CHICAGO — The following statement from Robert Gordon, PCI senior vice president of policy research and international, is in response to the joint news release from the Consumer Federation of America and Center for Economic Justice criticizing PCI and the yet to be completed National Association of Insurance Commissioners’ Automobile Insurance Report.
“The insurance industry is one of the most heavily regulated sectors, with every state monitoring it to ensure that insurance rates are risk-based and not excessive, inadequate, or unfairly discriminatory. Certain activist groups that have opposed current state risk-based insurance standards are now criticizing a report that they have not seen and has not been completed. They are also criticizing the accuracy of data that is in part required by law with fines for misstatements. This data is also relied upon by much of the industry for analyzing risk. It is unfortunate that these activists are preemptively impugning the motivations of the entire state regulatory system before the report is even completed.
“Additionally, the activists are off base in the criticisms leveled at PCI. We have always advocated for a well-informed public. Insurance rates are set based on law and reflect the realities of the risks that are being covered. Raw data without that context would be confusing at best and misleading at worst. Demands by activists to force regulators to publicize proprietary company data have nothing to do with marketplace affordability but rather are fishing trips to attempt to prolong attacks on regulatory standards and competitive markets by trying to manipulate the regulators into suggesting winners and losers.”