Best and Cheapest Car Insurance in Michigan (Save Money With These 10 Companies in 2024)
The top picks for the best and cheapest car insurance in Michigan are Geico, USAA, and Progressive. Geico offers competitive rates starting at $47, making it a top choice for budget-conscious drivers. USAA provides excellent rates for teen and senior drivers, while Progressive is the best option for married couples.
With Michigan’s unique no-fault insurance laws, understanding coverage requirements is crucial to know what kind of insurance you really need. Location significantly impacts insurance rates, with Midland being the cheapest area for car insurance.
| Company | Rank | Monthly Rates | A.M. Best | Best For | Jump to Pros/Cons |
|---|---|---|---|---|---|
 |
#1 | $47 | A++ | Cheap Rates | Geico |
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#2 | $51 | A++ | Military Benefits | USAA |
 |
#3 | $73 | A+ | Online Management | Progressive |
 |
#4 | $88 | A++ | Safety Features | Travelers |
 |
#5 | $98 | A | Claims Service | American Family |
 |
#6 | $100 | B | Personalized Policies | State Farm |
 |
#7 | $124 | A+ | Multi-Policy Discounts | Nationwide |
 |
#8 | $161 | A | Various Discounts | Farmers |
 |
#9 | $195 | A+ | Infrequent Drivers | Allstate |
 |
#10 | $204 | A | Coverage Options | Liberty Mutual |
Comparing quotes and understanding various coverage options can help you find the best policy for your needs and budget. Explore your car insurance options by entering your ZIP code above and finding which companies have the lowest rates.
What You Should Know
- Geico offers the best and cheapest car insurance in Michigan, starting at $47
- USAA and Progressive provide excellent rates for various driver profiles
- Location affects rates, with Midland being the cheapest area for car insurances
On this page:
- Geico: Top Overall Pick
- USAA: Best for Military Benefits
- Progressive: Best for Online Management
- Travelers: Best for Safety Features
- American Family: Best for Claims Service
- State Farm: Best for Personalized Policies
- Nationwide: Best for Multi-Policy Discounts
- Farmers: Best for Various Discounts
- Allstate: Best for Infrequent Drivers
- Liberty Mutual: Best for Coverage Options
- Minimum Car Insurance Coverage and Limits in Michigan
- Best and Cheapest Car Insurance for Teens in Michigan
- Best and Cheapest Car Insurance Rates for Married Couples in Michigan
- Best and Cheapest Car Insurance Rates for Seniors in Michigan
- Most Affordable Areas in Michigan for Car Insurance
- Most Expensive Areas in Michigan for Car Insurance
- Michigan’s Percentage of Uninsured Drivers
- Factors Affecting Car Insurance Rate in Michigan
- Strategies for Saving Money on Car Insurance in Michigan
- How Clearsurance Ranks Michigan Car Insurance Companies
- Wrapping Up: Mastering Car Insurance Coverage
#1 – Geico: Top Overall Pick
Pros
- Cheap Rates: Geico offers the best and cheapest car insurance in Michigan, with minimum coverage rates starting at $47 per month.
- Extensive Discounts: Geico provides a variety of discounts, including multi-policy and safe driver discounts, making it one of the best car insurance options in Michigan.
- User-Friendly Online Tools: Geico’s online platform makes it easy to get quotes and manage policies in Michigan.
Cons
- Limited Coverage Options: Some specialized coverage options may not be available in Michigan.
- Customer Service: Mixed reviews regarding the responsiveness and helpfulness of customer service. You may explore our comparison article on "GEICO vs. Progressive: Which car insurance company do customers say is better?"
#2 – USAA: Best for Military Benefits
Pros
- Military Benefits: USAA offers tailored benefits and services for military members and their families in Michigan.
- Competitive Rates: USAA provides affordable rates for its members in Michigan, with minimum coverage starting at $51 per month, making it one of the best and cheapest car insurance options in Michigan.
- High Customer Satisfaction: According to our USAA customer ratings, USAA consistently receives high marks for customer service and satisfaction in Michigan.
Cons
- Membership Restrictions: Only available to military members, veterans, and their families in Michigan.
- Limited Local Offices: Fewer physical locations in Michigan compared to other car insurance providers.
