and severity, driven by factors such as distracted driving and rising medical/repair costs. The Commissioner noted that DC frequency and loss costs have increased substantially more than the national average since 2013. Testimony also covered the impact of rating factors such as the use of insurance credit scores and price optimization, practices criticized for potentially disproportionately impacting low/moderate income and minority consumers. The overall goal was to identify areas for change to improve affordability and availability, and to educate the public on premium setting and loss reduction actions.