Which act requires insurers to disclose when an applicant's credit history is being reviewed?

The Fair Credit Reporting Act, established in 1970, mandates that insurers inform applicants if they are reviewing their credit history as part of the underwriting process. This act was designed to promote fairness and accuracy in the information contained in consumer credit reports. It ensures that individuals are aware that their credit history can impact their eligibility for insurance coverage and that they have a right to dispute any inaccuracies in their credit report. By requiring disclosure, it aims to protect consumers and provide transparency in the underwriting process.

The other options, while important in their own rights, do not specifically pertain to the disclosure of credit history by insurers. The Affordable Care Act primarily focuses on health insurance reforms and consumer protections related to health care coverage. The Insurance Information and Privacy Protection Act deals with insurers’ practices regarding the collection and dissemination of personal information but does not explicitly address credit history disclosures. The Consumer Protection Act generally aims at preventing unfair business practices and protecting consumer rights, but it is not specifically targeted at credit reporting issues within the insurance industry.