Re: [Fwd: Privacy and Mandatory Auto Insurance]

[Dynalysis of Princeton <mail@dynalysis.com>]

Peter --
I am writing to the Dept of Insurance to ask for information.  I will also take
a look at a State Law library near my office next week.  I guess I am getting
too dependent on the internet these days, although I did find that NJ put their
HMO insurance regulations on the net and that has been very helpful indeed.
Sorry I was not as clear as I could be.  I am not well acquainted with the
insurance industry but I am learning that I don't know very much.

Regards,
Barbara

Peter Marshall wrote:

> Barbara--
>
> Thanks for the response.
>
> Seems you raise some significant questions here, OTOH, they might be better
> addressed to your state legislators, and made clearer while you're at it.
>
> How about reviewing PA's insurance laws?
>
> BTW, I used to live in PA when their Ins. Comm. was really good and kicked
> Equifax's butt re: a "background report" for new auto coverage. Seems I
> also was covered by Erie at one time.
>
> Peter Marshall
>
> At 07:24 AM -0800 03/12/99, Dynalysis of Princeton wrote:
> >Dear Peter:
> >
> >Below is my first letter to Specter to which he responded. Yesterday I
> >wrote to him again and sent him my address.  Perhaps he will be able to
> >help me.  I asked that he look at the auto insurance question with the
> >medical privacy issue in mind. I expanded my concerns mentioning the
> >past experience with a medical records release but focused on the
> >control of information once it was obtained by the auto insurance
> >industry.  Hopefully he will give this some thought if the email gets to
> >him.
> >
> >Regards,
> >Barbara
> >
> >Received: from dynalysis.com (ftp.dynalysis.com [198.139.141.131])
> >       by tigger.jvnc.net (8.8.8/8.8.8) with ESMTP id KAA13624;
> >       Tue, 9 Mar 1999 10:45:28 -0500 (EST)
> >Message-ID: <36E4FF21.F66F57D5@dynalysis.com>
> >Date: Tue, 09 Mar 1999 10:59:45 +0000
> >From: Dynalysis of Princeton <mail@dynalysis.com>
> >Organization: Dynalysis of Princeton
> >X-Mailer: Mozilla 4.05 [en] (WinNT; I)
> >MIME-Version: 1.0
> >To: senator_specter@specter.senate.gov
> >Subject: Privacy and Mandatory Auto Insurance
> >Content-Type: text/plain; charset=us-ascii
> >Content-Transfer-Encoding: 7bit
> >
> >Dear Senator Spector:
> >
> > I recently wanted to change to Erie  Auto Insurance company for an auto
> >insurance policy.  The forms I was given  by a new broker included  a
> >boiler plate document that essential would be an agreement to allow Erie
> >to extensively underwrite me for car insurance.  I objected to this
> >extensive type of underwriting and was told I could not apply for auto
> >insurance with Erie if I did not sign that document.  I had not heard of
> >this before and asked the PA Department of Insurance.  They were unable
> >to give me the Code which allowed Erie to undertake this requirement and
> >I was told that there were no restrictions on information that the auto
> >insurance industry could collect and no regulations as to what they
> >could do with the information.  I find this situation very disturbing.
> >
> >In the meantime, I tried to leave the Allstate Indemnity insurance via
> >my Allstate agent and he said if I do that, they will have to underwrite
> >me to determine my premium.  This is a company that I have been paying
> >for 25 years and that has all of my records!  Evidently the only way
> >that I can keep my privacy is to continue to pay a high premium.
> >
> >Could you please tell me if there are any regulations to protect
> >information once it is given to any insurance company.  Just as
> >important, if I have to have car insurance and this industry is going to
> >leave the traditional review practices to arrive at premiums, who is
> >regulating the new practices and on what basis?  I do not want what my
> >neighbor thinks, my landlord, or my employer, to dictate my ability to
> >get auto insurance and at what cost.
> >
> >I hope you have some suggestions as to what I can do about this.  I am
> >really sorry you are planning to retire and hope you will reconsider.
> >
> >Sincerely yours,
> >
> >Barbara Brandt
> >
> >
> >I  do not wish the auto industry to
> >
> >ave to sign a document that allowed them to extend their underwriting
> >beyond credit reporting to mirror that one would expect for life
> >insurance applications.  One needs to also consider that the Medical
> >Information Bureau falls within the scope of credit reporting laws and
> >also may be accessed..
> >
> >I find it troubling that in PA I must provide all this information
> >before I am allowed to apply for life insurance and before there is any
> >reason given for the need to have this information.  For instance, in
> >terms of mandatory insurance, it seems to me that the insurance industry
> >already has sufficient access to my driving record, auto insurance
> >history and criminal background via the State of PA.  I don't understand
> >why I must give up my privacy to get mandatory auto insurance.  What
> >standards am I going to be measured against?  What would preclude me
> >from having auto insurance mandated by PA if I have a good driving
> >record and have a job.  What are the standards that these companies are
> >held to by the State and will these companies hold me to as a consumer?
> >
> >How will I know they will protect the information I must give them