Judge overturns state rule removing credit scoring from insurance rates

The Washington Insurance Commissioner’s controversial ruling to end the use of credit scoring for insurance rates has been overturned by a Thurston County judge.

The ruling by Judge Indu Thomas will have a massive impact on almost everyone who has auto and home insurance in the state.

This is a battle that has gone on for more than a year and it ends with a clear victory for the insurance industry.

There are some consumers, especially senior citizens, who are going to be very happy about this too.

In February, the insurance commissioner called the use of credit scores racist, saying it hurt consumers in communities of color.

He then issued a temporary ruling banning their use.

The insurance industry filed suit, saying credit scoring was a sound rating factor that benefits the vast majority of consumers.

Thomas then put a hold on Commissioner Mike Kreidler’s ruling that was set to start Mar. 4. She put an end to all of it on Friday.

“Today’s decision is a win for Washington consumers, especially seniors, who will be able to continue paying lower insurance rates that more accurately reflect their risk,” said the National Association of Mutual Insurance Companies, the group that filed suit, on Friday.

Now we’re here. Some companies have stopped using credit scoring for rates, while others have not.

The insurance commissioner’s office says it will discuss possibly appealing the ruling next week.

Email Jesse right now at consumer@kiro7.com

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