#3 – Progressive: Best for Online Management
Pros
- Online Management: Progressive’s website and mobile app make it easy to manage policies and file claims in Michigan.
- Competitive Rates: The findings from our Progressive insurance customer reviews demonstrates Progressive offers affordable rates and various discounts in Michigan, with minimum coverage starting at $73 per month, making it a top choice for car insurance in Michigan.
- Snapshot Program: The Snapshot program allows drivers in Michigan to potentially lower premiums based on driving behavior.
Cons
- Average Customer Service: Mixed reviews regarding customer service experiences in Michigan.
- Rate Increases: Some customers in Michigan report significant rate increases after initial policy periods.
#4 – Travelers: Best for Safety Features
Pros
- Safety Features: Travelers offers discounts for vehicles equipped with advanced safety features in Michigan.
- Competitive Rates: Provides affordable rates for drivers in Michigan who prioritize safety, with minimum coverage starting at $88 per month, making it one of the best car insurance options in Michigan.
- Financial Strength: Our Travelers Companies, Inc. customer reviews indicates Travelers holds an A++ rating from A.M. Best, indicating strong financial health and reliability for car insurance in Michigan.
Cons
- Higher Rates: Monthly rates can be higher than some other insurers in Michigan.
- Limited Availability: Not all coverage options are available in every region of Michigan.
#5 – American Family: Best for Claims Service
Pros
- Efficient Claims Service: Our examination of American Family Insurance customer ratings shows American Family is known for a straightforward and efficient claims process in Michigan.
- Competitive Rates: Offers affordable rates for drivers in Michigan, with minimum coverage starting at $98 per month, making it one of the best and cheapest car insurance options in Michigan.
- Personalized Policies: Provides customized policy options to meet individual needs in Michigan.
Cons
- Higher Premiums: Monthly rates can be higher than many competitors in Michigan.
- Regional Availability: Coverage might be limited to certain areas within Michigan.
#6 – State Farm: Best for Personalized Policies
Pros
- Personalized Policies: State Farm offers customized policy options tailored to individual needs in Michigan.
- Strong Local Presence: Large network of agents and offices providing personalized service in Michigan.
- Financial Strength: Our analysis of State Farm insurance customer reviews reveals that State Farm has a solid financial rating, ensuring reliability and stability for car insurance in Michigan.
Cons
- Premium Costs: Monthly rates can be higher compared to some competitors, starting at $100 for minimum coverage in Michigan.
- Limited Discounts: Fewer discount options compared to other car insurance providers in Michigan.
#7 – Nationwide: Best for Multi-Policy Discounts
Pros
- Multi-Policy Discounts: Our assessment of Nationwide customer reviews illustrates Nationwide offers significant discounts for bundling multiple insurance policies in Michigan, making it one of the best and cheapest car insurance options in Michigan.
- Vanishing Deductible: Deductible decreases over time with safe driving in Michigan.
- Competitive Rates: Affordable rates for Michigan drivers who bundle policies, with minimum coverage starting at $124 per month.
Cons
- Average Customer Service: Some customers report average experiences with customer service in Michigan.
- Higher Rates: Monthly rates can be on the higher side compared to some other car insurance providers in Michigan.
#8 – Farmers: Best for Various Discounts
Pros
- Various Discounts: Offers a wide range of discounts to help reduce premium costs for car insurance in Michigan.
- Customizable Policies: Flexible policy options to meet specific needs of Michigan drivers.
- Strong Agent Network: The results of our Farmers insurance customer reviews suggests Farmers boasts a large network of agents providing personalized service in Michigan.
Cons
- Higher Premiums: Monthly rates are higher compared to many competitors in Michigan, starting at $161 for minimum coverage.
- Mixed Customer Service Reviews: Customer service experiences can vary widely among customers in Michigan.
#9 – Allstate: Best for Infrequent Drivers
Pros
- Discounts for Infrequent Drivers: Offers discounts for Michigan drivers who drive less frequently, making it one of the best car insurance options in Michigan.
- Strong Financial Rating: A+ rating from A.M. Best, indicating strong financial health and reliability for car insurance in Michigan.
