The state of Michigan has filed an appeal of a judge’s ruling that allowed insurance companies to continue using customers’ credit scores to determine their home and automobile insurance rates. Attorneys for the state, as expected, filed an appeal Monday with the Michigan Court of Appeals.
Barry County Circuit Court Judge James Fisher ruled last month that state Insurance Commissioner Linda Watters overstepped her authority when she filed new rules reducing base rates and barring insurance companies from providing discounts to policyholders with good credit ratings.
The insurance industry filed a lawsuit to stop the new rules, which were to take effect July 1.
Most large insurers in Michigan use some form of credit scoring. Generally, the better one’s credit score, the lower a customer’s insurance premium will be. One with a worse score usually pays a higher rate.
Copyright 2005 Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.
Topics Michigan
Was this article valuable?
Here are more articles you may enjoy.
Munich Re Unit to Cut 1,000 Positions as AI Takes Over Jobs 
Florida Engineers: Winds Under 110 mph Simply Do Not Damage Concrete Tiles 
Two-Thirds of Independent Agencies Plan to Increase AI Use This Year, Survey Says 
Former Broker, Co-Defendant Sentenced to 20 Years in Fraudulent ACA Sign-Ups 
