California Insurance Commissioner Ricardo Lara plans to hold an investigatory hearing into how insurers’ use of occupational, educational, and other groups for setting automobile insurance rates affects insurance premiums for lower-income Californians.
The hearing is set for Sept. 17 at the Ronald Reagan State Building in Los Angeles.
Since California law allows insurers to issue insurance coverage on a group plan, some insurers rely on this law to offer lower automobile premium pricing to certain “affinity groups” including professional groups and alumni associations, according to the California Department of Insurance.
