Fair Housing

In Wyoming, an insurance company that charges higher homeowner's insurance rates in neighborhoods based on their racial composition may be violating:

AOnly state insurance regulations
BThe Fair Housing Act's provisions covering the provision of property insurance✓ Correct
COnly the Civil Rights Act of 1964
DNo law since insurance is not a real estate transaction

Explanation

The Fair Housing Act covers the provision of homeowner's insurance as part of the financing and sale of housing. Insurance companies that practice 'redlining' by denying coverage or charging higher rates based on neighborhood racial composition may violate the FHA.

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