HTML has links - PDF has Authentication
284-24A-011  <<  284-24A-012 >>   284-24A-015

PDFWAC 284-24A-012

What types of reasons do not provide enough information to adequately explain an adverse action?

An insurer must explain any adverse action in reasonably clear and simple language. Insurers must not use phrases that do not explain why the consumer was charged a higher premium or determined to be ineligible for coverage by the insurer.
(1) Explanations of adverse actions that do not meet this standard include, but are not limited to:
(a) Unfavorable length of credit history.
(b) Absence of revolving credit account.
(c) Age of oldest account or revolving credit account.
(d) Age that consumer first opened a credit account.
(e) Unfavorable number of bank or revolving accounts.
(f) Unfavorable debt ratio.
(g) Unfavorable number of accounts opened in past year.
(2) Insurers must not use the term "unfavorable" to describe an attribute of credit history because it does not provide clear information to the consumer about their credit history.
[Statutory Authority: RCW 48.02.060, 48.18.545, 48.19.035, and 48.30.010. WSR 05-02-026 (Matter No. R 2004-01), ยง 284-24A-012, filed 12/29/04, effective 7/1/05.]
Site Contents
Selected content listed in alphabetical order under each group