Cheapest Car Insurance in Michigan

Travelers offers the most affordable car insurance for Michigan drivers, with an average monthly cost of just $35 and an annual rate of $421. This rate represents a $483 savings compared to the typical costs in the Great Lakes State. These rates are sourced from Quadrant Information Services and reflect the cheapest options in Michigan as of December 2024. Read our research methodology to learn about how we found the cheapest Michigan car insurance.

The cheapest car insurance company for most Michigan drivers is GEICO, with an average monthly cost of $69 for both minimum and full coverage. This is $51 less than the average rate in the state. Travelers, Encompass, Auto-Owners and Westfield also offer affordable rates.

*We used combined minimum and full coverage rates for a 40-year-old driver with good credit and no driving violations to calculate these averages.

Westfield offers the most affordable car insurance for both state minimum and full coverage for many drivers in the Great Lakes State. However, your best rate depends on your personal background. The table below highlights the cheapest car insurance rates for various driving profiles.

Read More: Cheapest Car Insurance

Westfield, Travelers, Encompass and Chubb offer cheap minimum liability coverage for Michigan drivers. Westfield and Travelers have the most affordable rates at $35 per month. Use the table below to explore rates for similar companies and see how they stack up against the monthly state average of $75.

GEICO is the cheapest provider for full coverage auto insurance in Michigan, with rates averaging $86 per month or $1,027 per year. This rate is $79 less than the state's average cost. Check the table below for more provider options.

In Michigan, young adult drivers can find the best rates with Travelers. A state minimum coverage policy with Travelers costs an average of $41 per month for 25-year-old drivers.

*We used minimum coverage for a 25-year old driver with good credit and no driving violations to determine the cheapest provider.

For young drivers in Michigan, Travelers offers the cheapest minimum coverage at $41 monthly. GEICO provides affordable full coverage at $86 monthly. Chubb is ideal for drivers with a DUI or accident at $57, while Westfield offers affordable rates for those with a speeding ticket at $53. Remember, your premium may vary based on your driving record and other factors, but these companies are a solid starting point for finding affordable rates.

Read More: Cheapest Car Insurance for Young Drivers

Senior drivers in Michigan can find affordable rates with Travelers. The average monthly cost is $37 for minimum coverage.

*We used minimum coverage for a 65-year old driver with good credit and no driving violations to determine the cheapest provider.

Travelers offers minimum coverage for seniors in Michigan for $37 per month, GEICO offers full coverage for $85 per month and Chubb is ideal for drivers with violations at $43 per month. Rates may vary, so use the table below to guide your insurance shopping.

Read More: Cheapest Car Insurance for Seniors

Michigan doesn't use DUIs, but it has impaired driving violations. Drivers with these violations, at-fault accidents or speeding tickets are seen as high-risk by insurers and pay more for car insurance than those with a clean record. Depending on the offense, premiums for high-risk drivers can vary. Below are the best rates for drivers with these infractions.

Chubb offers the best rates for Michigan drivers with DUIs, with monthly premiums of $51 and an annual cost of $612 for minimum coverage. Check the table below for more insurance providers and their average monthly premiums for drivers with DUIs in the Great Lakes State.

*We used a 40-year-old driver with good credit and a DUI on record to calculate these averages.

With rates averaging $51 per month ($612 per year), Chubb is the cheapest company for drivers after an at-fault accident. Below, find other insurers offering affordable coverage for drivers with accidents. Rates apply to minimum coverage policies.

*We used a 40-year-old driver with good credit and an at-fault accident on record to calculate these averages.

Westfield offers the cheapest insurance for Michigan drivers with a speeding ticket, averaging $44 per month. Check the table below to compare other providers offering minimum coverage for drivers with a speeding ticket.

*We used a 40-year-old driver with good credit and a speeding ticket on record to calculate these averages.

Your location plays a big part in how much you pay for car insurance. Even in the same state, cities can have different rates because of how many people live there, flooding risks and crime.

For example, Westfield charges $28 a month in Ann Arbor but only $25 in Grand Rapids for the same state minimum coverage. Check the table below to see the cheapest insurance in your city and the lowest average monthly price.

*The lowest rate reference is for a minimum coverage policy for 40-year-olds with good credit and no driving violations.

Michigan's most affordable choice to bundle home and auto insurance is Allstate at $7,809 per year. Check the table below for more cost-effective companies.

*Rates are for a 40 year old driver with good credit and no driving violations

In Michigan, the monthly average cost for full coverage car insurance is $165, while minimum coverage is $75. Understanding the average cost of car insurance in Michigan can help you gauge if you're getting a worthwhile deal on your auto insurance.

