News

Watchdog Group: N.Y. State Auto Insurers Charge Blue-Collar Workers More

Cars owned by a dealership sit in the parking lot of a Nassau County park. (Credit: CBS 2)

Cars owned by a dealership sit in the parking lot of a Nassau County park. (Credit: CBS 2)

ALBANY, N.Y. (CBSNewYork/AP) — A consumer watchdog group claimed Thursday that the largest auto insurers in New York State are using education legal and occupation to set rates – charging blue-collar workers more for the same policy than college-education professionals.

Andy Morrison, a consumer advocate who worked on the report from the New York Public Interest Research Group, says the practice is unfair to minorities and low-income workers.

The report used online rate quotes from GEICO, Progressive and Liberty Mutual and found that rates were hundreds of dollars more for drivers with a high-school education and a non-professional job compared to college-educated professionals.

The group NYPIRG wrote to the state’s Department of Financial Services Thursday, asking it to review the insurers’ rate-making policies to see if they are legal.

Messages left with the insurance companies were not immediately returned Thursday.

You May Also Be Interested In These Stories

(TM and © Copyright 2014 CBS Radio Inc. and its relevant subsidiaries. CBS RADIO and EYE Logo TM and Copyright 2014 CBS Broadcasting Inc. Used under license. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. The Associated Press contributed to this report.)