- Comprehensive Coverage Options: Based on our Allstate customer reviews, Allstate offers wide range of coverage options available in Michigan.
Cons
- Higher Rates: Monthly rates are higher compared to many other insurers in Michigan, starting at $195 for minimum coverage.
- Mixed Customer Service Reviews: Customer service experiences can vary among customers in Michigan.
#10 – Liberty Mutual: Best for Coverage Options
Pros
- Coverage Options: Our Liberty Mutual insurance customer reviews highlights Liberty Mutual's broad range of coverage options can meet various needs in Michigan, making it one of the best car insurance providers in Michigan.
- Accident Forgiveness: Available to help avoid rate increases after the first accident in Michigan.
- Financial Strength: Strong financial rating with an A from A.M. Best, indicating reliability for car insurance in Michigan.
Cons
- Higher Premiums: Monthly rates are among the highest compared to other insurers in Michigan, starting at $204 for minimum coverage.
- Limited Discounts: Fewer discount options available compared to competitors in Michigan.
Minimum Car Insurance Coverage and Limits in Michigan
Michigan's car insurance laws are more complex than most states, so it's especially important to understand the coverage requirements established by the state and what the minimum coverage actually covers. First and foremost, it's important to know that Michigan is a no-fault accident state. Being a no-fault state means that your insurance company is responsible for covering you in the event of a car accident, regardless of who caused the accident.
Explore more insights on our guide "If a car accident is not your fault, does your insurance go up?"
Michigan requires its residents to obtain no-fault car insurance, which includes three different types of coverage: bodily injury liability, property damage liability, and property protection. Bodily injury liability and property damage liability are the most common; these are outlined below, with Michigan's minimum coverage requirements listed.
| Insurance Company | Minimum Coverage | Full Coverage |
|---|---|---|
| Allstate | $195 | $406 |
| American Family | $98 | $204 |
| Farmers | $161 | $335 |
| Geico | $47 | $99 |
| Liberty Mutual | $204 | $424 |
| Nationwide | $124 | $258 |
| Progressive | $73 | $152 |
| State Farm | $100 | $209 |
| Travelers | $88 | $183 |
| USAA | $51 | $107 |
Michigan's no-fault car insurance also comes with property protection up to $1 million, meaning your car insurance will cover you for damages to any Michigan property up to $1 million. This also covers you if you hit a car that is legally parked. It's worth noting that this coverage only pertains to Michigan property; your property damage liability will cover you for any damage to property that happens in a different state.
Michigan also requires you to obtain personal injury protection, often referred to as PIP, which provides coverage for any medical expenses or income losses that result from a car accident. To save on premiums, you can coordinate this coverage with your health insurance so that your health insurance kicks in before PIP. As of July, 1 2020, new Michigan car insurance laws went into effect. Drivers now have the ability to choose lower levels of PIP insurance coverage. More details from MLive.
Essentially this means that you'll be able to select a lower amount of car coverage, but you should still take into consideration outside factors and not just focus on affordable rates. There are high-risk drivers on the road, so having higher liability limits could end up helping you financially. If you still need more information on what car coverage you need, you can always talk to your car insurer. You can learn more about different car insurance coverages and what the limits mean here.
Here are Michigan’s minimum car insurance requirements:
- Bodily Injury: $20,000 per person
- Bodily Injury: $40,000 per accident
- Property Damage: $10,000 per accident in another state
Bodily injury liability provides coverage for injuries sustained by the other vehicle's driver and passengers if you are held responsible for an accident. This coverage also kicks in to defend you in the event of any legal claims. Property damage liability provides coverage in the event you damage someone else's property in a car accident, most commonly the other vehicle, but also things like a home or fence.
