Travelers is the cheapest for most driver profiles in Michigan. Chubb and GEICO are the most affordable options for other drivers.
MoneyGeek found the top auto insurers in Michigan, so you can find one for your needs and budget.
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Cheapest Minimum Liability Car Insurance in Michigan (September 2023)
On average, the cheapest auto insurance companies in Michigan for a minimum coverage policy, according to MoneyGeek's analysis, are:
- Travelers: $101 per year
- Westfield: $396 per year
With an average yearly premium of $2,064, Hanover is the most costly auto insurance provider in Michigan for minimum coverage of the companies MoneyGeek gathered quotes from in 2023.
Only bodily injury liability, property protection and personal injury protection (PIP) are covered by auto insurance that meets Michigan's minimum insurance requirements.
A minimum coverage policy only pays for the damages you cause to other people, not your own car. Consider a full coverage policy with comprehensive and collision insurance if you want additional financial protection for your vehicle.
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Ensure you are getting the best rate for your insurance. Compare quotes from the top insurance companies.
Cheapest Full Coverage Car Insurance in Michigan (September 2023)
On average, these companies provide the cheapest full coverage auto insurance in Michigan:
- Travelers: $931 per year
- GEICO: $1,016 per year
Hanover charges the highest rate of around $4,969 annually for full coverage.
Your annual rate may go up if you add comprehensive and collision insurance to your auto policy. For instance, the complete coverage option from Travelers costs $830 more than the minimum coverage option.
Full coverage auto insurance offers additional financial protection. It covers losses resulting from off-road occurrences as well as on-road collisions.
Your premium will be heavily influenced by the amount of car insurance you need. The full coverage sample policy from MoneyGeek offers liability insurance with the following limits:
- $100,000 bodily injury per person
- $300,000 bodily injury per accident
- $100,000 property damage per accident
You might be able to lower your insurance costs by lowering your liability limits, dropping comprehensive and collision insurance or increasing your deductible. However, you risk having insufficient coverage if you do this.
How to Compare Cheap Michigan Car Insurance Quotes Online
Most insurers provide car insurance quotes online. However, this process could take up to 15 minutes to complete. It also requires you to submit data to multiple companies for better comparison.
Instead of giving your personal information to various insurance companies, you can use MoneyGeek's car insurance calculator to get a quick and easy estimate. This can help you get started in your search for low-cost auto coverage.
Auto Insurance Calculator
See how the Average Annual Auto Insurance Rates vary with the options chosen.
Cheapest Car Insurance in Michigan by Age (September 2023)
Age is one of the biggest factors affecting car insurance rates in Michigan. MoneyGeek found that GEICO and Travelers offer the cheapest options, depending on what age group you and your family belong to.
Cheapest Car Insurance in Michigan for Teens and Their Families (September 2023)
On average, the following insurance providers in Michigan offer the most affordable coverage for teenagers driving on a parent’s policy:
- GEICO: $1,957 per year for male and female teens
- Progressive: $2,474 per year for male and female teens
The average annual premium for a male or female teen with State Farm is the most expensive at $6,733.
Teens, regardless of gender, enjoy decreasing car insurance rates as they age, with the lowest rates offered to 19-year-olds. In Michigan, the provider offering the lowest rate for a 19-year-old is GEICO ($1,502).
Adding a teenager to your existing insurance is typically more affordable than purchasing a new policy only for them, and it may be illegal for a teen under the age of 18 to purchase a policy without a parent or guardian's consent and willingness to co-sign for it. The average individual premium for a 16-year-old in Michigan is $7,802, but adding them to their parent's policy can reduce that cost to $3,905. This is a difference of around $3,897.
In Michigan, auto insurers are prohibited from using gender as a rating factor. Whether you are a teenager, young or middle-aged adult or a senior, your gender is not a factor when determining how much you pay for car insurance in Michigan with any insurer. — Mark Friedlander, Director, Corporate Communications, Insurance Information Institute
Auto insurance can be expensive for families, but young drivers may qualify for savings. Auto-Owners, Encompass, Farmers, Progressive, State Farm and Travelers all offer good student and distant student discounts. GEICO also offers a good student discount.
