I 112th CONGRESS 2d Session H. R. 6129 IN THE HOUSE OF REPRESENTATIVES July 13, 2012 Mr. Clarke of Michigan (for himself, Mr. Conyers, and Mr. Thompson of Mississippi) introduced the following bill; which was referred to the Committee on Financial Services A BILL To amend the Fair Credit Reporting Act to prohibit the use of consumer reports and consumer information in making any determination involving auto insurance with respect to a consumer, and for other purposes.

1.

Short title

This Act may be cited as the Ban the Use of Credit Scores in Auto Insurance Act.

2.

Use of consumer reports and consumer information for auto insurance purposes prohibited

(a)

In general

Section 604(a)(3)(C) of the Fair Credit Reporting Act (15 U.S.C. 1681b(a)(3)(C)) is amended by inserting , except auto insurance (as defined under subsection (h)(3)) before the semicolon. (b)

Rule of construction

Section 604 of the Fair Credit Reporting Act (15 U.S.C. 1681b) is amended by adding at the end the following new subsection: (h)

Auto insurance not an authorized business purpose

(1)

In general

No consumer reporting agency may furnish a consumer report or consumer information with respect to any consumer to any person for use in making any decision to underwrite or rate auto insurance, and no person shall use or obtain a consumer report or consumer information with respect to any consumer in connection with the underwriting or rating of any consumer in connection with a transaction involving auto insurance. (2)

Insurance information not included

Information derived from the following databases shall not be treated as a consumer report or consumer information for purposes of paragraph (1): (A)Databases that contain information on property loss data regarding auto insurance, such as the Comprehensive Loss Underwriting Exchange (CLUE) and Automobile Property Loss Underwriting System (A–PLUS). (B)Databases that contain information on driver history, such as accidents or moving violations, typically maintained at State departments of motor vehicles. (3)

Definitions

For purposes of this subsection: (A)

Consumer information

The term consumer information means any information from the file of any consumer at a consumer reporting agency, or any product derived from any such information such as consumer credit reports or credit scores or any other risk score or predictor on any consumer. (B)

Auto insurance

The term personal line of insurance means any personal automobile line of insurance, as defined in the Uniform Property and Casualty Product Coding Matrix established and maintained by the National Association of Insurance Commissioners or any successor document. .