Coakley, insurer settle on ratings policies
Massachusetts Attorney General Martha Coakley and a North Carolina insurance company have reached a settlement barring the company from using what Coakley described as unfair ratings practices.
Occidental Fire and Casualty Insurance Co. has filed a rating plan to begin writing car insurance policies in Massachusetts.
Under the settlement, Coakley said yesterday, the company agrees not to charge an additional $25 for each insurance policy or add a 25 percent surcharge on high-risk vehicles.
The company also agreed not to rate Massachusetts drivers based on length of residency or limit the right of policyholders to cancel their policies after giving proper notice.
An Occidental spokeswoman declined to comment.