Compare the best rates from 34 car insurance companies in Michigan.
Auto insurance is expensive in Michigan. The average car insurance rate in Michigan is $3,096 per year — twice as expensive as the national average, making it the most expensive state in America for car insurance.
Your car insurance costs are impacted by more than just the state in which you live. Car insurance premiums incorporate an array of considerations, including your driving record, credit history, gender, age, and marital status.
We reviewed average Michigan car insurance rates by each of the most common rating factors. See below how much car insurance costs in your state — or enter your ZIP code to receive compare rates from top car insurance companies.
Learn more about Michigan's July 2020 car insurance law modifications.
Want to see more rates? Enter your ZIP code below to compare quotes from over 30 insurance companies that provide coverage in Michigan.
Drivers with good driving records typically enjoy lower car insurance costs than drivers with histories of speeding tickets, at-fault accidents, or DUI citations. Michigan drivers without a recent at-fault accident typically save 57% on their car insurance premiums — 7% more than the national average. In addition to earning a cheaper premium for driving incident-free, you may qualify for a safe-driving bonus through your car insurance company. The amount of these discounts may vary, but they typically run between 5 and 10%.
|Rating Factor||$ Savings||% Savings|
|No Traffic Tickets||$1,919||61.98%|
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.
|Age||Annual Average Premium|
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.
|Gender||Average Yearly Premium|
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.
|Marital Status||Average Annual Premium|
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.
|Credit Tier||Average Annual Premium|
|Very Poor (300-579)||$8,640|
|Very Good (740-799)||$3,338|
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)|
|Auto Club Group||3||Excellent|
|Hastings Mutual||Not Rated||Excellent|
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 — $500 Deductible|
In Michigan, the state minimum coverage requirements are as follows:
As of July 2020, the state of Michigan has changed the required amounts of PIP coverage. The following options are now available:
First-time OWI offenses in Michigan result in:
When you receive a ticket your car insurance costs will probably go up. How much your rates rise depends on the type of violation, your car insurance company's pricing standards, and differences in local insurance risks and regulations. That's why tickets may have a different impact on insurance in your state compared to the national average.
Below is a look at typical auto insurance rates in Michigan after a few common citations.
|Violation||Avg. Annual Auto Insurance Rate||% Insurance Rate Increase||$ Insurance Rate Increase|
|Hit and Run||$9,369||203%||$6,273|
|Refused Breathalyzer/Chemical Test||$9,158||196%||$6,062|
|Driving with a Suspended License||$7,878||154%||$4,782|
|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|
|Following Too Closely||$4,356||41%||$1,260|
|Failure to Stop at a Red Light||$4,071||31%||$975|
|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|
|Driving with Expired Registration||$3,423||11%||$327|
|Failure to Show Documents||$3,423||11%||$327|
|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|
It is very difficult to find cheap insurance in Michigan. Our data shows Safeco with the cheapest rate at $368 per year. Your best bet for finding insurance in Michigan is using our comparison tool to see local and national companies to compare rates.
Car insurance is costly in Michigan for a few reasons:
Restructuring insurance laws has been a big legislation pain point for Michigan's government. At this time, there has been no changes to the state's insurance requirements or costs.
Yes — car insurance is required in Michigan.
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.
|Rank||City||Avg. Annual Premium|
|10||St. Clair Shores||$3,707|