Insurance

Lawmakers in Montana Take Up Auto Insurance Reform Today

Bill Would Require Insurance Companies to Base Premiums on Driving Records not Personal Characteristics

Helena, Montana – Today lawmakers in Montana are holding a hearing on making auto insurance fairer. With auto liability insurance required by law in every state except NH, it is imperative that the law also require that rates are determined fairly, based on how consumers drive, rather than based on individual characteristics that have nothing to do with driving.

Montana House Bill 291 would prohibit the use of non-driving related factors in auto insurance including credit history, employment or occupation, and education level.

Tom Jacobson, Chief Executive Officer of Rural Dynamics, as well a Montana legislator and sponsor of the legislation noted that “Penalizing working class families by basing rates on factors such as occupation, credit scores, or education level is unacceptable.  I am looking forward to working with my fellow colleagues in the Montana legislature to put a stop to these unfair practices.”

“We want people to know that if they drive safely they can get a discount and they’ll pay more if they rack up speeding tickets or cause accidents.” Said Doug Heller, insurance expert at Consumer Federation of America, “But they shouldn’t have to buy a house or get a master’s degree, or a higher paying job or get their credit score fixed in order to be able to afford auto insurance. This bill works to ensure just that.”

Contact: Doug Heller, CFA, 310-480-4170; Jen Lehman, Rural Dynamics, 877-275-2227


The Consumer Federation of America is an association of more than 250 non-profit consumer groups that, since 1968, has sought to advance the consumer interest through research, education, and advocacy.

In 1968, Rural Dynamics opened its doors as Consumer Credit Counseling Service of Montana. Over the years, we’ve broadened our approach and expanded upon our services. Whether we are helping a low-income family become financially stable or training a group of case managers to be certified in financial coaching, we have the staff, tools and resources available to assist all people on their journey towards financial independence. We envision a region where people have the capacity and opportunity to make positive choices regarding their economic future.