Nebraska Bill Would Prohibit Sole-Basis Credit Scoring

A bill moving through the Nebraska legislature would prohibit insurers from denying, canceling or non-renewing an insurance policy or basing rates solely on the basis of credit information.

Legislative Bill 487 would also require insurers to disclose information about the models used in the credit-based insurance scoring process.

A spokesperson for the Alliance of American Insurers, an industry trade group, said the new restrictions were cumbersome, unnecessary and duplicative of federal law.