Auto insurance is expensive in Michigan. The average car insurance rate in Michigan is $3,096 per year — twice as expensive as the national average, making it the most expensive state in America for car insurance.
Your car insurance costs are impacted by more than just the state in which you live. Car insurance premiums incorporate an array of considerations, including your driving record, credit history, gender, age, and marital status.
We reviewed average Michigan car insurance rates by each of the most common rating factors. See below how much car insurance costs in your state — or enter your ZIP code to receive compare rates from top car insurance companies.
Drivers with good driving records typically enjoy lower car insurance costs than drivers with histories of speeding tickets, at-fault accidents, or DUI citations. Michigan drivers without a recent at-fault accident typically save 57% on their car insurance premiums — 7% more than the national average. In addition to earning a cheaper premium for driving incident-free, you may qualify for a safe-driving bonus through your car insurance company. The amount of these discounts may vary, but they typically run between 5 and 10%.
MICHIGAN CAR INSURANCE AVERAGE SAVINGS FOR GOOD DRIVERS
Rating Factor
$ Savings
% Savings
No Traffic Tickets
$1,919
61.98%
No Accidents
$1,772
57.24%
Good Credit
$4,175
94%
Car insurance rates by age bracket in Michigan
Young drivers — aged between 16 and 25 — pay very high car insurance rates, with those aged 16-19 paying the most expensive premiums of all. Because of the risk presented by inexperienced drivers, teen drivers pay more than three times the national average for car insurance. Michigan is an extraordinarily expensive state in which to insure a teen driver: the average teen will pay $8,820 per year in Michigan, compared to the annual national average of $5,023.
MICHIGAN CAR INSURANCE RATES BY AGE GROUP
Age
Annual Average Premium
16
$11,442
17
$9,226
18
$8,234
19
$6,379
20s
$3,820
30s
$3,125
40s
$3,092
50s
$2,900
60s
$2,936
70s
$3,386
Average car insurance costs by gender in Michigan
While gender doesn’t have as sizable an impact on auto insurance rates as location or age, it is used as a rating factor by car insurance companies.
MICHIGAN AUTO INSURANCE PREMIUMS BY GENDER
Gender
Average Yearly Premium
Male
$3,096
Female
$3,164
Average car insurance rates by marital status in Michigan
One benefit of getting hitched — aside from the wedding gifts — is the slight price cut you typically receive on insurance. In Michigan, married motorists save $37 each year on car insurance policies — much less than the national post-nuptial discount of $98.
MICHIGAN CAR INSURANCE PREMIUMS BY MARITAL STATUS
Marital Status
Average Annual Premium
Single
$3,096
Married
$3,059
Divorced
$3,096
Widowed
$3,096
Average auto insurance costs in Michigan by credit history
Car insurance companies reference credit history as a way of determining a potential customer's insurability. Historical data show drivers with superior credit are usually more reliable auto insurance customers: they less commonly file claims insurance companies have to reimburse.
In the state of Michigan, a driver who carries excellent credit saves over $6,300 each year on car insurance rates, contrasted with a driver with a poor credit score.
MICHIGAN CAR INSURANCE RATES BY CREDIT LEVEL
Credit Tier
Average Annual Premium
Very Poor (300-579)
$8,640
Fair (580-669)
$5,926
Good (670-739)
$4,465
Very Good (740-799)
$3,338
Exceptional (800-850)
$2,326
What are the Best Car Insurance Companies in Michigan?
Every auto insurer emphasizes its low costs. But as with any product or service, the cheapest car insurance is not always the best idea. Considering the stakes, it's worth doing your due diligence to retrieve an insurance policy that protects your car adequately after an accident. Work to find the best value, rather than settling for the most affordable car insurance in your state.
Compare top auto insurers' financial strength and claims satisfaction ratings to better understand the level of service they'll provide. Claims satisfaction — assigned by J.D. Power — is ranked on a scale of 2 to 5, with 5 being "among the best" and 2 being "the rest." Financial strength — calculated by A.M. Best and ranging from "Superior" to "Poor" — measures an insurance company's financial strength and ability to satisfy its policy and contractual obligations.
