On average, your neighbors pay $102 a month.See Your Rates
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.
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.
|Total Cost Per Year||$1,231.39|
|Price Per Month||$102.61|
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.
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.
These are the most common vehicles owned by Michigan drivers requesting car insurance quotes through QuoteWizard in the past year.
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:
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’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.
Every Michigan registered driver needs the minimum 20/40/10 coverage. This means that every driver needs to have the following:
Buying minimum coverage is, obviously, cheaper short term. However, you can wind up paying a lot more if you file a claim. Minimum coverage excludes collision or comprehensive coverage. Should you have an accident outside of your minimum coverage, it could break the bank.
Minimum coverage pays for damages to other people and their property. However, it won’t cover you, your injuries, or your property. If you only have minimum coverage and you cause an accident, you’re responsible for your costs.
Collision coverage pays for damages after an accident. Comprehensive coverage takes care of damages that only involve your car. This includes disasters, theft, and vandalism.
Given the above, we recommend the following coverage:
The better your coverage, the better your peace of mind. If you can, get comprehensive and collision coverage. Find a deductible that works with your budget. To protect against low or no insurance drivers, get uninsured/uninsured coverage. That’s extra important considering Michigan’s high rate of uninsured drivers. Also, look at medical payment coverage and personal injury protection. They cover medical costs after an accident.
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:
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.
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.
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.
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:
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.
The maximum fine for failing to properly restrain children in Michigan is $25 for a first offense.
Michigan has implemented a 3-tier graduated driver’s license program. It begins with a learner’s permit and ends with full driver privileges once all conditions are met.
Drivers must be 14 and 3/4 years old to get a learner's license, and are required to drive 50 hours under supervision. Ten of those hours must take place at night. Once these conditions are satisfied, and the driver has reached at least the age of 16, they can take the driver’s test. If they pass the test, an intermediate license is issued and the driver enters the intermediate stage.
Drivers in the intermediate stage cannot drive between the hours of 10 pm and 5 am. In addition, they are forbidden to have any passengers in their car under the age of 21, other than immediate family members. Drivers obtain their full driving privileges once they complete the above requirements and turn 17.
All Michigan drivers are required to renew their driver’s license every 4 years. Michigan has no special provisions for senior drivers.
Michigan requires that all passengers in the front seats of a moving vehicle aged 16 and up wear seat belts. Children are required to use approved child seats as described above. The maximum fine for a first offense is $25.
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.
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.
In 2017, there were 1,028 traffic fatalities in Michigan, a three percent decrease from 1,064 traffic fatalities in 2016.
In 2017, there were 15,096 vehicle theft reports in Michigan. This is a 30 percent decrease over the 19,671 reports of theft in 2016.
If you drive a commonly stolen vehicle in MI, it can lead to higher premiums.
If you want ways to lower your auto insurance, there are many options available to Michigan drivers:
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