UPDATED: MARCH 14, 2023 | 2 MIN READ
Michigan car insurance quotes are given based on many different things. They take your driving record, age, the vehicle you’re driving, and sometimes even your credit score into account. There are many things to know about auto insurance in Michigan, and we’re here to help you through the process.
Best Michigan Car Insurance Companies
There are many great options for auto insurance in Michigan. There are great options for you if you are looking for excellent customer service or great rates.
Cheapest Michigan Car Insurance Company
Auto-Owners offer the cheapest minimum-coverage insurance in Michigan. It’s only $107 a month or $1,282 yearly. That’s 71% less than the state average.
Company With the Best Customer Service
USAA has the best customer service in Michigan, according to J.D. Powers’ 2021 U.S Auto Insurance Study. They received a score of 895 out of 1,000, but they are only available for military families. Second in line is State Farm, with a score of 851 out of 1,000 according to J.D. Powers’ 2021 auto study.
Michigan Car Insurance With the Best Premium-Reducing Programs
GEICO has the lowest annual premium for car insurance in Michigan. On average, you pay $1,467 with many discount options available. However, according to J.D. Power, they do have lower-than-average customer service.
Michigan Car Insurance Company With the Discounts
Progressive offers cheap car insurance in Michigan that also provides many discounts. There are many discounts, such as signing online, safe driver, multi-car, and pay-in-full. You also have the option to bundle your car, health, or home insurance to receive even more discounts. Progressive offers a monthly rate of $170.
Local and Regional Insurance Carriers
Frankenmuth Insurance
With more than 150 years of history, regional carrier Frankenmuth Insurance offers Michiganers personal auto insurance with various protections. Their options include vehicle damage, towing coverage, property damage, accidental injury to others, and more.
Frankenmuth Insurance also offers all the insurance Michigan drivers need for the state’s auto insurance reform, including new property protection insurance coverage.
Drivers with collectible cars may also insure their cars with Frankenmuth Insurance. Auto insurance discounts include savings for multiple vehicles, payment plans, and loss history.
Pioneer State Mutual Insurance
Pioneer State Mutual Insurance operates solely in Michigan as an industry leader known for its 97% claim satisfaction rate. The agency’s customers may find no-fault auto insurance and policies to meet Michigan requirements.
These coverage options include protections such as bodily injury, property protection insurance coverage, property damage coverage, and personal injury protection. Drivers may also purchase collision coverage and comprehensive. Add-on upgrades and auto insurance discounts round out the company’s offerings.
Wolverine Mutual Insurance
Wolverine Mutual Insurance’s long-standing motto, for over 100 years, is “it’s covered.” Their policyholders know that when a disaster occurs, the insurance company handles it.
The company offers some of the best coverage options for Michigan drivers. auto insurance coverages from Wolverine Mutual Insurance include bodily injury liability, property damage liability, and everything else for optimal vehicle protection.
Discounts offered range from a new driver, safe driver renewal, multi-car, safety device, good student/good driver, and others, based on specific criteria.
Michigan Insurance Demographics
Insurers use demographics to determine car insurance rates in Michigan. Below are some of the demographics used when offering quotes:
- Crime Rates: Michigan has a higher-than-average violent crime rate overall. Generally, its safest cities, such as Spring Arbor Township and Gaines Township, have a low violent crime rate. Michigan’s property crime falls below the national average.
- Average Household Income: The average household income is $80,803. The median household income is $59,234.
- Median Age Range: The median age in Michigan is 40.4 years of age.
- Education: In 2019, 91% of residents had a high school diploma, and 30% were college graduates.
Common Risk Factors In Michigan
Common risk factors that increase car insurance rates in Michigan are:
- Racing
- At-fault accidents
- Speeding
- Reckless driving
- Property damage
- Distracted driving
Auto Insurance Laws In Michigan
There are auto insurance laws in Michigan that guide us in how we have to behave while operating a motor vehicle. If laws aren’t followed on the road, you face penalties, fines,s and even jail time.
What are the minimum car insurance requirements in Michigan?
Michigan car insurance is required for every car owner. You must have at least minimum coverage to comply with state laws. The minimum coverage you need to have in Michigan is:
- $20,000 per person bodily injury coverage
- $10,000 for property damage
- $40,000 per accident bodily injury coverage
- No-limit personal injury protection
- $1 million per accident for property protection insurance
Am I required to carry uninsured motorist coverage in Michigan?
No, you’re not required to have uninsured motorist insurance. It does protect you, however, if you’re in an accident with someone without insurance. It is optional coverage if you want it.
Michigan SR-22 policies
If you’ve had a DUI or any other serious convictions, you must get an SR-22. Your insurer issues the form to ensure you have insurance. Unfortunately, it’s not always possible to find cheap SR-22 insurance.
