When state Rep. David Morales submitted legislation in February that would prohibit auto insurance companies from using any information other than driving records when calculating premium rates, he was prepared for an uphill battle. Similar legislation went nowhere last year. Within days of his submission this session, he heard skepticism from General Assembly members, even
Already a Subscriber? Log in
To Continue Reading This Article
Become a Providence Business News subscriber and get immediate access to all of our premier content and much more.Learn More and Become a Subscriber
- Critical RI business news and analysis updated daily.
- 1 year of print (26 issues).
- Unlimited access to all subscriber only content on our website, on any device.
- Free email alerts.
- Annual Book of Lists Print Edition.
- All special issues produced during subscription term.
Click Here to purchase a paywall bypass link for this article
PBN Branded Content
Beyond Cash Donations: How New Forms of Giving Are Transforming Not-for-Profit Accounting
Evolving Funding Landscape for Not-for-Profits Not-for-profit organizations are being asked to do more with less,…
Learn More
More factors are promoting what economist call price discrimination. Not in the negative sense of the word, but in the technical sense. Essentially, if all Rhode Island drivers have an aggerate risk valued at an amount that we can call X, instead of splitting that X the number of drivers N, they are saying they have some models that assign higher parts of X to certain drivers. Compare this to the way we price electricity where we all basically pay the same amount even though rural consumers cost demonstrably more to power. We love to use tools of price discrimination when Black and Brown people pay their “fair share”. They should be forced to have their models evaluated and approved by a public regulator.