Referred to the Committee on Financial Services, and in addition to the Committee on Energy and Commerce, for a period to be subsequently determined by the Speaker, in each case f…
The Prohibit Auto Insurance Discrimination Act (PAID Act) bars private passenger auto insurers and their affiliates from using specified factors — including gender, education, occupation, employment and homeownership status, ZIP Code, census tract, marital status, credit scores, consumer reports, previous insurer, and prior purchase from the insurer — to determine eligibility or rates. It requires insurers to submit information to the Federal Trade Commission (FTC) every two years to show models and practices do not disparately impact protected groups, makes underwriting rules and rate filings publicly available, and establishes FTC enforcement plus private and state enforcement remedies.
Libs emphasize equity, transparency, and preventing ZIP Code redlining
Relative to its intended legislative type, this bill is a clearly structured substantive statute that defines prohibited insurer practices, provides enforcement mechanisms (FTC, private suits, State actions), and requires insurer reporting and public disclosure.
The Prohibit Auto Insurance Discrimination Act (PAID Act) bars private passenger auto insurers and their affiliates from using specified factors — including gender, education, occupation, employment and homeownership status, ZIP Code, census tract, marital status, credit scores, consumer reports, previous insurer, and prior purchase from the insurer — to determine eligibility or rates.
It requires insurers to submit information to the Federal Trade Commission (FTC) every two years to show models and practices do not disparately impact protected groups, makes underwriting rules and rate filings publicly available, and establishes FTC enforcement plus private and state enforcement remedies.
The bill takes effect one year after enactment and includes a "reasonable procedures" compliance defense and a minimum civil penalty per violation.
Substantial regulatory reach and federalization of state-regulated insurance create strong institutional and industry resistance; passage requires significant coalition-building.
Relative to its intended legislative type, this bill is a clearly structured substantive statute that defines prohibited insurer practices, provides enforcement mechanisms (FTC, private suits, State actions), and requires insurer reporting and public disclosure. It contains detailed definitions and several provisions aimed at preventing evasion.
Libs emphasize equity, transparency, and preventing ZIP Code redlining
These are examples from the analysis, not a ranked list of the most-affected groups.
Libs emphasize equity, transparency, and preventing ZIP Code redlining
Progressives will likely view this bill favorably as a strong measure to limit socio-economic and geographic discrimination in auto insurance and increase industry transparency.
They will see the FTC reporting, public rate filings, and private rights of action as important enforcement mechanisms to protect marginalized communities.
A moderate would see consumer-protection and anti-discrimination goals as legitimate but worry about actuarial soundness, state insurance regulation interactions, and unintended market consequences.
They would support the bill conditionally if it preserves risk-based pricing supported by actuarial evidence and coordinates with state regulators.
Mainstream conservatives will likely oppose the bill as federal overreach that restricts insurers' use of risk-predictive factors and compels disclosure of proprietary practices.
They will emphasize market-based pricing, state insurance regulation primacy, and concerns about higher premiums or reduced coverage availability.
Reached or meaningfully advanced
Reached or meaningfully advanced
Still ahead
Still ahead
Still ahead
Substantial regulatory reach and federalization of state-regulated insurance create strong institutional and industry resistance; passage requires significant coalition-building.
The bill has not accumulated any surfaced votes yet.
Libs emphasize equity, transparency, and preventing ZIP Code redlining
Substantial regulatory reach and federalization of state-regulated insurance create strong institutional and industry resistance; passage r…
Relative to its intended legislative type, this bill is a clearly structured substantive statute that defines prohibited insurer practices, provides enforcement mechanisms (FTC, private suits, State actions), and requir…
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