Compare Auto Insurance in Michigan
If you're a Michigan driver, you know firsthand how expensive car insurance is in your state. The insurance system in the Great Lake State is different from most others in the US. This page covers Michigan’s car insurance laws, requirements, stats, and how to find cheap car insurance.
Average Michigan Car Insurance Rates
How much is car insurance in Michigan? It's no secret, insurance premiums here are much higher than the national average. The average cost of auto insurance in Michigan is $1,231.39 per year. This is 38.5 percent higher than the national annual average of $889.01.
Prices will vary depending on your driving record, credit rating, zip code, limits, and coverage.
| Coverage | Rates | ||
|---|---|---|---|
| Liability | $795.32 | ||
| Collision | $413.83 | ||
| Comprehensive | $154.85 | ||
| Total Cost Per Year | $1,231.39 | ||
| Price Per Month | $102.61 | ||
| Source: Facts + Statistics: Auto insurance | |||
The graph below shows the change in average Michigan rates from 2011 to 2015, the most recent year the data is available. According to the III, Michigan car insurance rates increased from $983 in 2011 to $1,227 in 2015, a jump of $247 dollars, or 25.19 percent.
Finding a reliable auto insurance provider in Michigan is important these days. But how do you determine which one is right for you?
One way is to compare rates from a number of different car insurance companies. Let QuoteWizard help you do that. We’ll get you all the info you need so you can find a policy that you, your vehicle, and your wallet will love.
Last year, 122,433 people used QuoteWizard to compare auto insurance quotes in Michigan from multiple companies.
Best Car Insurance Companies in Michigan
Last year, these were the most common car insurance companies reported by QuoteWizard users living in the state of Michigan. Out of the 122,433 Michigan drivers that used QuoteWizard to request insurance quotes last year, 20,236 had no car insurance.
Top 10 Vehicles in Michigan
These are the most common vehicles owned by Michigan drivers requesting car insurance quotes through QuoteWizard in the past year.
- Ford F150
- Ford Fusion SE
- Ford Taurus
- Chevrolet Impala
- Chevrolet Blazer
- Chevrolet Silverado
- Ford Focus
- Chevrolet Malibu
- Ford Escape XLT
- Chevrolet Trailblazer
Best High-Risk Auto Insurance Companies
If you have tickets or recent claims, insurers might consider you high-risk. Insurance companies charge higher rates to high-risk drivers. Some refuse to cover them at all.
The Michigan Automobile Insurance Placement Facility (MAIPF) may help you get basic coverage. Click to see if you qualify.
These companies offer policies for high-risk drivers in Michigan:
Best Teen Driver Car Insurance Companies
Teens are higher-risk drivers due to inexperience. They are involved in more accidents and citations than other age groups. As such, teenagers pay more for auto insurance.
Our research shows that teens pay an average of $438 a month for car insurance. That amount drops to $278 if they’re on a parent's plan. Still, that’s a lot of money. Keep in mind that many companies offer a discount for good grades.
These insurance companies offer good coverage for Michigan teens:
Michigan Car Insurance Rate Factors
Michigan’s high insurance cost comes in part from the number of uninsured drivers. The III states that 20.3 percent of Michigan’s are uninsured. That’s the fourth highest number of uninsured drivers in the US.
Also, Michigan is one of 12 states that has a no-fault insurance system. A no-fault policy means drivers are compensated for damages regardless of who is at fault. This increases insurance costs straight across the board.
Since insurers settle claims regardless of who is at fault, Michigan struggles with insurance fraud. The cost of fraudulent claims are, unfortunately, covered by policyholders.
Best and Worst Drivers in Michigan
Our data research shows that Michigan currently stands as the fourth best driving state in the US. Grand Rapids ranks as the 57th worst city for driving. Detroit is, surprisingly, the fourth best driving city. This rank accounts for accidents, speeding tickets, DUI's, and citations.
Living in an area with good drivers is beneficial to your car insurance rates. Good drivers file fewer claims, and that helps keep rates down across the board.
