In nine metro areas—Detroit, Miami/Fort Lauderdale, the Twin Cities, Tampa/St. Petersburg, Baltimore, Orlando, Jacksonville, Hartford, and New Orleans—yearly premiums exceeded $500 in all zip codes. Those cities include some of the nation’s poorest neighborhoods.
In steering, an insurance company directs persons to specific garages or auto body shops when they make a claim for repair, U.S. Senator Richard Blumenthal (D-Connecticut) charged. Blumenthal thinks that steering is actually a safety risk.
“Allstate’s insurance pricing has become untethered from the rules of risk-based premiums and from the rule of law,” J. Robert Hunter, the CFA’s Director of Insurance charged in a press release.