Are Car Insurers Discriminating Against Less Educated Drivers?
Image source: Getty Images Before you take a rate quote at face value, make sure you’re not being dinged for your level of education.
As you shop for auto insurance , you may assume that an insurance company will offer you a rate based on your age, gender, driving history, where you live, and even your credit score. But did you know that some companies charge a higher rate to those with less education? In other words, a doctor is likely to receive a more favorable rate than a landscaper. The research is clear
Researchers from Consumer Reports sought 869 different auto insurance quotes from nine insurance companies. They covered 21 zip codes across six states and Washington, D.C. The hypothetical character used to compare quotes was a 30-year-old woman named Sara Lynn, shopping for her state’s minimum coverage. Sara Lynn owns a 2016 Toyota Camry LE and has a clean driving record. Her level of education and occupation were the only details that changed with each auto insurance quote request.
Researchers found that three of the largest insurers in the U.S. — Liberty Mutual, Progressive, and Geico — quoted higher average premiums to Sara Lynn when her profile said […]