Sending Office: Honorable Mark Takano
Sent By:


Request for Cosponsor(s)

Supported by: Consumer Federation of America, Consumer Action, Southern Poverty Law Center, National Association of Consumer Advocates, Center for Economic Justice, National Consumers League

Dear Colleague:

Help protect minority drivers from being forced to overpay for car insurance and cosponsor the Fair Auto Insurance Ratemaking Reporting to Allow a Transparent Evaluation of Statistics (FAIR RATES) Act. This bill will require auto insurers release
the data needed to spot discrimination in ratemaking. 
It directs the Federal Insurance Office (FIO) to collect and disclose specific data from large automobile insurance providers and submit a comprehensive report to Congress on disparate impact in
automobile insurance.


have found that many drivers living in minority communities pay higher premiums for automobile insurance compared to drivers from less diverse neighborhoods of similar risk, when area data was available and analyzed. Insurance companies maintain
the reason for this is based on measured risk, but refuse to release the complete data needed to back up their long-held explanation.

Additional data gathering from insurance companies was
after the FIO published a
in January 2017 that found nearly 20 million Americans do not have access to affordable automobile insurance, many of them living in minority or underserved communities. The FIO said the report was the first in a series to address the issue, and
that it expected to obtain zip code level loss data from auto insurers during 2017. This granular loss data is the missing element that, if evaluated with premium costs and demographic data, can better tell if the hikes many minority drivers face are justifiably
caused by risk.

A new administration now sits in the White House, and the annual
the FIO recently released made no mention of data collection from auto insurers. Meanwhile, state regulators recently abandoned a

to establish a collection process from insurers to better evaluate the availability and affordability of auto insurance. The scrapped plan specifically included collection of zip code level loss data.

In order to protect consumers, understand the cost discrepancies we observe in minority communities, and better evaluate recent steps to thwart discrimination in auto insurance, Congress needs to mandate that auto insurers disclose sufficient data. The time
for this is past due, cosponsor the FAIR RATES Act today.

If you have any questions or want join as an original cosponsor, please contact Brien Courchene (Rep. Takano) at or 5-2305.



Mark Takano

Member of Congress

Related Legislative Issues
Selected legislative information: Civil Rights, Consumer Affairs, Economy, Finance
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