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For all the jokes about women drivers, THIS is no laughing matter.

On Thursday, February 16, Del. Sydnor is introducing HB916 which will prohibit auto insurers from using sex, marital status, occupation, education, or homeownership when setting auto insurance rates. This legislation will help reduce auto insurance costs for women, drivers in predominately African-American neighborhoods, and low-income workers. 

• Take 5 minutes – Call Members of the House Economic Matters Committee and urge them to support HB916 (just click on the member’s name and you will get their phone number)
• Take 2 minutes – Email Members of the Economic Matters committee and urge them to support HB916 click HERE to send email
• Take 1 minute – Sign this petition and share it with all of your friends and colleagues
• Share your story – Did your car insurance go up? Email [email protected] to tell us your story.

 
The largest differences in rates are for sex and marital status-and in both cases-WOMEN PAY MORE THAN MEN. Our research found that:

• Maryland insurance companies that use sex as a factor charge women between $450-$500 more simply for being a woman;
• Single women pay 24% more for car insurance because they are single women; single men often get a discount and pay 0.8% more for being single. So, being a single woman will cost you-literally.  
• If you’ve lost your spouse, widows will pay 27% more, while widowers will pay only 3% more. One company gives widowers an 8% discount while charging a widow 31% more.

In Maryland, women’s median earnings are $884 a week or 83% of men’s median earnings of $1055 per week. Yet, women are charged so much more by several auto insurance companies. It is just not fair.

The Federal Insurance Office (FIO) agrees. They recently issued a report which questioned the fundamental fairness of using marital status and sex in setting premiums.

How can companies get away with this? Well, Maryland law allows it. The Maryland Insurance Administration is prohibited from using income or race to set auto insurance rates, but the law allows companies to use a slew of non-driving related factors, including credit and zipcode. 

The use of these factors drives up the cost of car insurance for women. The cumulative impact also drives up the cost for Black drivers and those living in communities of color. Our 2015 research found that a driver living in Roland Park with two at ­fault accidents would pay $215 less than a driver with a perfect record living in Park Heights. These factors also cost workers with less education and lower-skilled jobs-more.

This not only unfair-it is bad public policy. Hawaii, Massachusetts, North Carolina, Michigan, Montana, and Pennsylvania prohibit the use of sex or require the same base quote for both sexes. Pennsylvania and Delaware regulators have eliminated the “widow’s penalty.”

Marceline

P.P.S. Seats are filling up-ACT NOW to join our Free Federal Advocacy Training THIS Saturday 2/18!