Insurance Company
Claims Satisfaction (J.D. Power)
Financial Strength (A.M. Best)
Allmerica
Not Rated
Excellent
Allstate
3
Superior
Auto Club Group
3
Excellent
Chubb
Not Rated
Superior
Esurance
2
Superior
Farmers
3
Excellent
GEICO
3
Superior
Hanover
3
Excellent
Hastings Mutual
Not Rated
Excellent
MetLife
3
Superior
Nationwide
3
Superior
Progressive
3
Superior
Safeco
3
Excellent
State Farm
3
Superior
USAA
5
Superior
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What is the Best Car Insurance Coverage in Michigan?
The mandated minimum amount of insurance in Michigan is $20,000 Bodily Injury per person, $40,000 Bodily Injury per accident, and $10,000 Property Damage per accident.
For the legal minimum coverage level in Michigan, you could owe about $1,745 yearly. This expenditure is more costly than the nationwide average by 181%. If you opt for a higher level of car insurance coverage, you can select a policy with comprehensive and collision coverage, insuring against the costs of car-vs.-car collisions, theft, or weather conditions. Better insurance comes at a price: in Michigan, a comprehensive policy with a $1,000 deductible costs $2,832, 62% more than the minimum insurance coverage. For a comprehensive policy with a $500 deductible, expect to pay 77% more than for a basic policy.
Examine average expenditures for basic, better, and best policy levels in the table below.
Location
Liability-Only
Comprehensive — $1,000 Deductible
Comprehensive — $500 Deductible
Michigan
$1,745
$2,832
$3,096
National Average
$621
$1,373
$1,868
Car Insurance Laws
State minimum insurance requirements in Michigan
In Michigan, the state minimum coverage requirements are as follows:
Liability
Bodily Injury $50,000 per person
Bodily Injury $100,000 per accident
Property Damage $10,000 per accident (in another state)
Personal Injury Protection
As of July 2020, the state of Michigan has changed the required amounts of PIP coverage. The following options are now available:
Unlimited
$500,000
$250,000
$50,000 (lowest option available for Medicaid recipients)
Opt-out (available only for those with qualifying health care plans)
Property Protection Insurance
$1,000,000 per accident
Optional coverage in Michigan (varies by carrier):
Car insurance is costly in Michigan for a few reasons:
The state requires very high insurance limits. This includes unlimited and lifetime PIP coverage.
The way benefits are set creates a system that is easily corrupted by fraudulent claims and extraneous litigation.
Because car insurance is so expensive, drivers tend to drop coverage and drive uninsured.
Every driver is required to pay the Michigan Catastrophic Claims Association (MCCA) fee to fund medical treatment for victims of car crashes in the state. This fee can be as much as $170 per car, per year. These fees help fund medical services such as attendant care, which may be required as a result of an injury.
How much does car insurance cost in Michigan cities?
Car insurance companies calculate your rate based on many factors, location of the vehicle being an important one. The cheapest car insurance is found in Kalamazoo, Michigan, and the most expensive in Detroit, Michigan.
Not having a personal auto policy doesn't necessarily always categorize you as high-risk, but potential insurers will see your lack of one as a lapse — which will, in turn, make your rate more expensive. Learn more about how a lapse can affect your premium here. Generally, insurance companies will not accept business or commercial insurance as proof of prior insurance.
If the excluded driver was driving but another party hits them, the at-fault party is still responsible for paying for the damages. Had the accident been caused by an excluded driver, the insurance company is under no obligation to honor that claim.
I think it's worth trying to resolve it because a better driving record can help your rate quite a bit. If multiple insurance companies are showing that you have these tickets, then I would call the state and see what they have on your license — this could simply be an error.
I would only put the title in one name — whoever will own and register the vehicle. Putting two people on the title may only complicate things unnecessarily and make it harder to sell.
Up to 93 days in jail $100 to $500 in fines $1,000
Driver Responsibility Fee
License suspension for 30 days
Possible requirement to perform 360 hours of community service
Possible vehicle immobilization
Possible requirement to install and use an ignition interlock device
Six points added to driving record
How Do Tickets Impact Car Insurance Rates in Michigan?
