(This story has been updated with comments from an insurance industry trade group.)
Losing a spouse is never easy, either emotionally or financially, and a new study finds that many major auto insurance companies are adding to the grief by raising rates for new widows by as much as 226%.
In general, auto insurers levy penalties, in the form of higher premiums, on those who aren’t married, according to new research by the Consumer Federation of America. The higher rates are not backed up by data showing increased risk, the consumer group claimed.
“It seems inhumane for insurers to raise rates on women who have become widows,” declared CFA Executive Director Stephen Brobeck. (more…)