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Average cost of car insurance in Michigan for 2022
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The average cost of car insurance in Michigan in 2022 is $2,345 per year for full coverage and $946 per year for minimum coverage, according to Bankrate’s analysis of average rate data. What that means is that the average cost of car insurance in Michigan is higher than the national average for car insurance, which is currently $1,771 per year for full coverage policies and $565 for minimum coverage car insurance policies.
There are several factors that likely contribute to the above-average cost of owning and insuring a car in Michigan. For starters, Michigan has some of the highest minimum coverage requirements in the nation. Plus, this state follows no-fault insurance laws, which means drivers must file a claim with their own insurance company after an accident, regardless of which driver caused it. Because of the higher average car insurance rates in Michigan, drivers may want to know more about how car insurance costs are determined in Michigan, along with what may help them to save on their policy.
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Coverage.com, LLC is a licensed insurance producer (NPN: 19966249). Coverage.com services are only available in states where it is licensed. Coverage.com may not offer insurance coverage in all states or scenarios. All insurance products are governed by the terms in the applicable insurance policy, and all related decisions (such as approval for coverage, premiums, commissions and fees) and policy obligations are the sole responsibility of the underwriting insurer. The information on this site does not modify any insurance policy terms in any way.
How much does car insurance cost in Michigan?
The average cost of minimum coverage in Michigan is $946 per year in 2022, while full coverage auto insurance costs an average of $2,345 annually. The cost of car insurance is dependent upon many factors, including:
- Driving records: Maintaining a good driving record will generally lower your rates.
- Annual mileage: Insurers often assume the less time on the road, the fewer accidents you may be at risk for.
- Location: High crime areas could mean a greater chance for vandalism or car theft, which may be reflected in your premiums.
- Age: Older drivers are generally more experienced and less likely to have accidents than teen and young adult drivers.
Car insurance companies in Michigan are not allowed to consider your credit score or gender when calculating your premium.
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Coverage.com, LLC is a licensed insurance producer (NPN: 19966249). Coverage.com services are only available in states where it is licensed. Coverage.com may not offer insurance coverage in all states or scenarios. All insurance products are governed by the terms in the applicable insurance policy, and all related decisions (such as approval for coverage, premiums, commissions and fees) and policy obligations are the sole responsibility of the underwriting insurer. The information on this site does not modify any insurance policy terms in any way.
Michigan car insurance rates
| AVERAGE ANNUAL MINIMUM COVERAGE PREMIUM | AVERAGE ANNUAL FULL COVERAGE PREMIUM |
|---|---|
| $446 | $1,296 |
Michigan car insurance rates by city
The average annual premium for full car insurance coverage in Michigan is $2,345. Residents of large metropolitan areas typically pay higher rates for car insurance. In fact, Michigan residents in Detroit and Dearborn pay high rates.
| CITY | AVERAGE ANNUAL PREMIUM FOR FULL COVERAGE | % DIFFERENCE FROM STATE AVERAGE ANNUAL PREMIUM |
|---|---|---|
| Boston | $1,555 | 17% |
| Brockton | $2,019 | 36% |
| Cambridge | $1,304 | 1% |
| Fall River | $1,574 | 18% |
| Lowell | $1,367 | 5% |
| Lynn | $1,865 | 31% |
| New Bedford | $1,572 | 18% |
| Quincy | $1,444 | 10% |
| Springfield | $1,710 | 24% |
| Worcester | $1,594 | 19% |
Michigan car insurance rates by company
| CAR INSURANCE COMPANY | AVERAGE ANNUAL MINIMUM COVERAGE PREMIUM | AVERAGE ANNUAL PREMIUM FOR FULL COVERAGE |
|---|---|---|
| Allstate | $426 | $1,473 |
| Amica | $427 | $1,478 |
| Arbella | $460 | $1,592 |
| Geico | $494 | $1,110 |
| Plymouth Rock | $297 | $1,010 |
| Safety | $348 | $904 |
| The Hanover | $232 | $1,427 |
| Norfolk & Dedham | $399 | $1,175 |
| Travelers | $497 | $41 |
| Vermont Mutual | $382 | $1,206 |
Cost of living in Michigan and car insurance
When shopping for the best car insurance rates in Michigan, it’s important to factor in your other expenses so that you’re looking at your total living costs. The graph below shows the average annual cost of living in Michigan, including the average cost of car insurance. Use this graph as a guide to help determine your overall expenses so that you can decide what insurance rates fit in your budget.
