Which law provides consumers rights regarding the denial of insurance based on credit report information?

The correct answer is the Fair Credit Reporting Act (FCRA). This law is designed to promote the accuracy, fairness, and privacy of information in the files of consumer reporting agencies. One of its key provisions is that it regulates how consumers can be treated based on their credit report information.

Under the FCRA, consumers must be informed if their credit report leads to an adverse action, such as denial of insurance coverage or a higher premium. Additionally, it mandates that individuals have the right to access their own credit reports and dispute inaccuracies. This transparency helps protect consumers from unfair treatment based on potentially flawed credit data.

Other options, while related to consumer protection, do not specifically address the denial of insurance based on credit report information. For instance, the Fair Consumer Act and the Truth in Lending Act focus more broadly on consumer rights and truth in lending practices, respectively, but lack the specific provisions regarding credit reporting. The Insurance Privacy Act deals with the privacy of personal information related to insurance but does not specifically cover the rights tied to credit reporting in the insurance context.