Logically Ario further says, “states are better equipped to handle problems because they are closer to the consumers affected by the issues” and also “national programs are often built ‘on successful state experiments.’”
A prominent issue that could send ripples through the rest of the nation is the use of credit scoring by insurers. Oregon has implemented laws that have so far proved successful by “allowing credit scores to be used for new business – but not for existing customers.”
A measure will be placed on the November 7, 2006 General Election Ballot that if passed “would prohibit insurance companies from using credit scores or ‘credit worthiness’ in calculating rates and premiums.” Ario uses the example of Katrina, “where suddenly people are thrown out of their homes and have a number of other economic dislocations. Is it fair to punish them with credit scoring that's going to affect their insurance rates on a go-forward basis?”
All fifty states currently have their own individual insurance departments run separately and dealing with each states licensees, insurers and insureds. Asio is for the continuation of the current structure and against a federal charter.
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