Georgia Insurance Committee Evaluates Technology's Role in Risk Assessment and Consumer Rates

In a recent meeting of the Blue-Ribbon Committee on Insurance Rates in Georgia, discussions centered on improving insurance rates for consumers, with a focus on leveraging technology and regulatory measures. The meeting, held on August 28, 2025, highlighted the need for innovative solutions to ensure that consumers receive fair rates while addressing the complexities of risk assessment in insurance.

Chairman Collins initiated the conversation by emphasizing the committee's goal of helping constituents secure the best possible insurance rates. A key point raised was the potential for technology to enhance risk assessment, allowing insurers to better identify high-risk individuals based on driving behavior and other quantifiable factors. This approach could lead to more personalized insurance rates, rewarding responsible behavior and potentially lowering costs for safer drivers.

The discussion also touched on the importance of building codes in reducing insurance claims. By adopting stronger construction standards, homes could be better protected against severe weather, thereby minimizing losses and, in turn, insurance premiums. The comparison to Florida's robust building codes illustrated how proactive measures can lead to long-term savings for both homeowners and insurers.

However, the conversation revealed challenges in implementing these technological advancements. Concerns were raised about the fairness of individual pricing models, which could lead to significant disparities in insurance costs among consumers. The committee acknowledged the delicate balance between accurately assessing risk and maintaining equitable pricing structures.

Another significant topic was the assignment of benefits, particularly in relation to roofing claims. The committee discussed the implications of contractors taking over insurance claims on behalf of homeowners, which can lead to complications if insurers fail to pay. This issue underscores the need for clear regulations to protect consumers from potential financial liabilities.

As the meeting concluded, the committee recognized the importance of ongoing discussions and research into these topics. The insights gained from this meeting will inform future policy recommendations aimed at enhancing consumer protection and ensuring fair insurance practices in Georgia. The committee's commitment to addressing these issues reflects a proactive approach to improving the insurance landscape for all Georgians.