Money Management

In some states, it’s illegal for insurers to use a driver’s credit score to deny or cancel auto insurance coverage or set insurance rates. Find out where. [[{“value”:”

The rates drivers pay for auto insurance coverage vary. Factors like age, driving record, location, and vehicle type can influence the insurance rates. Another factor influencing auto insurance premium rates is an individual driver’s credit score.

But, in a few states, a driver’s credit score can’t impact their car insurance rates. Find out which U.S. states don’t allow insurers to use driver’s credit scores to determine insurance rates.

Insurers in many states use credit-based insurance scores

Maintaining a good credit score is wise. Your credit history and credit score can impact the rates available when applying for a loan, like a home mortgage. There are also other reasons it pays to have a good credit score. Some drivers may qualify for better auto insurance rates.

In most U.S. states, insurers can use credit-based insurance scores to determine drivers’ rates for auto insurance coverage. However, this isn’t a legal practice everywhere. Several states have legislation disallowing this. We’ll explain which states disapprove of this practice:

1. California

Car insurance companies aren’t allowed to use credit scores or a driver’s credit history for underwriting or rating proposes for auto insurance coverage.

2. Hawaii

Hawaii’s state laws prohibit insurers from using credit ratings to determine auto insurance policy prices. Insurance companies will consider other factors beyond credit for drivers in this state.

3. Maryland

In Maryland, car insurance companies can’t refuse to underwrite, cancel, refuse to renew, or increase the renewal premium based in whole or in part on the credit history of the insured or applicant. However, insurers can use a driver’s credit history when applying for new coverage to determine the rate for auto insurance coverage.

4. Massachusetts

Insurers in Michigan can’t use credit information or credit-based scores to determine rates when setting auto insurance rates, renewing an auto insurance policy, or underwriting a new policy.

5. Michigan

Insurers in Michigan can’t use credit information or credit insurance scores as the sole basis to deny, cancel, or not renew a personal auto insurance policy. Insurers can also not use a driver’s credit score to determine their auto insurance policy rate.

6. Oregon

In Oregon, insurers can’t cancel auto insurance coverage or refuse to renew a policy because of a driver’s credit. However, insurers can consider an applicant’s credit when deciding whether to initially offer an auto insurance policy to drivers, but it can’t be the only deciding factor.

7. Utah

Car insurance companies in Utah can consider a driver’s credit for initial underwriting, but credit score can’t be the only determining factor when deciding whether to offer a policy.

Once a driver is a customer for 60 days, the insurance company can’t use credit information to cancel or refuse to renew a policy or decline coverage if the driver requests to add a new vehicle to their policy.

What about drivers who don’t live in these states?

For drivers outside the states mentioned above, insurers can use credit-based insurance scores to determine auto insurance rates. That means drivers with lower credit scores could pay more for their insurance policies, which could impact their financial situation.

However, it’s worthwhile for drivers to review their state laws before applying for insurance coverage to know what to expect. Some drivers may be able to save money by getting a policy from one of the cheapest car insurance companies.

Whether you drive or not, maintaining good credit is smart. Your credit can impact many areas of your life. There are ways to increase your credit score if you have a low or limited credit score. Paying down outstanding debt and paying every bill on time are some actions that could help you improve your score. For additional financial tips, check out our personal finance resources.

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We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
The Ascent does not cover all offers on the market. Editorial content from The Ascent is separate from The Motley Fool editorial content and is created by a different analyst team.The Motley Fool has a disclosure policy.

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Do you have Delta SkyMiles Medallion status, or do you plan to earn it this year? Here’s what you’ll end up with in the process. [[{“value”:”

Delta’s SkyMiles frequent flyer program has four tiers of elite status, or Medallion status, as Delta calls it. As members progress through these levels, each one has more valuable benefits than the one before it.

With that in mind, here’s a quick guide to what you’ll get at each Medallion status level if you meet the requirements in 2024.