Best and Cheapest Car Insurance for Teens in Michigan
This table details the monthly car insurance rates for 18-year-old males and females in Michigan, comparing the top 10 providers. Teen drivers typically encounter higher premiums due to their inexperience, making it crucial to find budget-friendly options. This comparison assists families in identifying the most affordable insurance solutions for young drivers. For starting teen drivers, find out how to pass your driving test. The table below shows the average teen car insurance rates in Michigan.
| Insurance Company | Age: 18 Female | Age: 18 Male |
|---|---|---|
| Allstate | $148 | $688 |
| American Family | $291 | $395 |
| Farmers | $611 | $611 |
| Geico | $125 | $125 |
| Liberty Mutual | $653 | $653 |
| Nationwide | $370 | $370 |
| Progressive | $460 | $490 |
| State Farm | $344 | $344 |
| Travelers | $583 | $583 |
| USAA | $144 | $136 |
These rates are based on profiles for 18-year-old male and female drivers in Michigan. The car used was a 2015 Honda Civic EX. We used the minimum car insurance state limits. The rates displayed should only be used for comparative purposes as individual rates in Michigan will differ. Rate data is provided by Quadrant Information Services.
Best and Cheapest Car Insurance Rates for Married Couples in Michigan
This table examines the monthly car insurance rates for married couples in Michigan, featuring the top 10 providers. Married individuals often enjoy reduced insurance rates thanks to their perceived lower risk. This comparison helps couples discover the most economical and appropriate insurance choices available to them. Also delve on our guide "Best Car Insurance Companies for Married Couples."
| Insurance Company | Rates |
|---|---|
| Allstate | $211 |
| American Family | $123 |
| Farmers | $189 |
| Geico | $51 |
| Liberty Mutual | $209 |
| Nationwide | $140 |
| Progressive | $89 |
| State Farm | $120 |
| Travelers | $102 |
| USAA | $65 |
These rates are based on a 35-year-old married couple with two drivers and two vehicles on a policy. The cars used were two 2015 Toyota Highlander LEs. Full coverage was used with 100/300/50 limits and a $500 collision and comprehensive deductible. The drivers had 1 driving incident within the past 3 years and they both have a good credit score. The rates displayed should only be used for comparative purposes as coverage per person in in Michigan will differ. Rate data is provided by Quadrant Information Services.
Best and Cheapest Car Insurance Rates for Seniors in Michigan
Showcasing the monthly car insurance rates for senior drivers in Michigan, this table highlights the top 10 providers. Rates for seniors can fluctuate based on their driving history and age-related factors. By evaluating these providers, seniors can identify cost-effective insurance plans tailored to their specific needs. Uncover potential funds to keeps on our 6 ways to save on senior driver car insurance.
| Insurance Company | Age: 65 Female | Age: 65 Male |
|---|---|---|
| Allstate | $183 | $183 |
| American Family | $90 | $91 |
| Farmers | $146 | $146 |
| Geico | $48 | $48 |
| Liberty Mutual | $204 | $204 |
| Nationwide | $112 | $112 |
| Progressive | $69 | $77 |
| State Farm | $94 | $94 |
| Travelers | $70 | $70 |
| USAA | $50 | $48 |
These rates are based on profiles for 65-year-old male and female drivers. The car used for each was a 2015 Toyota Camry LE. Full coverage was used with 100/300/50 limits and a $500 collision and comprehensive insurance deductible. The drivers had zero incidents within the past three years and a good credit score. The rates displayed should only be used for comparative purposes as individual rates in Michigan will differ. Rate data is provided by Quadrant Information Services.
Most Affordable Areas in Michigan for Car Insurance
This table presents a comparison of monthly car insurance rates across different cities in Michigan, pinpointing the most affordable areas. Factors like crime rates, traffic density, and local regulations can influence insurance costs. Residents can use this information to understand how their location affects their insurance premiums. Check out more information with our guide on the 14 ways to get cheap car insurance. In the table below, you can see the top 10 cheapest areas for auto insurance in Michigan based on average rates for a single adult.
| City | Rates |
|---|---|
| Midland | $261 |
| Grand Haven | $261 |
| Spring Lake | $262 |
| Westphalia | $264 |
| Eagle | $264 |
| West Olive | $264 |
| Allendale | $266 |
| Shepherd | $266 |
| Jenison | $267 |
| Saint Louis | $268 |
These rates are based on a 35-year-old single adult with one driver and one vehicle on a policy. The car used was a 2015 Toyota Highlander LE. Full coverage was used with 100/300/50 limits and a $500 collision and comprehensive deductible. The driver had 1 driving incident within the past 3 years and had a good credit score. The rates displayed should only be used for comparative purposes as individual rates in Michigan will differ. Rate data is provided by Quadrant Information Services.
