State Regulation

24 Consumer Representatives Urge Washington State to Approve Bill to Get Insurance Refunds to Mistreated Consumers

Proposal Would Give Insurance Commissioner Power to Get Restitution for Consumers Who Have Been Ripped Off or Overcharged

The Consumer Federation of America joined twenty-three other consumer representatives at the National Association of Insurance Commissioners (NAIC) in a sign-on letter urging a Washington State Senate Committee to support a bill getting refunds for consumers who have been unfairly treated or overcharged by insurance companies.

The proposal, SB 5331, gives the Insurance Commissioner to get restitution for consumers who have been overcharged or otherwise harmed by insurers. Currently the only way to get them their money is to go through the courts, which is costly and time consuming. SB 5331 empowers insurance regulators to promptly get consumers what they are owed, and it also increases the fines that insurance companies must pay if they break the law.