Contributing Member of the Financial & Business Services Councils

Names and details of certain GLG News authors are available only to GLG Clients and Council Members. GLG News authors are subject-matter experts within the GLG Councils and are available for expert consulting - by phone, in-person, or written analysis. To find out how to become a GLG client or Council Member, click here.

GLG News by this Author

Analyses are solely the work of the authors and have not been edited or endorsed by GLG.

GLG News is now G+ Insights

G+ is a community for professionals, academics and entrepreneurs to connect through online discussions and in-person meetings. You will continue to see G+ Insights (formerly GLG News) here as well as on the G+ website, where you can share and discuss the G+ Insights you read.

Insurance Scoring is a Compliance Nightmare: 50 States, 50 Sets of Rules

May 7, 2008

Analysis of:Credit Scoring | www.iii.org

In the absence of a sweeping change in federal legislation, insurance underwriting today is regulated by the states. This means that when the Mississippi or Texas or Alaska state legislature passes a new bill governing the use of credit scores in insurance underwriting, all involved parties must change their algorithms in order to comply. Since generic credit scoring itself is regulated primarily at the federal level, it becomes an absolute nightmare for the Credit Reporting Agencies to comply with each state's unique requirements for insurance, and the state deadlines for compliance are often unrealistic considering the amount of development and testing that go into development of a new scorecard.

Page : 11 to 1 of 1

Subscribe to Updates

By RSS