Is it true that Farmers insurance requires SSN for new policies?

Question

I'm changing my auto ins to Farmers INS and at my surprise, the agent asked for my SSN. I was also shown the memo from Farmers INS that it was effective since Nov 19th, 2006 to comply with (California) state security laws.

Does this sound right? I never had an auto ins company asked me for my SSN to be their client. Does anyone else have been asked for SSN from your auto ins company?

Thanks

Answer 1

A lot of insurance companies check your credit score, so that could be the reason they're asking for your social security number.

Answer 2

Sorry, never heard and ask them what is the reason? Auto insurance to require only ID or driver license and registration.

Answer 3

I can't even get a quote for price of auto insurance without handing over both mine AND my husband's ssn !

So standard practice around here - I went to 3/4 different auto insurance companies as well.

Answer 4

Insurance varries from state to state in PA we do not REQUIRE a SSN, we ASK for it, but legally cannot REQUIRE it.

I researched a little on the internet for CA laws requiring SSN and I was unable to find something for that date of 11/19/06, but I did find this below (I also included the link which can take you to other pages for CA laws).

Must I give my Social Security number to private businesses?

Usually, no, you do not have to provide your Social Security number. You are not legally required to provide your SSN to private businesses — including private health care providers and insurers — unless you are involved in a transaction in which the Internal Revenue Service requires notification. (MediCal and Medicare are government health plans and can require a Social Security number.)

There is no law, however, that prevents businesses from requesting your SSN, and there are few restrictions on what businesses can do with it. However, even though you are not required to disclose your SSN, the business can refuse to provide you with service if you refuse to give it.

If a business insists on knowing your SSN when you do not see a reason for it, we encourage you to speak to a manager who may be authorized to make an exception or who may know whether company policy requires it. If the company will not allow you to use an alternate number such as your driver’s license number, you may want to take your business elsewhere