Michigan Governor Rick Snyder has signed a series of bills that will help insurance consumers by providing additional protections regarding the use of credit-based insurance scores, according to the Property Casualty Insurers Association of America (PCI).
"This is an important victory for consumers," said Jeffrey Junkas , regional manager for PCI. "Insurance scoring has been shown to benefit consumers and Michigan has strengthened it law by adding protections for individuals experiencing extraordinary life circumstances based on the National Conference of Insurance Legislators model act. This approach to insurance scoring is well established and brings Michigan into the mainstream as most state laws or regulations are based, in whole or in part, on the NCOIL model."
The package of insurance scoring bills (House Bills 4593, 4594, 4595, 4596 and SB 300) had broad bipartisan support. Michigan is one of the few states where insurance scoring is used only to provide discounts for insurance customers. Credit-based insurance scores are not used in Michigan to apply a surcharge or to determine whether a person can be insured by a company.
"Governor Snyder and legislative leaders are to be commended for working together across the aisle to advance these bills," said Junkas. "Insurance scoring works well for consumers in Michigan and with these changes it will provide another layer of safeguards."
Across the country the trend toward fewer insurance scoring bills continued. This year insurance scoring legislation advanced in only two states, Kentucky and Michigan. Both states made positive improvements by adopting NCOIL's extraordinary life circumstances language.
For more information on your insurance policy or insurance scoring, call Insurance Planning Service at 800-225-5582 or use our online contact form today!
Photo Source: Google+