Michigan Auto Insurance Laws
Minimum Car Insurance Requirements in Michigan
Every Michigan registered driver needs the minimum 20/40/10 coverage. This means that every driver needs to have the following:
- $20,000 of coverage for bodily injury liability per person
- $40,000 of coverage for bodily injury liability per incident
- $10,000 of coverage for property damage liability per incident - for at fault accidents outside of Michigan
- $1,000,000 of coverage for property damage protection - for accidents in Michigan
- Coverage for Personal Injury Protection (no dollar limit)
Recommended Coverage Levels
Michigan already has the highest average rates in the country, and it’s only getting worse. Why? One, Michigan’s no-fault insurance laws make coverage more expensive. And Two, the huge number of uninsured drivers in Michigan puts a dent in every driver’s premiums. In fact, Michigan has the fourth highest rate of uninsured drivers. You should buy uninsured coverage if you live in Michigan.
Minimum coverage in Michigan only covers the base level of required insurance, and an accident can exceed that amount fast. In order to make sure you have proper basic coverage, we recommend:
- Individual Body Injury Liability: $100,000
- Total Bodily Injury Liability: $300,000
- Property Damage Liability: $100,000
Required Proof of Car Insurance
All Michigan drivers must be prepared to show proof of insurance to law enforcement upon request. Proof of insurance is also required to register or renew registration with the DMV.
Your proof of insurance card needs to include the following info:
- Insured’s name and address
- Vehicle year and make
- Policy renewal date
- Insurance company name
- Insurance policy number
SR-22 Requirements
Michigan drivers with a suspended license due to DUI or other violations must file an SR-22 form. Drivers with SR-22 requirements almost always pay more for car insurance.
Totaled Cars with Rebuilt or Salvage Titles
Total loss is figured by a percentage of the car’s current cash value. If the cost of damages exceed a certain threshold, the car is totaled. In Michigan, the total loss percentage is 75 percent. If damage to your car meets or exceeds 75 percent, your insurer considers it a total loss.
Buying insurance in Michigan for a salvage or rebuilt car is difficult. Some insurers don't cover them at all. Chances are you’ll pay higher rates if you can find coverage.
State of Michigan Traffic Safety Laws
Distracted Driving Laws
Novice drivers as well as school bus drivers are prohibited from using cell phones at any time while driving in Michigan. Drivers with full driving privileges face no such restrictions. All drivers are banned from sending or receiving text messages while driving in Michigan.
Implied Consent Law
Michigan’s Implied Consent law requires that any driver submit to testing to determine the alcohol or drug content of their blood, breath, or urine when arrested by law enforcement for suspicion of operating while intoxicated (OWI). Refuse the test and you’ll face the following penalties in addition to the penalties for an OWI:
- First Offense: 1-year driver's license suspension
- Second Offense: 2-year driver's license suspension
- Third Offense: 5-year driver's license suspension
OWI Law and Penalties
If you drive or operate a motor vehicle in Michigan with a Blood Alcohol Content (BAC) of 0.08% or higher, you're guilty of Operating While Intoxicated.
Senior Drivers
All Michigan drivers are required to renew their driver’s license every 4 years. Michigan has no special provisions for senior drivers.
Vehicles Registered in Another State
When driving in Michigan that's required to be registered in another state, you must have the type of insurance required by that state. You must be able to provide proof of this insurance to law enforcement if requested.
Michigan Department of Insurance and Financial Services
Website: http://www.michigan.gov/difs
- Director Office of Insurance Rates and Forms:
- Patrick McPharlin
- Insurance Hotline:
- (877) 999-6442
- Hours:
- Monday - Friday
8:00 am - 5:00 pm
File a Consumer Insurance Complaint
Sources:
- Insurance Information Institute – Minimum Coverage Levels by State
- National Insurance Crime Bureau
- Governors Highway Safety Association
- Insurance Information Institute – Insurance Expenditures by State
- Failure to Provide Proof of Insurance in Michigan
- Michigan Firm Foundation
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