Your car insurance rates vary by city. The table below shows average minimum and full coverage costs in different Michigan cities.

Michigan ranks 7th for high car insurance costs. The state's car insurance rates are driven up by dense cities, weather risks and high car thefts. Car insurance is expensive in Michigan, but understanding these factors can guide residents toward better deals.

Michigan law mandates that all drivers carry car insurance policies meeting state minimum coverage limits. These include $50,000 for bodily injury per person, $100,000 per accident and $10,000 for property damage per accident, with personal injury protection (PIP) being unlimited.

If you finance or lease your car, expect to need comprehensive and collision insurance on top of the minimum liability coverages. While minimum coverage auto insurance is the most affordable option, it offers the least financial protection. For peace of mind on the road, experts suggest opting for full coverage insurance with the highest deductible and liability limits within your budget.

Drivers with serious traffic violations, like speeding or impaired driving, may need to file for SR-22 insurance, which can increase your premium. In Michigan, either you or your insurance provider can file the SR-22 form. It remains valid for three years from your most recent offense.

A surety bond is the most common alternative to traditional car insurance in Michigan. It is a three-party agreement that guarantees you can pay for damages up to the state minimum coverage. This helps you meet Michigan’s insurance requirements without purchasing a standard policy.

Business owners can explore self-insurance or fleet insurance options. Self-insurance means setting aside funds to cover possible claims, offering flexibility and control over insurance costs.

MoneyGeek recommends that drivers get full coverage car insurance. This means you'll have protection under liability, collision and comprehensive coverage. We suggest these liability limits for your policy:

• $100,000 in bodily injury liability per person
• $300,000 in bodily injury liability per accident
• $100,000 in property damage per accident

Comprehensive coverage covers your car's damage from off-road events like theft, vandalism or weather damage. Collision coverage, on the other hand, covers damage from an on-road crash.

If your car is valuable, it's smart to have both comprehensive and collision insurance, even if it's not required by law. When picking your deductible for these coverages, think about what you can comfortably pay from your pocket before your insurance covers the rest.

GEICO has the cheapest full coverage at $86 per month, and Westfield offers the cheapest minimum coverage at $35 per month. Cheap insurance can be tempting, but it might not give you the best financial protection. Experts recommend buying the most coverage you can afford for robust financial protection.

MoneyGeek answers common questions about minimum coverage options to ensure you get the right coverage for your needs.

MoneyGeek obtained Michigan auto insurance rates from the Michigan Department of Insurance and Quadrant Information Services. We examined 50284 auto insurance quotes from 14 providers across 74 ZIP codes to determine the most affordable car insurance companies in Michigan.

Michigan Driver Profile

We used a driver profile with the following background information to identify the cheapest auto insurance companies in Michigan:

• 40-year-old male
• 2012 Toyota Camry LE
• Clean driving record
• 12,000 miles driven annually

To find the cheapest option for various driver backgrounds, we adjusted this sample profile by age, driving record, credit score, car make and model, and military service where specified.

Standard Coverage Levels in Michigan

We compared car insurance companies in Michigan that offer both minimum and full coverage policies. We set the limits of the minimum coverage car insurance policy to the minimum amount required by law in Michigan.

The minimum coverage liability limits in Michigan are:

• $50,000 for bodily injury liability per person.
• $100,000 for bodily injury liability per accident.
• $10,000 for property damage liability per accident.
• N/A uninsured motorist bodily injury per person
• N/A uninsured motorist bodily injury per accident
• N/A uninsured/Underinsured property damage coverage
• Unlimited personal injury protection (PIP) per person
• N/A personal injury protection (PIP) per accident
• N/A medical payments coverage
• N/A death liability per person
• N/A death liability per accident

For full coverage policy rates, we used the following liability limits:

• $100,000 for bodily injury liability per person
• $300,000 for bodily injury liability per accident
• $100,000 for property damage liability
• Comprehensive and collision coverage with a $1,000 deductible

Home and Auto Coverage Levels in Michigan

MoneyGeek analyzed the rates of insurance companies for a full-coverage auto insurance policy that includes the following coverage and limits:

• $100,000 in property damage liability
• $100,000 bodily injury liability per person
• $300,000 bodily injury liability per accident
• Comprehensive and collision coverage with a $1,000 deductible

We also analyzed rates for a homeowners insurance policy that includes the following limits and coverage:

• $250,000 dwelling coverage
• $25,000 other structures coverage
• $100,000 personal property coverage
• $25,000 loss of use coverage
• $100,000 personal liability coverage
• $1,000 medical payments coverage
• All-perils coverage with a $1,000 deductible