MI HB4594

Prohibits insurers from using credit information or insurance scores to deny, cancel, or nonrenew personal insurance policies under chapters 21, 24, and 26, though credit information may be used for premium payment options and availability.

Requires insurers to disclose that they may obtain credit information during the application process and prohibits use of income, gender, address, zip code, ethnic group, religion, marital status, or nationality in calculating insurance scores.

Prevents insurers from penalizing consumers who lack credit card accounts and requires that rate differentials based on absent credit information be filed with and approved by the Office of Financial and Insurance Regulation.

Mandates insurers use credit reports obtained within 90 days of applying an insurance score and allows consumers to request new credit reports and re-rating at annual renewal or during the policy period, with re-rating limited to once per 12-month period.

Restricts insurers from using non-consumer-initiated credit inquiries, insurance-related inquiries, multiple lender inquiries within 30 days, and medical collection accounts as negative factors in insurance scores calculated after the effective date.

Requires insurers taking adverse actions based on credit information to provide written notice with clear, specific reasons and applicable factors, with no more than 4 factors required and prohibits use of generalized terms like "poor credit history."