Consumer Watchdog

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Consumer Watchdog

Insurance

Rules setting car-insurance rates to be revisited;

Rules setting car-insurance rates to be revisited;

<h3>GARAMENDI TO EXAMINE ZIP CODE ISSUE</h3><p class="source">San Jose Mercury News (California)</p> <p>Insurance Commissioner John Garamendi said Thursday that he would investigate claims by consumer groups and city attorneys that automobile-insurance companies in California are giving too much weight to drivers' ZIP codes when setting rates.</p>
New Rate Battle

New Rate Battle

<h3>Car insurers' reliance on ZIP codes comes under fire</h3><p class="source">The Daily News of Los Angeles</p> <p>Consumer advocates on Thursday called on the state to enforce a 1988 law meant to change the way automobile insurance rates are calculated, claiming state insurers continue to charge excess fees based on auto owners' ZIP codes.</p>
Cuts to Car Insurance Rates in Poor Areas Urged

Cuts to Car Insurance Rates in Poor Areas Urged

<h3>City attorneys and consumer groups ask the state for relief. Garamendi vows action.</h3><p class="source">The Los Angeles Times</p> <p>Nearly 15 years after the passage of the insurance reform initiative Proposition 103, the groups said that the measure's intent to base car insurance pricing more on individual drivers' safety records than their ZIP Codes has not been enforced.</p>
Car insurance rates hit;

Car insurance rates hit;

<h3>City attorneys say geography is determining costs</h3><p class="source">The San Francisco Chronicle</p> <p>People in cities generally pay more for auto insurance than those in rural areas; people in poor neighborhoods usually pay more than those in wealthy enclaves.</p>
Justices Probing Legality of Edison, PUC Deal;

Justices Probing Legality of Edison, PUC Deal;

<h3>The state high court will decide whether the settlement broke the open meeting laws and if customers should be repaid $3.6 billion.</h3><p class="source">Los Angeles Times</p> <p>A lawyer for Edison warned the justices of "adverse implications" and uncertainty if the settlement is torn apart. But consumer groups say killing the settlement could translate into refunds of $850 per customer.</p>