Cheapest Car Insurance in Michigan for Young Adults (September 2023)
We found that, on average, the cheapest car insurance companies in Michigan for drivers in their 20s are:
- GEICO: $1,023 per year
- Travelers: $1,043 per year
When comparing auto insurance companies for young drivers, Hanover had the highest annual premium, at $6,033.
In Michigan, drivers in their 20s pay around $92 more per year for auto insurance from the cheapest company than middle-aged drivers.
Cheapest Car Insurance in Michigan for Seniors (September 2023)
The cheapest car insurance companies in Michigan for senior drivers are, on average:
- Travelers: $840 per year
- GEICO: $1,015 per year
Auto insurance premiums for seniors in Hanover average $4,311 annually, the highest in Michigan.
Seniors in Michigan pay around $91 less annually for auto insurance from the cheapest company than those in their 40s and 50s. However, prices often go up for drivers in their 70s and 80s.
Michigan seniors can save money with discounts on insurance policies from GEICO and Farmers. In order to find affordable coverage, it is best to shop around and compare providers.
Cheapest Car Insurance for Higher Risk Drivers (September 2023)
When it comes to auto insurance in Michigan, Chubb offers the most affordable rates for drivers with moving violations, at-fault accidents and impaired driving violations, of which Michigan has two — instead of DUI.
Taking a driving course that is recognized by the state and checking your driving record frequently for mistakes might help you build a better profile and qualify you for a lower premium.
Cheapest Car Insurance in Michigan After a Ticket
In Michigan, drivers who have received a speeding ticket can find the most affordable average premium for full coverage with the following companies:
- Chubb: $1,249 per year
- Progressive: $1,416 per year
When comparing annual costs, Hanover is the most expensive, at approximately $6,833.
If you have a history of speeding in Michigan, your vehicle insurance premium might increase by as much as $688 per year.
Cheapest Car Insurance in Michigan After an Accident
The most affordable providers of comprehensive auto insurance for drivers in Michigan who have committed at-fault traffic violations are, on average:
- Chubb: $1,249 per year
- Auto-Owners Insurance Co: $1,320 per year
The most expensive is Hanover, at around $7,495 annually for drivers with violations.
According to our research, the average increase in annual premiums in Michigan due to being in an at-fault car accident is $892.
Cheapest Car Insurance in Michigan After a DUI
Affordable full coverage auto insurance in Michigan is available even with an impaired driving violation on your record, and the cheapest options on average are:
- Chubb: $1,249 per year
- Progressive: $1,279 per year
Hanover's annual premium for drivers with an impaired driving violation is the most of any company we looked at, coming in at approximately $9,120.
In Michigan, if you have an impaired driving violation, your insurance may increase by about $2,563 per year.
While most states give DUIs, Michigan has impaired driving violations. An OWVI or Operating While Visibly Impaired is typically for a first-time offense, while OWI or Operating While Intoxicated is typically for a second offense within seven years. Both will affect your car insurance costs and may restrict your driving privileges. — Mark Friedlander, Director, Corporate Communications, Insurance Information Institute
Cheapest Car Insurance in Michigan for Sports Cars (September 2023)
In Michigan, drivers who own sports cars can get the cheapest average auto insurance by shopping with the following companies:
- Auto-Owners Insurance Co: $1,009 per year
- GEICO: $1,202 per year
Farmers has the highest average annual rate of any insurance provider at $2,788.
Insurance for a sports car is typically (but not always) more expensive than coverage for a regular vehicle because of the increased cost of repairs and replacement parts. However, in Michigan, sports car owners spend around $53 less per year on average compared with those who drive a Toyota Camry LE.
MoneyGeek generated quotes for a Ford Mustang, although costs might vary widely based on the make and type of the vehicle. As a general rule, the cost of insurance is higher for premium-priced vehicles like sports cars, electric cars and luxury models. However, this might not hold true in your state.
Cheapest Car Insurance in Michigan for Military Drivers (September 2023)
USAA has the cheapest auto insurance in Michigan for active-duty military members and veterans, with a yearly rate of $806.
USAA specializes in providing services for veterans and active-duty military personnel and their families. Its policies are only available to members of the military community. It’s accessible in every state and provides quality customer service without sacrificing cost.
- $806 per year
- Ranks first out of 14 insurers for affordability
A military member's best option for car insurance in Michigan is USAA. Travelers offers military-specific discounts and bundling, multiple car, good student and safe driving discounts.
