According to Consumer Federation of America, consumers pay an average of 7 percent more (about $112 a year) for auto insurance if they are renting their home and not owning one. The CFA states that auto insurance companies’ use of homeownership status in pricing leaves low and moderate-income Americans at an unfair disadvantage. CFA Insurance Director J. Robert Hunter said that raising “people’s auto insurance premium because they can’t afford to buy their homes unfairly discriminates against lower-income drivers.” Hunter also added that “a good driver is a good driver whether she rents or owns her home. Insurance companies should not be allowed to target people based on homeownership status.”

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