[Shotimes] Re: Semi OT - Insurance rates/Credit Rating

[Barry Hayes]

Unfortunately credit rating is becoming the holy grail for everything. I 
am divorced. My ex was my business partner and handled the finances. Or 
should I say mishandled them. I didn't keep a sharp enough eye on things 
and when we split eventually the business went south. Long story 
shortened things got worse and I lost my house. I had to apply to a low 
income housing authority for a place to live. I was denied because I had 
"bad credit" Why did they think I was applying to them in the first place?
The same thing happens with job applications when an employer can do a 
credit check. Chances are you need the job to get or stay out of debt, 
yet they can deny you because of it.
I do community theatre and just recently I was in a play about a man who 
could not get into heaven because his credit score was too low! Art 
echoing life?
I agree that it is, or should be wrong to base insurance rates on credit 
since you are paying up front, or at least as you go on installments. 
There are too many reasons a person's credit can be affected for this to 
be a valid criteria.
Many years ago, insurance companies could cancel a whole family if even 
one member had an accident. I was once dropped by State Farm for 
allegedly not answering an application question truthfully. They asked 
about traffic convictions and I answered "none". Their check showed I 
had received a ticket. It didn't matter to them that I was contesting it 
and it had yet to go to court, as far as they were concerned it was a 
conviction! In fact the agent told me that as far as the company was 
concerned I wouldn't have gotten the ticket if I wasn't guilty so I must 
be a liar! (Very catch 22 eh?) The idea of innocent until proven guilty 
is not a insurance company paradigm. Public pressure on legislatures 
helped end some of that kind of abuse but perhaps the time has come to 
"revolt" again. I only wish I knew how. Refusing to buy their product is 
the only sure answer but that is illegal in most states since insurance 
is required.
Probably only the state and federal legislatures can actually do 
something but for that to happen they must be pressured big time from 
the voting public, because the only thing politicians listen to more 
than large corporations with money is large numbers of voters.
I wish a had a practical solution. All I can think of is for everybody 
to refuse to insure, something which will never happen in our litigious 
society. But what if...

Barry Hayes