Cheapest Car Insurance in Michigan by City
In Michigan, auto insurers cannot use your ZIP code as a pricing factor, but other contributing elements can result in varying average insurance rates between cities.
According to our research for our sample driver, Travelers provides the most affordable auto insurance in Grand Rapids, at a yearly rate of about $775, while Detroit has the highest yearly premium for auto insurance for our sample driver, at around $1,580 for a full coverage policy from Chubb.
The list of Michigan cities below shows how much car insurance typically costs for our sample driver, depending on the city.
Car Insurance in Michigan: What You Need to Know
Like many states, Michigan requires drivers to purchase property damage liability, personal injury protection and bodily injury liability insurance. It also requires property protection within Michigan and personal injury protection.
Michigan Car Insurance Requirements
At a minimum, a driver in Michigan must have bodily injury liability, property damage liability insurance and personal injury protection on their vehicle. You also need property protection and PIP coverage.
You can save money with a minimum coverage policy, but you'll be less protected financially in the event of an accident.
You might be required to get an SR-22 in Michigan after severe or repeated violations. SR-22 is not insurance but a certificate of financial responsibility that proves you meet the state's established insurance requirements for high-risk drivers. It must be filed with the DMV by your auto insurer.
Bodily Injury Liability
In the state of Michigan, drivers are required to have a minimum of $50,000 in bodily injury liability coverage per injured party. Drivers must also have at least $100,000 in bodily injury liability coverage per accident. If you choose this minimum coverage amount, you'll need to pay anything beyond that amount out of your own pocket.
Property Damage Liability Outside of Michigan
A minimum of $10,000 in property damage liability coverage per accident outside of Michigan is required for Michigan drivers. In the event of an accident in which another person's property is damaged, you will be responsible for covering any costs in excess of $10,000.
Personal Injury Protection
Unless you receive Medicare or Medicaid in Michigan, your policy will need to include at least $250,000 in personal injury protection. Your insurance company will pay up to $250,000 in medical bills for you and your passengers, regardless of who caused the accident. You may need to rely on health insurance or pay out of pocket if your injuries are severe enough to exceed this limit.
Property Protection in Michigan
Michigan drivers are required to have $1 million in property protection for accidents that happen within the state.
MoneyGeek suggests getting liability insurance with limits of at least $100,000 per injury and $300,000 per accident, as well as raising property damage coverage to $100,000. If you financed the purchase of your vehicle, you might be required to carry both comprehensive and collision coverage.
Comprehensive and collision coverages ensure that you won't have to worry about paying to fix or replace your car if it's damaged in an accident away from public roads. Theft, accidents, vandalism, animal destruction and natural disasters are all possible concerns.
If your car is very expensive, comprehensive and collision insurance could be worthwhile, even if you did not finance or lease it.
Car Insurance Alternatives in Michigan
Having auto insurance is legally required in the state of Michigan. You must show proof of financial responsibility in the form of a certificate of insurance. Certificates of insurance are required when registering a vehicle, renewing registration and exchanging information with the other driver after an accident.
If you want to save money on your Michigan car insurance costs, you could opt for a pay-per-mile program like Nationwide SmartMiles.
FAQs About Car Insurance in Michigan
Drivers in Michigan looking for auto insurance may have questions about quality and cost. Here are some of the most frequently asked questions.
Expert Advice on Finding Cheap Car Insurance in Michigan
To help you find credible and accurate insight into car insurance in Michigan, MoneyGeek received expert advice from trusted professionals. The perspectives and opinions expressed are those of the individual contributor.
- What are the key factors drivers in Michigan should look for when searching for the best auto insurance coverage?
- How do regulations and rules in Michigan impact insurance pricing and how consumers might shop for coverage?
- What steps can drivers in Michigan take to find affordable car insurance?
Richard E. Czarnecki Endowed Collegiate Professor II, Professor, Finance at the University of Michigan, Dearborn
Faculty Member (Business) at Kellogg Community College
Assistant Professor of Finance and Economics at Hillsdale College
Associate Professor & Chair, Business and Economics at Alma College
Finance Professor at Grand Valley State University, Consultant, and Financial Planner
Dean of the College of Business Administration at the University of Detroit Mercy
Adjunct Professor - Wayne Law at Wayne State University and COO at Miller & Tischler P.C.
About Mark Fitzpatrick