There is a history of well-established practices in the auto sector that is disadvantaging to some groups. Such policies place a priority on obsolete risk assessment and not fairness, transparency, and equity. Eric Poe is the president of CURE Auto Insurance who has argued long that the system needs to be made fairer. It implies the eradication of the discrimination in prices and the assessment of drivers not by how high or low they are in terms of socioeconomic conditions but by their driving skills.
Poe does not happen to be a passive individual. In spite of his infinite stand, Poe reacts toward core disagreement policies. Poe is one to keep on fighting internally in the system and trying to change it, especially regarding discriminatory policies in the insurance industry.
Status Quo of Auto Insurance
The classical auto-insurance base is tied to a number of non-driving factors, including such items as credit scores, education, ZIP codes, or the occupational titles. These aspects that are either unrelated or loosely related to driving skills contribute much to the insurance cost.
Several years ago, Eric Poe has been voicing against such pricing systems. He states that they harm drivers earning lower income at the expense of financially advantaged drivers. He has proposed the idea of merit-based pricing in which premiums will be set on the basis of driving history and not on random socioeconomic factors.
Poe is not the first one to criticize the industry yet the system that runs on old practices and unwillingness to transform in the industry has compelled Poe into the situation.
Managing to Adapt Your Values, Yet Not Compromise Their Values
Even though some of the industry standards or practices that he finds disapproval, Poe understands that companies are expected to comply with the state laws in order to remain in business. This means that now he has to play a delicate balance act by translating and challenging the system at the same time.
Poe never gave up his values. Rather he has explored creative means of operating within the law as he pursue equitable models of pricing. CURE Auto Insurance has advocated changes that do away with discriminatory considerations in insurance charges. Poe is also an activist and or working with policy makers, regulators and consumer activists, to cause change.
Poe remains honest with his customers on the failings in the system and responds by being adaptive. He has already come out complaining of how regulators have compelled him to employ credit scores.
Transparency And Consumer Education
Poe believes in consumer education a lot. Poe encourages people to question the system by educating the policy holders on how they compute their premiums.
Poe states that the majority of people as consumers are not aware that their driving record has lessmore impact on their insurance rate compared to their credit score. He has endeavored to shed light on such problems during his speeches as well as media interviews coupled with company programs. This increases the challenge of concealing its price by use of complex price structures.
The transparency adopted by CURE Auto Insurance has gained many consumers who wanted to experience fairness in the sector that is characterized by lack of transparency.
Change Advocate, an Unstoppable Advocate
Poe does not only express his disillusionment over such unjust policies. Poe can be found engaging in the lobbying process to quell the practices of discrimination at the law making level.
By collaborating with legislators and consumer activist organizations, Poe believes that he can introduce policies that would focus on driver conduct, rather than the non-driving-related factors. His proposal is a system in which good drivers with or without wealth pay low premiums.
Nevertheless, although the process of introducing reforms was rather slow, Poe was not ready to give up. He keeps campaigning concerning the alternative price forms that comply with fairness and hopes that the industry will soon be compelled to pursue more humane rates.
Future Fair Auto Insurance In The
The fight of Poe with the unjust policy is not the fight of individual drivers but the consequences of the economic equality. An obligatory motor insurance companies to charge lower rates to those with clean driving records would cost the millions of low income customers thousands of pounds a year.
Poe envisages that:
- The insurance premium will no longer depend on ratings regarding credit and education
- Driving behaviors and the use of telematics technology will play a greater role in the setting of rates
- The fairness of the pricing models and consumer safety are going to become priorities of the state regulators
- It is the priority to increase transparency in the pricing model.
Poe is of the opinion that as he goes about lobbying the industry concerning the insurance entity, consumer awareness, upsurge in technology and regulatory pressures would compel entrepreneurs in the insurance sector to implement more fair pricing structures.