How to earn elite status on Delta’s SkyMiles program

While the ways to earn Delta SkyMiles elite status used to be rather complicated, the program has been streamlined to have one qualifying metric known as Medallion Qualification Dollars, or MQDs.

MQDs can be earned in a few different ways, such as by spending money on Delta flights, using certain cobranded Delta cards, and booking trips through the Delta Vacations portal. And to give you an idea of how much you’ll need to spend to earn status, here are Delta’s four Medallion status levels and the MQD requirements to earn each level in 2024. Note that each level will go into effect immediately upon reaching the MQD threshold and will last throughout the 2025 Medallion year.

Delta SkyMiles Silver Medallion: $5,000 MQDsDelta SkyMiles Gold Medallion: $10,000 MQDsDelta SkyMiles Platinum Medallion: $15,000 MQDsDelta SkyMiles Diamond Medallion: $28,000 MQDs

Keep in mind that you don’t have to earn this just by spending money on flights. With some of the Delta credit cards, you could get a significant status boost that could make a big difference.

Delta SkyMiles Medallion status benefits

To be sure, this isn’t an exhaustive list of the various benefits you can reap with SkyMiles elite status. But here’s a rundown of what you get as you reach each of Delta’s four levels.

Delta SkyMiles Silver Medallion

Silver Medallion status is Delta’s “entry level” elite status tier, but comes with some excellent perks.

An increased earnings rate of 7 miles per $1 spent on flights (Note: While MQDs qualify for status, Delta still uses miles to allow customers to earn free award travel.)Unlimited complimentary upgrades on U.S. travel, up to 24 hours prior to departureComplimentary upgrades to Delta Comfort+, starting 24 hours prior to departureComplimentary preferred seatsWaived fees for checked bagsPriority check-in and boardingHertz Five Star status

Delta SkyMiles Gold Medallion

Earn 8 miles per $1 spent on flightsUnlimited complimentary upgrades on U.S. travel, up to 72 hours prior to departureComplimentary upgrades to Delta Comfort+, starting 72 hours prior to departureComplimentary preferred seatsWaived fees for checked bagsPriority check-in and Sky Priority boardingPriority security line access and expedited baggage service, where availableHertz Five Star status

Delta SkyMiles Platinum Medallion

Earn 9 miles per $1 spent on flightsChoice benefits (one selection): members can choose from options like regional upgrade certificates, bonus miles, travel vouchers, and more.Unlimited complimentary upgrades on U.S. travel, up to 120 hours prior to departureComplimentary upgrades to Delta Comfort+, shortly after bookingComplimentary preferred seatsWaived fees for checked bagsPriority check-in and Sky Priority boardingPriority security line access and expedited baggage service, where availableHertz President’s Circle status

Delta SkyMiles Diamond Medallion

Earn 11 miles per $1 spent on flightsChoice benefits (three selections): Not only do Diamond members get more selections, but they can choose from enhanced benefits like global upgrade certificates, more valuable travel vouchers, and more.Unlimited complimentary upgrades on U.S. travel, up to 120 hours prior to departureComplimentary upgrades to Delta Comfort+, shortly after bookingComplimentary preferred seatsWaived fees for checked bagsPriority check-in and highest priority boardingPriority security line access and expedited baggage service, where availableFree membership to CLEAR® PlusHertz President’s Circle status

It’s also worth noting that while some of these benefits might sound similar from tier to tier, they can be far more valuable at the higher levels. Specifically, the unlimited complimentary first- and business-class upgrades prioritizes travelers by status level, so Diamond Medallion members are more likely to get upgrades than Platinum Medallion members, and so on.

The bottom line is that Delta SkyMiles Medallion status can be rather valuable to frequent travelers who are loyal to the airline, so keep these in mind as you’re planning flights and travel credit card spending in 2024.

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We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
The Ascent does not cover all offers on the market. Editorial content from The Ascent is separate from The Motley Fool editorial content and is created by a different analyst team.The Motley Fool has a disclosure policy.

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