Cheap Auto Insurance in Michigan for 2025 (Save With These 10 Companies)
Cheap auto insurance in Michigan is offered by Geico, with rates starting at $47/month, followed by USAA and Progressive. Geico provides low premiums, USAA offers excellent customer service for military families, and Progressive features extensive discounts, making them the best options for cheap MI car insurance.
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Brad Larson
Licensed Insurance Agent
Brad Larson has been in the insurance industry for over 16 years. He specializes in helping clients navigate the claims process, with a particular emphasis on coverage analysis. He received his bachelor’s degree from the University of Utah in Political Science. He also holds an Associate in Claims (AIC) and Associate in General Insurance (AINS) designations, as well as a Utah Property and Casual...
Licensed Insurance Agent
UPDATED: Feb 17, 2025
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Minimum Coverage in Michigan
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Minimum Coverage in Michigan
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Minimum Coverage in Michigan
A.M. Best Rating
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13,128 reviewsThe best choice for cheap auto insurance in Michigan is offered by Geico, USAA, and Progressive, with Geico offering the lowest rate at $47 per month.
Geico stands out with its low cost, financial strength, and flexible coverage options. USAA is the best for military auto insurance, providing good customer service to military families, and Progressive stands out with its numerous discounts.
Our Top 10 Company Picks: Cheap Auto Insurance in Michigan
| Company | Rank | Monthly Rates | A.M. Best | Best For | Jump to Pros/Cons |
|---|---|---|---|---|---|
 | #1 | $47 | A++ | Competitive Premiums | Geico |
 | #2 | $51 | A++ | Customer Service | USAA |
 | #3 | $73 | A+ | Extensive Discount | Progressive |
 | #4 | $95 | A++ | Reliability Focused | Auto-Owners |
 | #5 | $100 | B | Safe-Driving Discounts | State Farm |
 | #6 | $120 | A | High-Risk Drivers | The General |
 | #7 | $124 | A+ | Cost-Saving Programs | Nationwide |
 | #8 | $161 | A | Comprehensive Coverage | Farmers |
 | #9 | $195 | A+ | Local Presence | Allstate |
 | #10 | $204 | A | Telematics-Based Savings | Liberty Mutual |
These insurers have the best balance of low cost and suitable coverage and are the ideal choices for cheap mi auto insurance. Use our free comparison tool to see what auto insurance quotes look like in your area.
- Geico offers competitive premiums and stability for cheap auto insurance
- USAA provides top-tier customer service for Military Auto Insurance
- Geico is the top pick for cheap auto insurance with reliable support
#1 – Geico: Top Overall Pick
Pros
- Low Monthly Prices: Geico has affordable prices starting at $47/month with low liability for Michigan drivers, which makes Geico a great value for cheap car insurance in Michigan.
- Financial Stability: Geico’s A++ rating by A.M. Best demonstrates that Geico is financially stable and a good choice for drivers who need stability from their auto insurance provider.
- Comprehensive Coverage Options: According to Geico auto insurance review comments, Geico has liability, collision, and add-ons that provide Michigan drivers with customized options.
Cons
- Limited Discounts: Fewer discounts offered than others might increase costs to Michigan motorists, particularly those with no good driving record or multiple policies.
- Less Personalized Customer Service: A few customers cite difficulty with customer support, showing a preference for more individualized help from their car insurance company.
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#2 – USAA: Best for Customer Service
Pros
- Superb Service: Reputed for outstanding member service, USAA’s claims process and customer care always top the charts in satisfaction among military families in Michigan.
- Affordable Rates: USAA provides excellent value with low rates beginning at $51/month, providing military families with reasonable premiums and solid protection for car insurance in Michigan.
- Financial Strength: A.M. Best has given USAA an A++ rating, ensuring financial security and protecting its members throughout Michigan.
Cons
- Eligibility Restrictions: According to USAA auto insurance review data, military families are the only ones that can be covered, leaving out most Michigan motorists.
- Fewer Coverage Options: Though cost-effective, USAA might not provide the same array of policy personalization or endorsements as other Michigan companies.
#3 – Progressive: Best for Discounts and Customization
Pros
- The breadth of Discounts: Progressive makes drivers money with bundling, multi-car coverage, and safe-driver discounts that resonate with Michigan drivers who have different needs for coverage.
- Customizable Coverage: Progressive provides flexibility to change the amount and types of coverage, allowing Michigan drivers to customize policies to meet their needs.
