Is it legal for an insurance company to increase your rates based on where you live? Prop 103 in CA states that insurance co.'s cannot use zip code as a main factor in determining rates. Should I contact the Dept. of Insurance and file a complaint?
by 
jhannah21
ANSWERS: 2
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it might not be the main factor in deciding the rate, but it surely IS a factor.....I can't verify if it is legal, but even here in Montreal, that's what they do and I must admit that's it logical....
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CA has all sorts of weird laws so I can't say 100% for certain. I think it depends on who smoked/injected what on any given day. I CAN say that the insurance companies have a right to raise their rates on "high-risk" customers. That includes those who live in areas with lots of accidents AND areas with a high rate of auto vandalism/theft.
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