Drivers pay car insurance based on their crash risk. That's fair.

In response to Mary Mitchell’s recent column, “Illinois targets car insurance discrimination,” insurance companies do not collect information on race, ethnic origin, religion, sexual orientation or disability. This information has never been collected. So, why is there proposed legislation in prohibiting insurers from doing something they have never done? Maybe because it obscures the other facts.

Insurers consider some personal characteristics in pricing auto insurance, such as age, marital status, gender and credit-based insurance scores. Why? Because these factors provide a more accurate assessment of risk, meaning drivers pay according to the risk they represent. It brings fairness to the rating process.

Is it fair to charge a 16-year-old driver more for insurance than a 60-year-old driver? It may not seem fair to the 16-year-old (or parents paying the bill), but younger, inexperienced drivers have more insurance claims than a 60-year-old does.

Similarly, drivers over age 70 may pay more for insurance because of the risk they represent. While senior drivers do take precautions, such as not driving in hazardous weather, the data shows seniors are involved in more car crashes than middle-aged drivers — and they suffer more severe injuries, both factors that increase insurance claims payouts.

Auto insurance rates are going up, and people want someone to blame. It is necessary to look at what auto insurance pays for. Costs for automobile replacement parts rose nearly 40% in the past five years. Vehicle repair costs are up by more than 21%, along with rising costs for medical care.

Auto insurance rates reflect these realities. Eliminating the use of credit-based insurance scores will have this effect: Drivers who deserve lower insurance rates (because their risk is lower) will not get them. There is a proven correlation between these scores and the likelihood of filing claims with higher costs.

To be clear, one’s driving record, driving experience and miles driven remain at the core of determining auto insurance premiums. But those factors only tell part of the story. Because insurers use a wide range of variables to assess risks, Illinois drivers benefit from one of the most competitive markets in the country. Premiums in Illinois are, on average, far lower than other populous states. Restricting the use of factors that effectively assess risk does not make the price of insurance decline.

Lynne McChristian, director, Office of Risk Management & Insurance Research, University of Illinois Urbana-Champaign

Landlords don’t have it easy either

The article in Sunday’s Sun-Times about cost burdened renters omits some critical facts about property owners. What isn’t mentioned is the extremely high costs associated with owning rental property, especially in Chicago. Ever-increasing taxes, utility rates, trash removal, maintenance and repairs are burdens that fall on property owners and landlords. Many of the rental units in Chicago are provided by “mom and pop” owners, not major corporations. Just like renters, these property owners are sometimes cost-burdened as well.

Joe Ferro, Garfield Ridge

Voters have to do their homework

After reading the Sun-Times editorial on becoming an educated voter, I can understand the frustration a lot of voters have. There are a lot of choices, and voters want to make the right decision.

Unfortunately, there’s not an easy solution. Most sources are going to be biased, so the key is to read a lot of different material, get everyone’s side on a particular candidate or issue and then make up your own mind on where the truth lies. Educate yourself. It’s not easy, but you’ve got to do your due diligence.

Tony LaMantia, Logan Square