- Financial Ratings: Progressive’s A+ A.M. Best rating signifies its excellent reliability, making it a trusted option for drivers, according to the Progressive auto insurance review.
Cons
- Higher Premiums for Some: Drivers with less-than-perfect records may find Progressive’s starting rate of $73/month higher than competitors in Michigan.
- Customer Service Concerns: Reviews indicate inconsistent service quality, which may deter Michigan drivers who value responsive and reliable support during claims.
#4 – Auto-Owners: Best for Local Expertise
Pros
- Trustworthy Coverage: Auto-Owners offers dependable coverage at reasonable rates, as cheap as $95 per month, and it’s a brand Michigan drivers can rely on.
- A++ Financial Strength: With an A++ rating from A.M. Best, Auto-Owner’s muscular financial strength ensures dependability to residents of Michigan seeking safe coverage.
- Strong Local Presence: As noted in Auto-Owners auto insurance review feedback, its Michigan-based services cater to the unique needs of local drivers for a personalized experience.
Cons
- Higher Premiums: Auto-Owners’ starting rates may not appeal to Michigan drivers seeking cheap car insurance in MI or minimal coverage options.
- Limited Discounts: Fewer available discounts compared to competitors make it harder for drivers to lower their premiums, reducing affordability for some policyholders.
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#5 – State Farm: Best for Safe Driving Discounts
Pros
- Safe Driving Discounts: State Farm rewards Michigan motorists with discounts for safe driving and participation in their telematics program to promote good driving habits.
- Comprehensive Coverage: State Farm offers complete coverage, liability, and add-ons like roadside assistance to meet the diverse requirements of Michigan motorists, providing flexible solutions.
- A Financial Stability: Rated A by A.M. Best, State Farm delivers financial reliability, ensuring policyholder’s claims are handled securely, as seen in State Farm’s auto insurance review.
Cons
- Higher Initial Rates: With rates starting at $100/month, State Farm’s cost might not be ideal for young motorists in Michigan, particularly those in search of cheap Michigan car insurance.
- Minimum Coverage in Certain Places: Certain areas in Michigan might not have particular coverage, so State Farm might be less accommodating for every driver in the state.
#6 – The General: Best for High-Risk Drivers
Pros
- Ideal for High-Risk Drivers: The General provides insurance for Michigan drivers who have imperfect driving records SR-22 needs, so it is an excellent choice for hard-to-insure drivers.
- Flexible Payment Plans: The General permits drivers to make premium payments in installments, making it more affordable by splitting premium payments.
- A Financial Strength: Rated A by A.M. Best, The General provides stability and confidence for high-risk customers, aligning with details found in The General auto insurance review.
Cons
- Higher Premiums for Others: Non-high-risk drivers in Michigan may face higher costs compared to other auto insurance companies in Michigan that focus on lower-risk demographics.
- Limited Coverage Options: Drivers may find fewer policy customization opportunities, which can be a drawback for those needing extensive or highly specific coverage.
#7 – Nationwide: Best for Cost-Saving Programs
Pros:
- Cost-Saving Programs: Nationwide offers substantial savings in the form of multi-policy discounts and safe-driver programs, providing Michigan drivers with ways of lowering premiums.
- Comprehensive Options: From liability, collision, and customizable add-ons, Nationwide caters to Michigan drivers who want personalized policies and extensive coverage.
- A+ Financial Stability: Backed by an A+ rating from A.M. Best, Nationwide remains a reliable choice for policyholders, as noted in Nationwide auto insurance review findings.
Cons:
- Moderate Rates: Premiums start at $124/month, and Nationwide may not appeal to budget-conscious drivers, especially those seeking only essential coverage or the cheapest insurance in Michigan.
- Customer Service Issues: Drivers have reported slower claims responses and less satisfying support, which could frustrate policyholders in urgent situations.
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#8 – Farmers: Best for Comprehensive Coverage
Pros
- Comprehensive Choices: Farmers provide wider coverage choices like add-ons such as rental reimbursement, accident forgiveness, and road assistance for motorists in Michigan.
- A Stability Financial: A.M. Best’s A rating of Farmer lends financial stability and reliability to consumers, ensuring that they feel a sense of confidence when filing claims.
- Local Expertise: Farmers’ Michigan presence helps drivers access tailored policies suited to their specific driving needs and risks, as highlighted in Farmer’s auto insurance review data.
Cons
- High Premiums: With rates starting at $161/month, Farmers may not suit Michigan drivers on a tight budget or those looking for Michigan cheap car insurance or basic, low-cost coverage.