Most Expensive Areas in Michigan for Car Insurance
The area you live in matters when it comes to obtaining the cheapest car insurance rates. This table highlights the monthly car insurance rates in various cities, focusing on the most expensive areas in Michigan. Higher costs in these regions can stem from factors such as elevated accident rates and vehicle theft.
This comparison helps residents comprehend the financial implications of living in these high-cost areas. Read more information on the 5 steps to take after a car accident. Some areas can be more expensive than others. The table below displays the top 10 most expensive areas in Michigan for car insurance based on average rates for a single adult.
| City | Rates |
|---|---|
| Highland Park | $751 |
| Hamtramck | $739 |
| Detroit | $727 |
| Dearborn | $570 |
| River Rouge | $555 |
| Harper Woods | $528 |
| Oak Park | $526 |
| Ecorse | $525 |
| Southfield | $524 |
| Inkster | $512 |
These rates are based on a 35-year-old single adult with one driver and one vehicle on a policy. The car used was a 2015 Toyota Highlander LE. Full coverage was used with 100/300/50 limits and a $500 collision and comprehensive deductible. The driver had 1 driving incident within the past 3 years and had a good credit score. The rates displayed should only be used for comparative purposes as individual rates in Michigan will differ. Rate data is provided by Quadrant Information Services.
Michigan’s Percentage of Uninsured Drivers
Uninsured motorist coverage isn’t among the required coverages for Michigan drivers, but you’d be wise to consider purchasing it. Michigan’s uninsured driver percentage of 20.3 is the fourth highest in the country, according to 2015 data from the Insurance Information Institute. By comparison, the national average in 2015 was 13 percent.
Uninsured or underinsured motorist coverage offers protection in the event you are involved in an accident with a driver who either doesn’t have insurance or doesn’t have enough coverage. Having optional coverage will raise your overall average cost, but it should be considered for your own protection.
Factors Affecting Car Insurance Rate in Michigan
When searching and comparing quotes from the best and cheapest car insurance companies in Michigan, it can be frustrating trying to understand how your insurance rates are calculated. Often the cheapest company doesn't turn out to be the best deal, and you're left wondering what you missed.
While there is no exact formula that each car insurance company uses when providing you an car insurance quote, there are many factors that do contribute to the price you pay for your insurance. Among the factors that car insurers consider are:
- Age, Gender, & Marital Status
- Driving Record & Annual Mileage
- Your Car’s Make, Model, and Year
- Location & Credit Score
- Amount of Car Insurance Coverage
One of the biggest misunderstandings when it comes to insurance rates is that the history of drivers in your area also contributes to how much you pay. For instance, even if you go two years without an accident, if there were a lot of accidents near you recently, your rates might still go up. Why is that the case? Explore more insights on "What is a driving record and what does it track?"
Insurance companies disperse risk across all policyholders so that when it comes time to pay a claim, they have enough money to payout. But imagine a scenario where they only raised rates for drivers with an accident.For drivers who had an expensive claim, drivers simply wouldn't be able to afford the raised rates that are based on how much their insurer had to pay after an accident. So instead, insurance companies slightly increase rates across the board to offset the costs, though of course, the at-fault driver may see a larger increase.
Strategies for Saving Money on Car Insurance in Michigan
At the end of the day, we'd all like to have the best, cheap car insurance from one of the best Michigan car insurance companies. However the cheapest option may leave you vulnerable on the road. While you never want to sacrifice quality to save a couple of dollars on your car insurance policy, there are some different ways you can lower your car insurance premium.
To potentially lower your car insurance rates, consider bundling your car insurance with other policies and raising your deductibles. Paying your policy in full and trying usage-based insurance can also be beneficial. It's important to monitor price changes to your policy and continuously shop for better rates.
Additionally, inquire about available discounts and compare multiple quotes to find the most affordable option. Be sure to check a car insurance shopping guide on how to save money.
