In Letter to Georgia Legislature, CFA Urges Passage of the Georgia Insurance Consumer Protection Act

In a letter to the Georgia state legislature, the Consumer Federation of America urged them to pass HB 733, the Georgia Insurance Consumer Protection Act, which provides much needed balance between consumers and insurance companies in a market where consumers are required to buy this product.

The bill creates the position of Insurance Consumer Advocate, who will be appointed by the Governor and will make sure that consumers are being fairly treated and not overcharged by insurance companies. It also requires any insurance rate filing that results in an overall rate increase of 10% or more over a 12-month period to go through an open and transparent review process, with extra scrutiny. Finally, HBB 733 states that the Commissioner shall only approve insurance rate increases if those increases are supported by clear and compelling data, are needed for the insurance company to be financially stable, and are fair to consumers.