Detroit car insurance costs an average of $5,471 per year, the same as the state of Michigan. The cheapest widely-available insurer for the average driver is GEICO, but MoneyGeek also analyzed the cheapest options across coverage levels and different types of drivers. For those looking to balance affordability with quality service, MoneyGeek rated the best companies in Detroit.
bestauto insuranceDetroit2021The Cheapest and Best Car Insurance in Detroit
The Cheapest Car Insurance Companies in Detroit
The companies with the most affordable average rates for a full coverage auto insurance policy in Detroit are:
- USAA: $1,424 per year (only available to current and former military)
- GEICO: $2,728 per year
The most affordable car insurance company in Detroit is USAA, which only serves military personnel and their family members. The next cheapest option is GEICO. Their coverage is about six times less expensive than coverage with Farmers, Detroit’s costliest auto insurance provider.
To conduct this study, MoneyGeek gathered average insurance rates in Detroit for a sample driver with a full coverage policy, which includes both liability and comprehensive and collision insurance.
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- CompanyAmountper year
- 1.$1,424
- 2.$2,728
- 3.$2,903
- 4.$3,041
- 5.$3,090
Average Cost of Car Insurance in Detroit
Detroit$5,471
Michigan$5,471
U.S.$1,424
The average annual car insurance cost in Detroit is $5,471. This amount is about 284.1% more than the national average and the same as that of the Michigan average. You can find cheap coverage in Michigan by getting a personalized quote.
The Best Car Insurance Companies in Detroit
MoneyGeek ranked the best companies in the city to help Detroit drivers looking for an auto insurance carrier that balances affordability and quality service. Based on MoneyGeek’s study, the best car insurance companies in the city for most drivers are:
- Hartford: MoneyGeek score of 88 out of 100
- Auto-owners Insurance Co: MoneyGeek score of 88 out of 100
USAA received the highest score in Detroit by MoneyGeek's rating system. However, because USAA is only available to military members, veterans and their families, it is not listed as best overall.
To calculate the final scores out of 100, MoneyGeek used various factors. These include J.D. Power user satisfaction, affordability and financial stability.
1
USAA
Score:100
2
Hartford
Score:88
3
Auto-Owners Insurance Co
Score:88
4
GEICO
Score:88
5
Cincinnati Insurance Companies
Score:88
6
Country Financial
Score:85
7
State Farm
Score:85
8
Farm Bureau Ins of MI
Score:83
9
Nationwide
Score:83
10
Esurance
Score:83
11
Grange
Score:80
12
Progressive
Score:80
13
Allstate
Score:80
14
American Family
Score:80
15
Travelers
Score:80
16
MetLife
Score:80
17
Farmers
Score:78
18
Hanover
Score:75
19
Liberty Mutual
Score:75
20
AAA
Score:75
21
Safeco
Score:73
Personalized Quotes to Get You the Cheapest Car Insurance in Detroit
To calculate car insurance quotes in any city, auto insurance companies consider several factors like age, gender, ZIP code, driving experience and more. In Detroit, an Auto-Owners Insurance Company policy for an 18-year-old driver is roughly double the cost of the policy for a 40-year-old driver. Drivers should obtain a personalized quote regularly to improve their chances of finding cheap coverage.
Shopping around for car insurance in Detroit could save you $2,743, which is enough to buy:
914Cups of Coffee
211Months of Your Favorite Streaming Service
Cheapest Car Insurance in Detroit by Coverage Amount
In Detroit and elsewhere, one of the most important factors determining the cost of a policy is the amount of coverage that you buy. For instance, a policy that only meets the state minimum costs an average of $3,688 per year. On the other hand, a full coverage policy with higher liability limits costs $5,471 on average. That is a difference of $1,783.
Michigan Minimum Liability Requirements
- ItemDescription
- Bodily Injury$20,000 per person and $40,000 per accident. A more protective level is 100/300/100.
- Personal Injury ProtectionUnlimited per person. Unlimited per accident.
- Other$1 million property protection.
Car insurance companies create packages that show the limits for each type and level of coverage. Nationwide offers both 50/100/50 liability-only and full-coverage plans in Detroit. The full-coverage policy costs about $2,133 more per year than the liability-only policy.
Average Car Insurance Premiums: Liability-Only vs. Full Coverage
Liability Only
- CompanyState Minimumper year50 / 100 / 50per year
- 1.$889$942
- 2.$977$1,038
- 3.$1,879$1,994
- 4.$1,805$1,853
- 5.$2,151$2,229
Full Coverage
- Company50 / 100 / 50per year100 / 300 / 100per year
- 1.$1,378$1,424
- 2.$3,171$3,233
- 3.$2,536$2,728
- 4.$2,853$2,903
- 5.$2,952$3,041
Cheapest Car Insurance in Detroit if You Have Driving Violations
Careful drivers with no violations on their record will pay less for auto insurance coverage compared to those who have violations. In Detroit, Nationwide policyholders with a DUI on their record will pay about $914 more per year compared to drivers with a clean record. Drivers with a speeding ticket on their record will pay about $247 more annually for their Nationwide car insurance policy compared to those with a clean record.
- CompanySpeeding Ticketper yearAt-Fault Accidentper yearDUIper year
- 1.$1,788$1,895$2,412
- 2.$3,481$4,408$4,148
- 3.$4,230$5,833$3,878
- 4.$4,346$3,912$6,653
- 5.$3,786$5,909$5,867
Average Cost of Car Insurance by Postal Code
The region a driver lives in also plays a role in their car insurance cost. This effect is because of factors such as the region's number of uninsured motorists, accidents and car thefts. In Detroit, people living in the 48219 neighborhood will pay about $961 less in yearly car insurance premiums compared to drivers residing in the 48227 area.
- Zip CodeState Minimumper year
- 48219$5,038
- 48235$5,205
- 48224$5,366
- 48228$5,746
- 48227$6,000
Insurance Providers That Serve Detroit
Factors That Impact Insurance Costs in Detroit
In addition to individual driver needs and history, location-specific factors like personal injury protection coverage requirements and the percentage of uninsured motorists also contribute to car insurance rates in Detroit. How Detroit ranks compared to the 300 most populous cities in the United States can have a significant impact on premium costs.
Methodology and Assumptions
MoneyGeek’s average premium rates for Detroit are based on 100/300/100 comprehensive collision coverage with a $1,000 deductible for a 40-year-old male driver. The average driver profiled drives a 2010 Toyota Camry LE and has no tickets or accidents on their record. Additional premiums are added based on coverage type, location and driving record. Learn more about MoneyGeek’s data and methodology here.
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