How Clearsurance Ranks Michigan Car Insurance Companies
Consistent with its mission towards greater transparency, Clearsurance does not keep its rating and ranking formulas in a black box. Insurers may keep their secrets when it comes to how they calculate coverage rates, but we want to be completely open and honest with how we operate. Our algorithm analyzes a range of inputs from our independent community of insurance customers, including:
- Price
- Customer Service
- Claim service
- Likelihood to renew
The algorithm also takes into account the percentage of what customers say the company does well vs. the percentage of what customers say the company could do better. All of it will be accurate content, and real information from real people. The Clearsurance customer ratings and rankings are derived entirely from customer reviews and ratings.
Check out the top 10 car insurance companies that customers are likely to recommend in Clearsurance reviews.
Wrapping Up: Mastering Car Insurance Coverage
Whether you're buying your insurance direct or going through an agent, understanding the different car insurance coverage options is a must. You don't want to end up footing the medical bills of another driver should you end up in an accident without the proper coverage limits. Car policies may vary from insurer to insurer, but you can be aware of the types of coverage, as well as what the minimum coverage limits should be in your state and for the type of vehicle you have.
Check out our car insurance blog for more information and topics related to car insurance.
Do you know what is covered by comprehensive coverage? Are you familiar with uninsured motorist coverage? Do you know how a deductible works? We want to make sure you’re equipped with a proper knowledge of car insurance, so check out our car insurance guide. Finding the answers to your questions could help you better understand not only the cost of car insurance, but also what coverage policy will end up being right for you. Enter your ZIP code below into our free comparison tool to find the lowest prices in your area.
Frequently Asked Questions
Who offers the best teen car insurance rates in Michigan?
Geico offers the cheapest average car insurance rates for teen drivers in Michigan when compared to the other nine largest car insurance companies in the state by market share.
Who offers the cheapest car insurance rates for a married couple in Michigan?
Geico's average car insurance rates for a married couple in Michigan are the cheapest among the ten largest auto insurance companies in Michigan.
Who offers the best affordable coverage for seniors in Michigan?
Geico's average car insurance rates for senior drivers in Michigan are slightly cheaper than the average auto insurance rates for USAA.
What is the cheapest car insurance in Michigan?
Geico offers the cheapest car insurance in Michigan at an average of $47 per month for full coverage. In contrast, the average cost of full coverage car insurance in Michigan is about $99 per month.
How much should auto insurance cost in Michigan?
Michigan drivers typically pay around $113 per month for minimum coverage car insurance. For full coverage, the monthly cost is about $304. These rates are significantly higher than the national average, exceeding it by 81% to 117%.
How to get lower car insurance in Michigan?
To secure car insurance discounts in Michigan, consider raising your deductible and lowering collision coverage. Inquire about discounts for safety features and highlight your academic excellence, as good grades can lead to savings. Bundling multiple policies can also provide a discount. Additionally, look for group discounts, compare different insurance providers, and consider attending a driving school to lower your rates.
Why is Michigan car insurance so expensive?
Due to Michigan's no-fault car insurance system, drivers are required to have personal injury protection (PIP) coverage. This coverage provides financial protection regardless of who is at fault in an accident. The requirement for this additional coverage significantly contributes to the high insurance premiums in the state.
Is Michigan the highest state for car insurance?
Louisiana, New York, and Michigan are the states with the highest full-coverage car insurance rates. In Louisiana, the yearly rate converts to approximately $363 per month. In New York, it translates to around $343 per month. Michigan's yearly rate breaks down to about $339 per month.
What age does car insurance go down in Michigan?
Young drivers typically face significantly higher car insurance costs compared to older, more experienced drivers. Insurance rates tend to decrease throughout your 20s and can continue to drop into your 50s.
What is the new car insurance law in Michigan?
All motor vehicle owners are required to obtain increased bodily injury coverage. The new minimum coverage limits are set at $250,000 per person and $500,000 per accident.
Which type of car insurance is the cheapest?
Fully comprehensive insurance is usually the most cost-effective option, although prices can vary based on individual circumstances.
Can I use out of state car insurance in Michigan?
Michigan law mandates that non-residents who drive their own vehicles in the state for more than 30 days in any calendar year must obtain Michigan no-fault car insurance coverage.
Is insurance cheaper in Ohio or Michigan?
In Detroit, the cost disparity is stark: average insurance premiums reach $451 per month, while in Ohio, rates are notably lower at just $64 per month.