Is Michigan a no-fault state?
Yes, Michigan is a no-fault state. If you’re in an accident, your insurer pays the medical expenses incurred, whether it’s your fault or not. You also receive compensation for lost wages and direct expenses from the accident.
What happens if my vehicle isn’t properly insured in Michigan?
You must carry a minimum amount of car insurance in Michigan. Driving without insurance is illegal, and there are consequences. You face penalties, fines, and even jail time if it’s your second offense.
Does Michigan accept digital insurance cards?
Michigan now allows you to show a digital insurance card if you are pulled over at a traffic stop.
How Much Does Car Insurance In Michigan Cost?
The average cost of auto insurance in Michigan is $4,386 yearly or $366 monthly. Full coverage costs $7,191 annually or $596 monthly. It all depends on the insurer you choose and your driving record.
Average Cost By City
The cost differs depending on your city. Below are great examples of the differences in cost based on the city you live in.
| City | Average Cost | Difference From Average |
|---|---|---|
| Ann Arbor | $1,884 | -20% |
| Dearborn | $3,505 | 33% |
| Detroit | $4,401 | 47% |
| Grand Rapids | $1,878 | -25% |
| Kalamazoo | $1,845 | -27% |
Average Cost of By Company
The cost differs depending on the insurer you choose. Not all insurance companies are created equal, and many have different policies that change insurance costs.
| Company | Average Cost | Difference Form Average |
|---|---|---|
| AAA | $501 | $1,832 |
| Geico | $552 | $1,230 |
| MetLife | $460 | $1,829 |
| Progressive | $818 | $1,664 |
Average Cost By Age
Age is another factor that affects your rates. Younger drivers often pay more for auto insurance in Michigan than older drivers.
| Age | Average Full-Coverage Premium (Annually) |
|---|---|
| Age 16 | $3,403 |
| Age 17 | $3,122 |
| Age 20 | $5,746 |
| Age 22 | $4,106 |
| Age 25 | $3,031 |
| Age 30 | $2,771 |
| Age 35 | $2,725 |
| Age 40 | $2,309 |
| Age 60 | $2,342 |
Average Cost By Gender
Gender sometimes affects the cost of your auto insurance in Michigan. In this case, women in Michigan are paying a little more for insurance than men.
| Gender | Average Full-Coverage Premium (Annually) |
|---|---|
| Male | $2,495 |
| Female | $2,550 |
Average Cost By Credit Score
Surprisingly, your credit score does affect your car insurance in Michigan. Statistically, insurers believe that people with excellent credit scores are better drivers.
| Credit Score | Average Annual Rates |
|---|---|
| Poor | $6,300 |
| Fair | $4,575 |
| Good | $3,575 |
| Very Good | $2,715 |
| Great | $2,100 |
Average Cost By Driving Record
Your credit score is a big factor when determining your car insurance in Michigan. If you have a terrible driving record, you’re likely to pay a lot more for Michigan auto insurance.
| Driving Incident | Average Full-Coverage Premium (Annually) | % Increase In Average Full-Coverage Premium |
|---|---|---|
| Speeding Ticket | $2,800 | 16% |
| Accident | $3,435 | 32% |
| DUI/DWI | $6,245 | 166% |
What Optional Michigan Auto Insurance Coverages Should You Consider?
These are a few of the optional coverages available to you in Michigan:
- Uninsured driver coverage
- Glass coverage
- Medical payments
- Rental car coverage
- Roadside assistance
- Comprehensive coverage
- Collision coverage
What Auto Insurance Discounts To Look For In Michigan
There are many discounts for auto insurance in Michigan based on the car you own, how you drive, and the insurer you choose. There are safe driver discounts, new driver discounts, multi-car discounts, and bundling discounts, just to name a few.
FAQs
How much is car insurance monthly in Michigan?
The average cost of auto insurance in Michigan is $4,386 yearly or $366 monthly.
What do I need to get car insurance in Michigan?
You’re eligible for car insurance if you have a car registered in Michigan or have a valid Michigan driver’s license.
How can I lower my car insurance in Michigan?
The best way that you’re able to lower your car insurance is to be a good driver. There are also many discounts available depending on your insurer that lowers your premium.
What city has the cheapest car insurance in Michigan?
Kalamazoo is the city with the least expensive car insurance in Michigan. On average, it costs $1,182 yearly.
How much is insurance for a new driver in Michigan?
On average, a new driver pays $3,403 yearly for car insurance in Michigan.
How To Purchase Michigan Car Insurance?
Shopping for car insurance doesn’t have to be a hassle. You can compare rates and find the best policy in minutes by picking up the phone or completing our rate comparison form. So what are you waiting for? Get started today and see how much you could save on your premium.
