Best cheap car insurance in Hamtramck

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Hamtramck, Michigan has a population of 22,423 people comprising 6,777 households and 4,615 families. Hamtramck is in part surrounded by Detroit and sits about five miles from the center of Detroit. The I-75 Freeway runs along Hamtramck’s western border and Interstate I-94 runs near its southern border.

The average annual car insurance rates in Hamtramck are high, $2,153 for minimum coverage and $5,101 for full coverage. The current Michigan average annual car insurance premium is $948 (minimum) and $2,309 (full). Hamtramck’s crime rate has been considerable, with a high rate of auto theft, though there has been a steady improvement over the past ten years. This crime rate may have raised cost for car insurance, making looking for an affordable option even more important.

Best car insurance companies in Hamtramck

Four companies have been selected as the best in Hamtramck for providing car insurance. Those companies are listed in the chart below with average annual policy premiums determined by 2021 rates from Quadrant Information Services. We looked at a variety of factors in choosing these companies including company financial strength, the J.D. Power Customer Satisfaction rating, and the extent of its policy choices and discounts.

Insurance company J.D. Power customer satisfaction score Average annual premium for minimum coverage Average annual premium for full coverage
Auto-Owners 845 / 1000 $1,552 $3,621
Travelers 828 / 1000 $259 $3,586
USAA 827* / 1000 $723 $1,835
Westfield 836 / 1000 $313 $2,974

Auto-Owners

J.D. Powers gave Auto-Owners a high score of 845 on overall customer satisfaction for the North Central region in 2020. The customer satisfaction rating is based on an analysis of five factors – “billing process and policy information, claims, interaction, policy offerings, and price”. Auto-Owners has a broad range of policy options to meet the specific needs of most drivers and their families.

Travelers

Travelers is one of the most established and well-known insurance companies in the country and has an AM Best rating of A++ for its superior financial strength. Travelers offers a wide range of policy choices and discounts, including accident forgiveness. With the Travelers accident forgiveness plan, an eligible policyholder can be forgiven one accident every 36 months. Travelers’ Responsible Driver Plan also offers forgiveness of minor violations in addition to accident forgiveness.

USAA

USAA is among the leading companies in most car insurance rating categories including customer service, car insurance plan offerings, discounts, and claim handling. Though only military members and their families may become USAA members, those who can join experience a very friendly welcoming. USAA phone representatives are very well trained and knowledgeable and can answer most questions and help to clearly determine the best options to meet your needs.

Westfield

Westfield Insurance is one of the largest privately-owned companies in Ohio. With its personal insurance, including auto policies, Westfield serves a select market of 10 midwestern states including Michigan. While Westfield offers inexpensive insurance policies to meet the basic needs of most drivers, Westfield has more too. Westfield agents typically offer excellent service and assistance in selecting additional protections to create a tailored policy for you.

Cheapest car insurance in Hamtramck

The average annual auto insurance premium in Hamtramck for minimum coverage is high at $2,153 for basic coverage. The average annual premium for the state of Michigan is much less at $984.

The chart below lists five companies providing cheap basic coverage on average. Simply because these companies offer inexpensive policies does not mean they can not also provide more extensive coverage with excellent options and add-ons or the least expensive rates for your situation.

All of the companies listed below are noted for specific strengths. USAA delivers focused personal service in keeping with its disciplined military roots. Auto-Owners also is known for its strong customer services receiving the highest score in most U.S. regions on the J.D. Power 2019 U.S. Auto Insurance Study. Each company offers a wide range of options for enhancing basic coverage plans to fit specific needs. Additionally, each company provides a host of discounts to allow you to adequately protect yourself and your family without breaking the bank.

Insurance company Average annual premium for minimum coverage Average annual premium for full coverage
Travelers $259 $3,586
USAA $722 $1,835
MetLife $976 $3,258
Progressive $1,453 $2,709
Auto-Owners $1,552 $3,621

Hamtramck insurance requirements

Michigan law requires certain minimum levels of coverage that each driver in Hamtramck and throughout Michigan must maintain. Policies must include a certain level of protection for personal injury and property damage that you cause to others. Since 1973, Michigan also required that each driver maintain coverage for their own personal injury protection (PIP). However, in July 2020, Michigan law changed and drivers now can reduce or opt-out of this coverage completely provided they maintain a certain level of personal health care coverage.

Most people will find that these minimum levels of coverage are not sufficient to fully protect them or their families in all situations. Therefore, it is important to understand, with the help of provider agents and representatives, the benefits each company offers to assure you have adequate coverage.

Car insurance discounts in Hamtramck

There are a host of discounts that are available in Hamtramck if you are looking for coverage. Even after you have had a policy for a while, it is a good practice to periodically review your coverage to see if other discounts have become available. Here are some examples of common discounts:

  • Senior discounts
  • Defensive driving discounts with completed courses
  • Accident-free / Good-driver discounts
  • Various student and younger driver discounts
  • Low annual mileage discounts
  • Multi-vehicle and multi- driver discounts

Frequently asked questions

What is the best car insurance company?

This article has highlighted some of the best and cheapest insurance companies in Hamtramck. To determine the best coverage to meet your specific needs, we’ve also provided you with some tips about coverage options and discounts available. The best way to find just the right car insurance company for you is to use this information to obtain several quotes and compare.

How much does car insurance in Hamtramck cost?

As the chart above shows, the average cost of car insurance in Hamtramck is higher than state and national averages. This does not mean that you can not find a well-priced car insurance policy in Hamtramck by taking advantage of the many discounts that Michigan law permits.

How much car insurance do I need in Hamtramck?

Michigan law has clearly defined the minimum requirements for auto liability and property insurance coverage in Hamtramck and throughout the state. Meeting these requirements will satisfy the law but may not adequately address your real risk should a catastrophic event occur. Research and comparing quotes with assistance from company agents can help you determine how much coverage serves you best.

Methodology

Bankrate utilizes Quadrant Information Services to analyze rates for all ZIP codes and carriers in all 50 states and Washington, D.C. Quoted rates are based on a 40-year-old male and female driver with a clean driving record, 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 sample drivers own a 2019 Toyota Camry, commute five days a week and drive 12,000 miles annually.

These are sample rates and should be used for comparative purposes only. Your quotes may be different.

Rates are determined based on 2021 Quadrant Information Services data.

Written by
Rick Hoel
Insurance Contributor
Rick Hoel is an international business attorney and legal and insurance writer for Bankrate.com, Reviews.com and Accessibility.com. Over the last several years, he has covered topics dealing with personal and commercial insurance and technology and the law. Rick is General Counsel and Director of Risk Management and sits on the Board of Power Stow Americas Inc., a subsidiary of Power Stow A/S in Denmark, the world leader in the supply of tracked conveyor systems to the airline industry.