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Ross Martin

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Ross joined The Zebra as a writer and researcher in 2019. He specializes in writing insurance content to help shoppers make informed decisions.

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Renata joined The Zebra in 2020 as a Customer Experience Agent. Since 2021, she has worked as licensed insurance professional and content strategist.…

How to find affordable homeowners insurance in Detroit

Home insurance is an important part of owning a home. Along with personal property, homeowners insurance covers your dwelling in the event of many perils, including theft, fire, wind damage, and vandalism. Incidents like this occur regularly. When paired with the high cost of repairing or rebuilding a home, investing in homeowners coverage can seem like a great idea.  The average homeowners policy costs $162 per month in Detroit, Michigan. This is higher than the national average price of home insurance.

The cost of home insurance is dependent on a number of factors. These include your dwelling's value, the value of your personal belongings, and the cost of the materials used to build your home. Your home's location can also impact how much you pay, as some locations are more prone to destructive hazards. If your area is at risk of being affected by hail, strong winds, fire, frozen pipes, or volcanic activity, then your premiums could be substantially higher than average. Discover more info about what is covered by a homeowners insurance policy.

If you want to find cheap home insurance in Detroit, get started by looking around and comparing policies. Have a look at the summary below comparing average Detroit home insurance costs to ensure you start your search with as much background info as possible. It's important to remember that the cost of your insurance policy is based on the coverage limits you choose as well as a variety of other factors.

Table of contents:
  1. Rates by insurer
  2. Rates by coverage amount
  3. Rates by ZIP code
  4. Rates by deductible amount
  5. Policy bundling savings


Detroit home insurance by company

What you pay for homeowners insurance in Detroit will depend on the insurance company you get your policy through. The most affordable home insurance in Detroit is AAA offering average annual rates of just $1,112 per year. This is considerably cheaper than the city’s average home insurance premium of $1,942.

Below you'll find a list of the cheapest homeowners insurance companies in Detroit, Michigan, to help you begin your search. Then, see our guide listing the best home insurance companies based on customer satisfaction and other factors.

Company Average Annual Rate
AAA $1,112
USAA $1,735
Allstate $1,847
State Farm $2,076
Liberty Mutual $2,191


Detroit homeowners insurance prices by coverage level

The amount of homeowners coverage you select has an impact on your insurance rates. In Detroit, carrying $200K dwelling coverage costs an average of $1,466 annually, while carrying additional coverage up to $400K costs $2,850 per year.

Coverage Level Average Annual Rate
$100,000 Dwelling $1,035
$200,000 Dwelling $1,466
$250,000 Dwelling $1,899
$400,000 Dwelling $2,850


Detroit home insurance rates by ZIP code

Not every area of Detroit has equal home insurance premiums. One of the factors that insurers use when pricing your policy is the number of claims filed in your surrounding area. As such, your neighborhood's location can dramatically impact your home insurance premium.

To find the cheapest home insurance premiums in the Detroit area, look no further than 48242. In the 48242 ZIP, homeowners coverage usually costs just $1,499 per year — a full $443 less than the Detroit average. If you’re looking for the areas with the most affordable homeowners premiums around Detroit, review the table below.

ZIP Code Average Annual Home Insurance Rate
48242 $1,499
48236 $1,512
48239 $1,532

Other areas of Detroit, however, face homeowners rates that surpass the citywide average. These areas might face a higher risk of perils such as severe weather and fires. Similarly, they may also have a higher rate of crimes such as burglary or vandalism. An average annual rate of $2,123 makes 48213 the most expensive ZIP code in Detroit for homeowners insurance.

ZIP Code Average Annual Home Insurance Rate
48213 $2,123
48211 $2,121
48205 $2,060


Detroit homeowners insurance deductibles

One of the many decisions to be made when shopping for homeowners policies is your deductible. A deductible is the amount for which a homeowner is responsible before an insurance company steps in to cover costs. Choosing where to set your deductible plays a significant role in how much you pay for your coverage.

When choosing a deductible, a good rule of thumb is that the lower your deductible, the higher your premiums. This means that those looking for lower rates will want to seriously consider a higher deductible. Remember that your deductible should not be set at an amount that you would have difficulty paying in the event of a loss.

The following table displays the average rates affiliated with standard home insurance deductibles.

Deductible Level Average Annual Homeowners Insurance Rate
$500 $2,062
$1,000 $1,899
$1,500 $1,777
$2,000 $1,648
$5,000 $1,335


Home and auto insurance bundling in Detroit

One way to save on insurance costs is to think about bundling your homeowners and auto insurance policies through the same company. Bundling homeowners and auto insurance can be a good money-saving option. In fact, bundling policies in Detroit can result in average annual savings of 17%.

Company Avg. Annual Auto Insurance Rate (With Bundle)
AAA $4,074
Progressive $4,314
State Farm $5,400
Allstate $7,152
American Family $1,090

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About The Zebra

The Zebra is not an insurance company. We publish data-backed, expert-reviewed resources to help consumers make more informed insurance decisions.

  • The Zebra’s insurance content is written and reviewed for accuracy by licensed insurance agents.
  • The Zebra’s insurance editorial content is not subject to review or alteration by insurance companies or partners.
  • The Zebra’s editorial team operates independently of the company’s partnerships and commercialization interests, publishing unbiased information for consumer benefit.
  • The auto insurance rates published on The Zebra’s pages are based on a comprehensive analysis of car insurance pricing data, evaluating more than 83 million insurance rates from across the United States.