1. Rep. Eileen Cody, session in review
Washington’s 2021 legislative session wrapped up over the weekend, concluding what was an impressive session for progressives. We caught up with Rep. Eileen Cody, Chair of the House Health Care & Wellness Committee, to get her take on the health policy themes that emerged this session.
Cody says health equity, the COVID-19 response, and public health were some of the top issues in the health care sphere. She also described Sen. David Frockt’s Cascade Care bill as one of the biggest health policy bills to move forward this year (more on that below). As it relates to the budget, she says funding for mental health and substance use disorder were probably the biggest adds, along with public health support and funding for exchange subsidies. “I would say that there wasn’t a lot of glitz to the things that happened in health care this year, but certainly it got a huge infusion of money.”
A Thurston County Superior Court judge denied an insurance industry request to halt an emergency rule that temporarily bans the use of insurance credit scoring in Washington last Friday.
The Independent Insurance Agents and Brokers of Washington (IIABW), the Professional Insurance Agents of Washington (PIA) and the American Property Casualty Insurance Association (APCIA) joined together in a legal action to attempt to halt the emergency rule.
Claire Howard, senior vice president of APCIA, said:
“Commissioner Kreidler has taken an extreme action that exceeds his authority, bypasses the legislature, and robs consumers of the benefits of a highly competitive private market. Since 2002, the legislature has explicitly authorized insurers’ use of credit history. Commissioner Kreidler is incorrect in his position that credit scores are unreliable because of the pandemic. A report by Lexis Nexis Risk Solutions demonstrates that credit scores overall remained stable during 2020
Insurers Don’t Like New New Credit Scoring Ban in Washington, But Say They’ll Follow the Law April 28, 2021
The American Property Casualty Insurance Association said it insurers will following the law where it concerns Washington Insurance Commissioner Mike Kreidler’s emergency regulation banning the use of credit-based insurance scores.
Kreidler issued a reminder earlier this week that insurance companies have until a May 6 deadline to file rating plans that comply with his emergency rule to temporarily prohibit the use of consumers’ credit scores.
A Thurston County Superior Court judge on April 23 allowed Kreidler’s emergency rule to remain in effect by denying an insurance industry request for a preliminary injunction. Judge Mary Sue Wilson found that industry associations challenging the rule were unlikely to succeed with their two main arguments that Kreidler lacked “good cause” and had no authority to issue the rule.
Kreidler Urging Other Insurance Commissioners to Ban Use of Credit Scores April 28, 2021
Now that Washington Insurance Commissioner Mike Kreidler’s credit scoring ban has passed a key legal hurdle, he’s urging his colleagues in other states to consider similar actions.
A Thurston County Superior Court judge on April 23 allowed Kreidler’s emergency rule to halt the use of credit scores in determining insurance rates to remain in effect by denying an insurance industry request for a preliminary injunction. Judge Mary Sue Wilson found that industry associations challenging the rule were unlikely to succeed with their two main arguments that Kreidler lacked “good cause” and had no authority to issue the rule. The decision denied an industry request for a preliminary injunction.
ICYMI, Washington Insurance Commissioner Mike Kreidler won: This year Kreidler requested a bill from the Legislature that would stop insurers from engaging in the racist practice of using credit scores to set certain insurance rates, which ends up forcing poor people to pay more for car insurance than middle-class and wealthy people with worse records. Sen. Mark Mullet worked with insurance lobbyists to gut the bill. Kreidler called for it to die. It died. After that, he used his emergency powers to issue a rule banning the practice for three years. The insurance companies sued, claiming he tried to do an end-around the state Legislature. Last Friday, a Thurston County Superior Court approved Kreidler s move. Today the Commissioner issued a May 6 deadline for property and casualty insurers to file their plans to meet the rule requirement, which should help protect those who are the most hurt financially by the pandemic from being forced to pay even higher premiums, he said.