Bill
S 820
Massachusetts bill restricts auto insurance pricing factors to reduce racial and socioeconomic premium disparities through regulatory oversight of underwriting practices.
S 820 proposes to restrict how auto insurance companies in Massachusetts can set premium prices, with the goal of reducing disparities based on race and socioeconomic status. The bill addresses concerns that current pricing models—which may use proxies like zip code, credit score, or occupation—disproportionately burden lower-income individuals and communities of color, even if not explicitly race-based.
Auto insurance is mandatory for drivers, making premium pricing a significant financial burden that affects access to employment, healthcare, and economic mobility. If current pricing practices systematically charge higher premiums to certain racial or socioeconomic groups, this perpetuates wealth inequality and limits opportunity. Massachusetts would join a small number of states actively regulating insurance pricing to address equity concerns.
Compiled from official sources — confirm details with the bill’s official record.
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