When you receive a ticket your car insurance costs will probably go up. How much your rates rise depends on the type of violation, your car insurance company's pricing standards, and differences in local insurance risks and regulations. That's why tickets may have a different impact on insurance in your state compared to the national average.
Below is a look at typical auto insurance rates in Michigan after a few common citations.
Violation
Avg. Annual Auto Insurance Rate
% Insurance Rate Increase
$ Insurance Rate Increase
Hit and Run
$9,369
203%
$6,273
Refused Breathalyzer/Chemical Test
$9,158
196%
$6,062
DUI
$9,158
196%
$6,062
Racing
$9,172
196%
$6,076
Reckless Driving
$9,369
203%
$6,273
Driving with a Suspended License
$7,878
154%
$4,782
At-Fault Accident
$4,868
57%
$1,772
Driving with an Open Container
$5,070
64%
$1,974
Operating a Vehicle Without Permission
$4,049
31%
$953
Passing a School Bus
$4,599
49%
$1,503
Improper Passing
$4,391
42%
$1,295
Following Too Closely
$4,356
41%
$1,260
Speeding
$5,015
62%
$1,919
Failure to Stop at a Red Light
$4,071
31%
$975
Illegal Turn
$4,036
30%
$940
Driving Wrong Way/Wrong Lane
$4,036
30%
$940
Failure to Yield
$4,070
31%
$974
Speeding in a School Zone
$4,208
36%
$1,112
Driving Too Slowly
$4,142
34%
$1,046
Distracted Driving
$3,936
27%
$840
Driving with Expired Registration
$3,423
11%
$327
Failure to Show Documents
$3,423
11%
$327
Not-at-Fault Accident
$3,196
3%
$100
Failure to Use Child Safety Restraint
$3,198
3%
$102
Failure to Wear a Seat Belt
$3,198
3%
$102
Driving Without Lights
$3,127
1%
$31
Michigan Tour Guide Scholarship
At The Zebra, we know better than most just what a pain buying car insurance can be. We also know that students suffer from higher-than-average policy rates. Talk about a double-whammy. That’s why, this year, we’ve decided to continue The Zebra’s annual scholarship with the goal of helping to alleviate the financial pressures of college-bound students in the Michigan area, while also getting an insider view of the Great Lakes State.
Prompt
So, students, we want to see your favorite road trip destination(s) in your state— from your unique perspective. If it makes sense to hit the open road and be our virtual tour guide, that's great! But there are no limits to what we're looking for: a narrated animation, a slideshow of memorabilia, an illustrated map of the best roadside attractions on the way. This is a chance for you to showcase any place you love in as an original way as possible.
How do I choose a location?
The length of the road trip to your feature destination is inconsequential. So if you have an awesome spot in mind that's just two miles from home, we want to see it.
Qualifications
Applicants must be currently enrolled at or planning to attend a four-year university, graduate program, community college, or trade school located in the continental United States. Upon notification, winner(s) must supply a current proof of enrollment or letter of acceptance.
your name, address, and phone number when you submit
Details
Award
Selected winner(s) will be awarded a check for $1,000
Deadline
Applications must be received by 11:59 p.m. CST on December 31st, 2020
Notification
Winner(s) will be selected and notified by email by January 31st, 2021
Judges: The Zebra
The winner will be selected based on creativity in the content and presentation
*Upon notification, winner(s) must also supply a current proof of enrollment at a four-year university, graduate program, community college, or trade school located in the continental United States.
Fine Print
By participating, entrants represent that the video submitted is their sole and original work and does not infringe the intellectual property rights of any other party. In other words, no copyrighted music or images may be used.
Employees of The Zebra and their immediate family members are not eligible to participate in the contest.
Written credits for any technical or talent positions (e.g., editor, director, actors) should be included with your submission, along with any sources used to create the video.
Kristine is a licensed insurance agent and one of The Zebra’s in-house content strategists. With a background in copywriting, she covers the ins and outs of the home and car insurance industries. She has contributed to numerous publications focused on the nuances of insurance, including Automoblog, USInsuranceAgents.com, and BestCompany.com.
