§ 27-2-21-18 — Disclosure of use of credit information

(a) If an insurer uses credit information in
underwriting or rating a consumer, the insurer or the insurer's agent
shall disclose, either on the insurance application or at the time the
insurance application is taken, that the insurer may obtain credit
information in connection with the application. The disclosure must be:
(1) written; or
(2) provided to the consumer in the same medium as the
application for insurance.
The insurer is not required to provide the disclosure statement required
under this section to an insured on a renewal policy if the insured has
previously been provided a disclosure statement.
(b) Use of the following sample disclosure statement constitutes
compliance with this section: "In connection with this application for
insurance, we may review your credit report or obtain or use a credit
based insurance score based on the information contained in that credit
report. We may use a third party in connection with the development
of your insurance score.".

Legislative History

As added by P.L.201-2003, SEC.1.