Insurer Drops Discounts for Churchgoers in Fair Housing Settlement
The GuideOne Mutual Insurance Co. has agreed to drop special discounts for churchgoers as part of a settlement with the U.S. Justice Department.
The government complaint alleged the Iowa insurer violated the Fair Housing Act by offering the discounts to renters and homeowners who were “churchgoers” and “persons of faith,” according to a press release. The Kansas City Star had the story.
According to the complaint, the insurer’s special “FaithGuard” endorsement waived deductibles for policyholders who got into accidents going to or from church services and doubled medical limits for policyholders injured in church-related activities in their home, the Star reports. The policy also paid church donations up to $740 when a policyholder injured at home had lost income.
GuideOne did not admit fault under the settlement. Besides agreeing to stop the alleged discriminatory practices, the insurer agreed to pay $29,500 to three discrimination complainants, and an additional $45,000 to the government as a civil penalty.
