Is Car Insurance Cheaper in Michigan or Texas?

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By Ross Martin

Updated September 23, 2023

Edited By Kristine Lee

Comparing auto insurance in Michigan and Texas

If you are relocating from Michigan to Texas, you might be focusing on the major concerns and big expenses: contracting a trustworthy long-haul moving company, getting a new apartment or house in your new locale, and arranging your interstate move.

With all of this going on, it can be easy to forget the details. Auto insurance coverage is just a detail, but it's an important one. To find a good deal and stay street legal, plan to update your policy — or find a new insurance company — when you move between states.

Read our guide to auto insurance in Michigan versus Texas and take the strain out of your move. We'll cover the following topics:

Insurance cost comparison
Rates by coverage level
Cheap companies by state
Rates by city
Additional resources

Michigan vs. Texas car insurance — which is cheaper?

Expect to pay less for auto insurance once you move. The average annual auto insurance rate in Texas is $569 cheaper than the average cost in Michigan. Keep in mind this cost depends on your coverage level, driving and insurance history, and your auto insurance company.

CAR INSURANCE PREMIUMS IN MICHIGAN VS. TEXAS

State	Average Annual Premium
Michigan	$2,694
Texas	$2,125

Auto insurance premiums by coverage level

How much you spend on auto insurance depends on how you use your vehicle and how much protection you want from your policy.

If you go with state minimum liability coverage, you'll carry medical payment, bodily injury, and property damage liability coverages, plus uninsured and underinsured driver coverage and personal injury protection in some states.

CAR INSURANCE PREMIUMS FOR BASIC LIABILITY COVERAGE IN MICHIGAN vs. TEXAS

State	Period	Premium
Michigan	Annual	$1,368
Texas	Annual	$782
Michigan	6-Month	$684
Texas	6-Month	$391
Michigan	Monthly	$114
Texas	Monthly	$65

Electing to carry full-coverage car insurance will raise your rates, but you'll get the added protection of collision and comprehensive coverage levels, plus perks like rental car reimbursement and roadside assistance. The primary pro of full coverage car insurance is that it covers you and your car more completely than does minimum liability coverage. If you're motivated to protect your investment, full coverage is recommended.

AUTO INSURANCE PREMIUMS — FULL COVERAGE IN MICHIGAN vs. TEXAS

State	Period	Premium
Michigan	Annual	$2,336
Texas	Annual	$2,120
Michigan	6-Month	$1,168
Texas	6-Month	$1,060
Michigan	Monthly	$195
Texas	Monthly	$177

Cheap auto insurance companies in Michigan and Texas

A major contributor to your auto insurance costs is your choice of car insurance company. Insurance companies assign rates in a variety of ways, resulting in substantial variations in pricing. Location plays a role, too: some regional companies only sell policies in certain states, while major insurance companies shift rates by state.

When swapping states, you should try to find the best cheap car insurance company selling policies in your new location. Start researching below with our list of the five cheapest car insurance companies in Michigan and Texas.

AFFORDABLE CAR INSURANCE COMPANIES IN MICHIGAN

Insurance Company	Average Annual Rate
SAFECO	$368
USAA	$968
GEICO	$1,013
MetLife	$1,337
Chubb	$1,400

See additional affordable auto insurance companies in Michigan.

CHEAP CAR INSURANCE COMPANIES IN TEXAS

Insurer	Average Annual Rate
Travelers	$1,031
USAA	$1,106
Texas Farm Bureau	$1,223
Germania Mutual	$1,269
Esurance	$1,393

See more cheap auto insurance companies in Texas.

Car insurance rates by city in Michigan and Texas

While car insurance is legislated at the state level, insurance companies price rates by ZIP code to account for unique factors such as density and the likelihood of a crash. The location to which you relocate will play a major role in deciding how much you pay for auto insurance.

See below car insurance rates in major cities in Texas and Michigan.

AUTO INSURANCE RATES BY CITY IN MICHIGAN

City	Average Annual Rate
Detroit	$4,911
Grand Rapids	$2,230
Warren	$3,356
Sterling Heights	$2,984
Lansing	$2,415

See a more comprehensive list of car insurance rates in Michigan cities.

CAR INSURANCE PRICES BY CITY IN TEXAS

City	Average Annual Rate
Houston	$1,872
San Antonio	$1,705
Dallas	$1,874
Austin	$1,643
Fort Worth	$1,637

Looking for another city's data? View car insurance rates in other Texas cities.

More information on relocating from Michigan to Texas

When you move from Michigan to Texas, you'll face new rules of the road, potentially different SR-22 rules, and more. Ensure your move is as easy as possible with our collection of information on your new home:

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 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.

Car Insurance Comparison: Michigan vs. Texas

Ross Martin

Kristine Lee