Date: February 23, 2005
For more information contact: Eileen Mallow, Assistant Deputy Commissioner, (608) 266-7843 or eileen.mallow@wisconsin.gov

Free Credit Reports Available in March
Consumers are advised to review credit report before applying for insurance.

Madison, WI--Beginning March 1, 2005, residents of Wisconsin and other Midwestern states will be able to request a free copy of their credit report yearly from each of the three national credit reporting companies. The Office of the Commissioner of Insurance (OCI) encourages people to take advantage of this opportunity to check that the information on it is accurate and complete.

"It is to consumers' benefit to regularly review their credit reports to make sure that the information about their credit history is correct," Insurance Commissioner Jorge Gomez said.

Although the extent to which insurance companies can use credit reports in the underwriting process is limited by OCI and the Federal Trade Commission (FTC), the companies may purchase reports or insurance-related scores from credit agencies. The credit information used by insurance companies includes credit card history, loan and bill paying history, and information from public records such as judgments and bankruptcy.

By checking their credit report, consumers can also help protect themselves against identity theft. If someone else used a consumer's personal information to open a credit card and didn't pay the bills for the credit card, their credit is damaged and that is reported to insurance companies and other businesses. By ensuring all the information held by the credit reporting agencies is correct, consumers can avoid being charged more for insurance or discovering problems when making major purchases.

"In addition to getting a free report yearly, federal law allows consumers to request a free report if credit information negatively affects a purchase or service, such as an insurance premium," Gomez said. "Consumers must request a copy of their credit information within 60 days of the date their purchase was affected by credit."

The three nationwide consumer reporting companies are Equifax, Experian and Trans Union. The free report is only available through a centralized website, phone number and address that the three consumer reporting companies have set up. Consumers can request their free annual credit report by calling 1-877-322-8228, visiting the Web site www.annualcreditreport.com, or completing the Annual Credit Report Request Form available at www.ftc.gov/credit and mailing it to Annual Credit Report Request Service, P.O. Box 105281, Atlanta, GA 30348-5281. Beyond their one free credit report each year, consumers can purchase their credit score at any time.

The Federal Trade Commission (FTC) is reminding consumers that www.annualcreditreport.com is the only authorized site to obtain your free annual credit report, and emails, pop-up ads or phone calls asking for personal information and claiming to be from the Web site or any of the three companies are "probably a scam."

More information about credit reports or other consumer issues are available by visiting the FTC Web site at www.ftc.gov or by calling 1-877-FTC-HELP (1-877-382-4357). OCI publications such as "Understanding How Insurance Companies Use Credit Information" and "Consumer's Guide to Insurance," can be ordered free from the agency by writing to OCI Publications, P.O. Box 7873, Madison, WI 53707-7873, calling 800-236-8517 or visiting the OCI Web site at oci.wi.gov.

Created by the Legislature in 1871, Wisconsin's Office of the Commissioner of Insurance (OCI) was vested with broad powers to ensure that the insurance industry responsibly and adequately met the insurance needs of Wisconsin citizens. Today, OCI's mission is to lead the way in informing and protecting the public and responding to its insurance needs.