We are an insurance company that uses credit reports to underwrite insurance. Does the Red Flags Rule apply to us?
The Red Flags Rule should not apply to an insurer when engaged in activities related to insurance underwriting. To the extent that you extend credit, however, you may be covered. For example, you may wish to examine whether you permit consumers to finance their premiums; whether you extend credit to vendors, independent agents or other business partners; or whether you extend credit in connection with your investment activities, including real-estate investments.
Related Questions
- We are an insurance company that uses credit reports to underwrite insurance. Does the Red Flags Rule apply to us?
- How do I obtain temporary insurance while waiting for the insurance company to evaluate and underwrite my health?
- What are the penalties if our company doesnt comply with the Red Flags Rule?