Michigan car insurance rates by age
Rates vary considerably depending on a driver’s age. Twenty-year-olds pay among the highest rates but may still be able to purchase affordable policies with careful research and by taking advantage of numerous discounts.
| AGE | AVERAGE ANNUAL FULL COVERAGE PREMIUM IN MASSACHUSETTS |
|---|---|
| Age 16 | $2,002 |
| Age 17 | $1,850 |
| Age 20 | $3,127 |
| Age 22 | $1,716 |
| Age 25 | $1,451 |
| Age 30 | $1,345 |
| Age 35 | $1,260 |
| Age 40 | $1,223 |
| Age 60 | $1,176 |
| Age 70 | $1,095 |
*16-year-old and 17-year-old calculated on parent’s policy disclosure
Michigan car insurance rates by driving record
The table below reveals how substantially a serious driving violation might impact rates.
| DRIVING INCIDENT | AVERAGE ANNUAL PREMIUM IN MASSACHUSETTS | % INCREASE IN AVERAGE ANNUAL PREMIUM |
|---|---|---|
| Clean driving record | $1,296 | 0% |
| Speeding ticket | $1,716 | 24% |
| At-fault accidents | $2,169 | 40% |
| DUI | $2,465 | 47% |
How to save on car insurance in Michigan
There are a number of ways Michigan drivers may be able to get cheap car insurance. Here are some options you may want to consider:
- Increase your deductible: Doing this will reduce your premium but result in a lower claim payout. Evaluate your personal needs and risk tolerance by talking to an insurance agent before adjusting your deductible to have better peace of mind.
- Improve your driving skills: Taking a driver training course can sometimes help you reduce your rates. Even if you do not take a course, avoiding accidents and tickets and maintaining a clean driving record could mean you avoid insurance surcharges.
- Reduce or eliminate your personal injury protection: Until July 1, 2020, Michigan drivers were required to carry PIP as part of their car insurance policies. On that date Michigan’s No-Fault Insurance Law was amended to permit drivers to eliminate or reduce the amount of PIP coverage provided other health insurance policies applied to cover personal injuries. However, it is important to note that PIP coverage pays for your injuries and the injuries of your passengers in an accident, regardless of who is at fault. Reducing or removing the coverage could mean you will be responsible for out-of-pocket expenses if you or your passengers are injured.
There are many other potential auto insurance discounts such as bundling home and auto coverage, senior discounts and discounts for paying premiums in an annual lump sum or by automatic deduction from a bank or credit card account. Ask what discounts carriers you are interested in might offer.
Michigan car insurance requirements
Michigan law establishes several minimum requirements for no-fault coverage that must be included in car insurance policies:
- Personal Injury Protection (PIP): As noted above, starting on July 1, 2020, drivers are now able to reduce or eliminate this coverage under certain conditions.
- Property Protection (PPI): Policies need to cover $1 million to pay for damage your vehicle does to other people’s property.
- Residual bodily injury and property damage liability (BI/PD): BI/PD covers damages you are responsible for from a car accident in which someone was killed or seriously injured. Michigan requires 50/100/50 liability limits.
While the purpose of the minimum car insurance requirements above are to assure certain protections for Michigan drivers, it does not always follow that these coverages are sufficient to meet your needs. An insurance agent can discuss the proper limits for you and your family.
Frequently asked questions
Methodology
Bankrate utilizes Quadrant Information Services to analyze 2022 rates for all ZIP codes and carriers in all 50 states and Washington, D.C. Quoted rates are based on a male and female driver with a good credit and the following full coverage limits:
- $100,000 bodily injury liability per person
- $300,000 bodily injury liability per accident
- $50,000 property damage liability per accident
- $100,000 uninsured motorist bodily injury per person
- $300,000 uninsured motorist bodily injury per accident
- $500 collision deductible
- $500 comprehensive deductible
To determine minimum coverage limits, Bankrate used minimum coverages that meet each state’s requirements. Our base profile drivers own a 2020 Toyota Camry, commute five days a week and drive 12,000 miles annually.
Driving record rates were calculated by evaluating our base profile with the following incidents applied: clean record (base), at-fault accident, single speeding ticket, single DUI conviction and lapse in coverage.
Age rates were calculated by evaluating our base profile with the ages 18-60 (base: 40 years) applied.