Is struggling financially worse than driving while intoxicated? According to a new report, that’s the view that car insurance agencies are taking.
The analysis from the Consumer Federation of America showed that a bad credit rating is more likely to cause higher car insurance rates than a DWI arrest.
Louisiana drivers rated as safe on the road but dealing with a “poor credit score pay an average of $3,548 annually for car insurance.
Meanwhile, drivers with a DWI who have an “excellent” credit rating paid an annual average of $2,643. That’s a troubling revelation for organizations that lobby on behalf of consumers.
“The truth is (companies) are using non-driving related factors, like credit scores, to increase premiums, penalize good drivers, and pad their profits,” said Ben Riggs, executive director of Real Reform Louisiana, according to NOLA.com. “Louisianans deserve real insurance reforms that prohibit unfair practices like this and lower costs.”
Currently, Louisiana’s car insurance rates rate as the country’s second-highest.
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