72nd OREGON LEGISLATIVE ASSEMBLY--2003 Regular Session
 
NOTE:  Matter within  { +  braces and plus signs + } in an
amended section is new. Matter within  { -  braces and minus
signs - } is existing law to be omitted. New sections are within
 { +  braces and plus signs + } .
 
LC 980
 
                         Senate Bill 314
 
Sponsored by Senator FERRIOLI; Representative GARRARD
 
 
                             SUMMARY
 
The following summary is not prepared by the sponsors of the
measure and is not a part of the body thereof subject to
consideration by the Legislative Assembly. It is an editor's
brief statement of the essential features of the measure as
introduced.
 
  Prohibits insurer from using credit history or insurance score
of consumer applying for or renewing personal property or
casualty insurance in determining eligibility for insurance
coverage.
 
                        A BILL FOR AN ACT
Relating to use of consumer credit information by insurers.
Be It Enacted by the People of the State of Oregon:
  SECTION 1.  { + (1) As used in this section:
  (a) 'Consumer' means an individual policyholder of or applicant
for personal insurance.
  (b) 'Consumer reporting agency' means any person that, for
monetary fees or dues or on a cooperative nonprofit basis,
regularly engages in whole or in part in the practice of
assembling or evaluating consumer credit information or other
information on individuals for the purpose of furnishing to third
parties reports on consumers.
  (c) 'Credit history' means any written or other communication
of any information by a consumer reporting agency that:
  (A) Bears on a consumer's creditworthiness, credit standing or
credit capacity; and
  (B) Is used or expected to be used, or collected in whole or in
part, to serve as a factor in determining eligibility for
personal insurance coverage.
  (d) 'Insurance score' means a number or rating that is derived
from an algorithm, computer application, model or other process
that is based in whole or in part on credit history.
  (e) 'Personal insurance' means personal lines of property and
casualty insurance to be used primarily for personal, family or
household purposes.
  (2) An insurer may not use the credit history or insurance
score of a consumer in determining the consumer's eligibility for
personal insurance coverage. + }
  SECTION 2.  { + Section 1 of this 2003 Act applies to
applications for issuance or renewal of insurance policies made
on or after the effective date of this 2003 Act. + }
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