- Fewer Discounts: Fewer available discounts compared to competitors make premiums harder to reduce, limiting affordability for many policyholders in Michigan.
#9 – Allstate: Best for Customizable Coverage
Pros
- Strong Local Presence: Individualized service and local understanding in Michigan from Allstate give drivers peace of mind with coverage tailored to their needs.
- Customizable Policies: Drivers can choose accident forgiveness, new car replacement, and other add-ons for highly personalized policies, as outlined in Allstate auto insurance review testimonials.
- A+ Financial Strength: With an A+ rating from A.M. Best, Allstate provides security, ensuring drivers are protected financially for claims or emergencies.
Cons
- Higher Premiums: Allstate’s starting premium of $195/month may not suit Michigan drivers seeking cheap insurance Michigan.
- Limited Discounts: Fewer discount opportunities compared to other insurers could result in higher overall costs, particularly for Michigan drivers with clean records.
#10 – Liberty Mutual: Best for Telematics-Based Savings
Pros
- Telematics-Based Savings: Liberty Mutual provides telematics-based savings with its usage-based insurance programs, enabling Michigan drivers to save according to their driving behavior.
- Solid Financial Strength: With an A rating by A.M. Best, Liberty Mutual gives Michigan drivers assurance of its financial strength.
- Extensive Coverage Options: In our Liberty Mutual auto insurance review, it’s emphasized that Michigan drivers can enjoy a variety of coverage options to ensure they are well covered.
Cons
- Expensive Premiums: The rate starts at $204 per month, and Liberty Mutual’s premiums may be higher compared to other options for Michigan drivers seeking the cheapest car insurance in Michigan.
- Limited Discounts: Liberty Mutual offers fewer discount opportunities than some competitors, which could make it a pricier option for some drivers.
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Michigan Car Insurance Coverage and Rates
In Michigan, cheap car insurance mi prices differ per insurer. Geico has the lowest price at $47 for minimum and $99 for full coverage, while Liberty Mutual is the highest at $204 and $424. The others, such as Allstate, cost $195 for minimum and $406 for full coverage.
Michigan Auto Insurance Monthly Rates by Provider & Coverage Level
| Insurance Company | Minimum Coverage | Full Coverage |
|---|---|---|
| $195 | $406 |
| $95 | $195 |
| $161 | $335 |
| $47 | $99 |
| $204 | $424 |
| $124 | $257 |
| $73 | $152 |
| $100 | $209 |
| $120 | $246 |
| $51 | $107 |
It’s important to compare prices. Auto-Owners offers $95 for minimum coverage, while Progressive charges $73. USAA provides $51 for minimum coverage and $107 for full coverage, making it an affordable option.
Also, consider UM/UIM auto insurance coverage to protect yourself in case of an accident with an underinsured or uninsured driver. This coverage is important as the number of uninsured drivers is increasing.
Auto Insurance in Michigan Possible Discounts
Michigan drivers can reduce premiums with discounts from companies like Allstate, Auto-Owners, and Farmers, offering savings for safe driving, good students, and multi-policy bundles.
Auto Insurance Discounts From the Top Providers in Michigan
| Insurance Company | Available Discounts |
|---|---|
| Safe Driving Bonus, New Car Discount, Early Signing Discount, Multi-Policy Discount |
| Paid-in-Full Discount, Multi-Policy Discount, Good Student Discount, Safe Driver Discount |
| Good Student Discount, Multi-Policy Discount, Safe Driver Discount, Bundled Auto & Home Discount |
| Good Driver Discount, Multi-Vehicle Discount, Anti-Theft Device Discount, Military Discount |
| Vehicle Safety Features Discount, Newly Purchased Car Discount, Claims-Free Discount, Multi-Policy Discount |
| SmartRide Program, Accident-Free Discount, Multi-Policy Discount, Good Student Discount |
| Snapshot Program, Homeowner Discount, Continuous Insurance Discount, Multi-Car Discount |
| Drive Safe & Save, Defensive Driving Discount, Good Student Discount, Multi-Car Discount |
| Low-Mileage Discount, Multi-Car Discount, Defensive Driving Discount, Homeowner Discount |
| Safe Driver Discount, Military Discount, New Vehicle Discount, Multi-Policy Discount |
Geico and Liberty Mutual provide discounts for anti-theft devices and safety features, such as programs like the progressive snapshot program review, which rewards safe drivers with telematics-based savings.
