A series of new laws have taken effect in Michigan that how insurance companies can use a person’s credit information.
The laws passed last session went into effect March 28.
Under one of the measures, insurers can’t use people’s credit information to deny, cancel or refuse to renew their car, home or other personal insurance policies.
Insurers will also be required to notify a person if they raise charges or reduce coverage based on the customer’s credit information.
The use of credit scores by insurers to set rates has long been a debate in Michigan.
Then-Democratic Gov. Jennifer Granholm tried to ban the practice, but the Michigan Supreme Court upheld the practice in 2010.
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