Myth: I heard in the news that I will have to disclose my credit score when I apply for health insurance now that the Affordable Care Act is in place. Is this true, and will my score affect my premiums?
Reality: In recent days, an erroneous claim has been making the rounds in the news media regarding the Affordable Care Act and what consumers need to provide when applying. A news outlet in Florida claimed that consumers would need to provide their credit score when applying for insurance. The source of this claim was Anne Packham, a representative appointed by the state of Florida to clarify any confusion over the Affordable Care Act. After it was reported in the news, Packham took back that claim and said she had made a mistake.
The truth is that Experian, one of the big three credit reporting companies, is being utilized to verify insurance applicants’ identities. Credit scores are never taken into account, and credit scores are not being used to determine insurance premiums. It is still a good idea to improve your credit health because it can affect interest rates, approval for loans or credit cards, and even make a difference when applying for a job.
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