Loyalty and low-mileage discounts are available, with State Farm and Allstate offering up to 20% off for clean driving records. Auto-Owners company also provides similar savings for good drivers.
Auto Insurance Discounts From Top Michigan Providers
| Insurance Company | Bundling | Good Driver | Accident-Free | Low Mileage | Loyalty |
|---|---|---|---|---|---|
| 10% | 20% | 15% | 5% | 5% |
| 12% | 18% | 10% | 5% | 5% |
| 8% | 15% | 10% | 5% | 5% |
| 5% | 10% | 5% | 5% | 5% |
| 10% | 15% | 10% | 5% | 5% |
| 10% | 15% | 10% | 5% | 5% |
| 5% | 10% | 5% | 5% | 5% |
| 10% | 20% | 15% | 5% | 5% |
| 5% | 10% | 5% | 5% | 5% |
| 10% | 20% | 15% | 5% | 5% |
Bundling policies is an easy way of saving, but asking about unpublished discounts can uncover more opportunities. Exploring these options helps Michigan drivers find affordable, customized coverage.
Collision and Comprehensive Coverage in Michigan
In Michigan, No-Fault Auto Insurance covers most aspects of an accident but doesn’t protect your vehicle unless it’s properly parked. For vehicle damage, collision insurance is essential to cover repairs or replacement.
Michigan Accidents & Claims per Year by City
| City | Accidents per Year | Claims per Year |
|---|---|---|
| Ann Arbor | 2,500 | 1,000 |
| Detroit | 60,000 | 25,000 |
| Flint | 4,000 | 1,500 |
| Grand Rapids | 5,000 | 2,000 |
| Kalamazoo | 2,000 | 800 |
| Kalamazoo | 2,000 | 800 |
| Lansing | 3,000 | 1,200 |
| Sterling Heights | 2,500 | 1,000 |
| Troy | 2,000 | 800 |
| Warren | 3,500 | 1,500 |
If your car is totaled or needs repairs, collision coverage helps cover the cost. The other driver’s insurance may cover only up to $1,000 under a “min-tort” policy, which is often insufficient for modern repairs.
Michigan offers three types of collision coverage: Limited, Standard, and Broad Form. Comprehensive insurance covers damage from theft, falling objects, animals, fire, floods, and vandalism.
5 Most Common Auto Insurance Claims in Michigan
| Claim Type | Portion of Claims | Cost per Claim |
|---|---|---|
| Collision | 5% | $5,470 |
| Comprehensive | 4% | $2,306 |
| Bodily Injury Liability | 1% | $26,501 |
| Property Damage Liability | 1% | $24,980 |
| Personal Injury Protection (PIP) | 1% | $24,980 |
Collision and comprehensive coverage may be unnecessary for older cars with low values. When searching for low-cost auto insurance in Michigan, consider your coverage needs and the car’s value.
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Core Car Insurance Coverage and Premiums in Michigan
Factors like astronomical medical costs, traffic levels, and weather-related hazards drive Michigan’s automobile insurance premiums. These push claims and premiums up, which makes the state’s premiums more expensive.
Michigan Report Card: Auto Insurance Premiums
| Category | Grade | Explanation |
|---|---|---|
| Average Claim Size | A | High medical costs drive up claims |
| Traffic Density | B | Urban areas have higher traffic volumes |
| Vehicle Theft Rate | B | Higher theft rates in urban regions |
| Weather-Related Risks | B | Severe winters increase accident rates |
| Uninsured Drivers Rate | C | Approximately 25% uninsured drivers |
Urbanization means higher traffic and motor vehicle thefts, which adds to costs. Furthermore, severe winters in Michigan are a contributing factor to increased accidents, impacting overall insurance rates.
Approximately 25% of Michigan drivers are uninsured. These factors that affect your car insurance premium make Michigan one of the most expensive states for auto insurance, ranking third in full coverage rates.
Michigan-Core-Car-Insurance-Coverage-Costs
| Coverage Types | Annual Costs in 2015 |
|---|---|
| Liability | $795.32 |
| Collision | $413.83 |
| Comprehensive | $154.85 |
| Combined | $1,364 |
In 2015, Michigan’s liability coverage averaged $795.32, collision $413.83, and comprehensive $154.85. They total $1,364, $341 higher than the national average of $1,009.38 for full coverage.
Tips on How to Save on Michigan Car Insurance Premiums
Michigan auto insurance rates might be higher than the national average, but you can still reduce your costs. Innovative strategies allow you to save on your policy without sacrificing MI auto insurance requirements. You can save money on your policy by following a few smart strategies.
5 Ways to Save on Michigan Car Insurance Premiums
- Compare Rates: Insurance rates vary from insurer to insurer, so get several quotes to see the lowest rate.
- Bundle Policies: Bundling MI auto insurance requirements with other policies, such as homeowner’s or renters’ insurance, can earn you discounts.
- Raise Your Deductible: Your premium is lowered by raising your deductible. If you must file a claim, just ensure you can afford the higher deductible.
- Keep a Clean Driving Record: Defensive drivers can get discounts like a safe driver discount by avoiding accidents and traffic tickets.
- Look at Pay-Per-Mile Insurance: If you drive fewer miles, pay-per-mile insurance could save you money by charging you based on miles driven.
Using these tips, you can save on car insurance while complying with state requirements. It’s all about making the right choices to lower costs without sacrificing coverage.
Coverage Options in Michigan
In Michigan, though the state requires minimum levels of automobile liability coverage, it is advised to take higher coverage to safeguard yourself. The minimum levels can be too low to pay for the expenses if you get involved in a severe accident or get sued.
In the event of an accident, the costs can easily exceed the state’s minimum levels, leaving you with a lot of out-of-pocket expenses. It’s better to consider taking additional coverage that could save you from financial stress so you don’t end up in this situation.
Geico stands out not only for its affordable premiums but also for its financial strength, offering Michigan drivers peace of mind with robust coverage options and a reputation for stability that few competitors can match.
Chris Abrams Licensed Insurance Agent
Though Michigan’s minimum coverage doesn’t go far, we’re here to help you find the cheapest car insurance options in Michigan that still meet your coverage needs.
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Affordable Car Insurance in Michigan: Top Providers to Consider
For cheap Michigan car insurance companies, drivers can find affordable options from Geico, USAA, and Progressive, with rates starting at $47 per month. These providers offer low premiums, great service, and discounts. Geico leads with the lowest rates for minimum coverage, while USAA is ideal for military families.
Progressive also offers savings opportunities. If you’re looking for cheap auto insurance in Michigan or wondering how to lower your auto insurance premiums, comparing providers is key to finding the best deal. Start saving on your auto insurance by entering your ZIP code and comparing quotes.
Frequently Asked Questions
What factors affect auto insurance premiums in Michigan?
Driving history, age, location, vehicle type, credit score, and coverage level are some variables affecting Michigan auto insurance costs. Look at our these factors affect your auto insurance rates for expanded insights.
How does Michigan’s no-fault insurance system affect my rates?
Michigan’s no-fault insurance system often increases premiums because it requires personal injury protection (PIP), covering medical expenses regardless of fault.
Can I lower my premium by increasing my deductible in Michigan?
Yes, increasing your deductible can lower your premium and help you find cheap auto insurance in Michigan, but it also means higher out-of-pocket costs if you need to file a claim.
Is it better to choose minimum coverage or full coverage in Michigan?
This depends on your vehicle’s value and personal preferences. Minimum coverage is cheaper, but full coverage offers more protection. Dive into our comprehensive and collision coverage to gain a deeper insight.
Are there discounts available for young drivers in Michigan?
Young drivers can access discounts such as good student, driver safety courses, or telematics-based discounts, helping them secure cheap insurance in Michigan.
What should I do if I can’t afford Michigan’s high auto insurance rates?
Consider shopping for quotes to find cheap car insurance in Michigan, looking into low-income assistance programs, or exploring limited coverage options. Use our free comparison tool to see what auto insurance quotes look like in your area.
How does Michigan’s insurance law affect claims for accidents?
Michigan’s no-fault auto insurance law guarantees your insurance pays for medical bills and lost income, regardless of fault, simplifying claims but often leading to higher premiums. Explore our fault vs. no-fault auto insurance laws for more insights.
Do I need uninsured motorist coverage in Michigan?
While not required by law, uninsured motorist coverage is recommended for auto insurance in Michigan to protect you in case of an accident with an uninsured driver.
Can I get discounts for bundling auto insurance with home or renters insurance in Michigan?
Yes, many insurers offer discounts for bundling auto insurance with home or renters insurance, including car insurance in MI, helping you save on both policies. Get fast and cheap auto insurance coverage today with our quote comparison tool.
How do Michigan insurance companies respond to weather-related damage claims?
Weather-related damage, such as hail or windstorms, is typically covered under comprehensive coverage, though you should check your policy for any exclusions. Read more in our how to prepare for an emergency.