Best cheap car insurance in Livonia

Bankrate Logo

Why you can trust Bankrate

While we adhere to strict , this post may contain references to products from our partners. Here's an explanation for . This content is powered by HomeInsurance.com (NPN: 8781838). For more information, please see our

The estimated population of Livonia, Michigan was just over 93,665 in 2019. This number has decreased slightly since 2010. Livonia is a distant suburb of Detroit (estimated population in 2021 of 3,530,000), a major metropolis where car insurance rates are understandably higher.

The national average annual insurance premium is $1,674. The average for Michigan is higher at $2,309. For Livonia residents, the average minimum premium in Livonia is 1,058 and the full coverage average of $2,534 is more expensive than the state average.

In locations like Livonia where car rates are higher than the surrounding area, it is worthwhile to search for the best rates available for you.

Best car insurance companies in Livonia

The following four companies were selected as the best auto insurance providers in Livonia based upon a combination of factors. As the chart below demonstrates, each company ranked high on the J.D. Power Customer Satisfaction Survey for the North Central region where Livonia is located. We used 2021 rate data from Quadrant Information Services to determine average annual rates. Additionally, each of the four insurance companies ranked high in our assessments of the breadth of basic coverage and add-ons, discount options, accident assistance and claim handling.

Insurance company J.D. Power 2020 North Central customer satisfaction score Average annual premium for minimum coverage Average Annual premium for full coverage
Auto-Owners 845 / 1000 $908 $2,092
Geico 851 / 1000 $1,223 $2,144
Progressive 824 / 1000 $750 $1,391
State Farm 829 / 1000 $2,707 $4,261

Auto-Owners

Auto-Owners received one of the highest J.D. Power Customer Satisfaction Scores for 2020 in the North Central region, in large part the result of the service provided by a network of independent agents who often can provide tailored coverage options not readily apparent through online resources. Adding to this advantage, Auto-Owners has a number of highly touted additional coverages including diminished value coverage and loan gap/lease gap insurance.

Geico

Geico was singled out as the best car insurance company by J.D. Power in its 2020 North Central Customer Satisfaction Survey. Despite an excellent reputation for low rates, Geico does not charge less because less is offered. Geico offers a number of popular coverage options and add-ons such as rental car reimbursement and roadside assistance to eligible policyholders.

Progressive

Progressive’s car insurance rates are middle range in comparison with other companies. The company does however offer a number of creative ways to possibly reduce rates including bundling with Progressive home and renters insurance. Progressive has an excellent reputation for claims handling and overall customer service according to J.D. Power.

State Farm

State Farm is a well established insurer and though its rates are not the cheapest on average, the company provides a wide range of options not always available with other companies. State Farm has many options for people to customize a policy fitting their needs, and the company offers numerous potential discounts such as its well known Steer Clear program for younger drivers.

Cheapest car insurance in Livonia

We have highlighted in the table below the five cheapest car insurance companies in Livonia. The five companies in the table are well recognized and each has advantages beyond simply the best prices. Note that two of the companies, Progressive and Auto-Owners also appear above on our list of the best companies in Livonia. All but MetLife rank high on AM Best’s ranking for financial strength. MetLife is not rated by the service.

Each company has its strengths with Progressive and USAA standing out for customer service and claim response. Auto-Owners is also highly touted for its discounts and wide range of options and Progressive offers creative savings through bundling. MetLife’s new car replacement policy is a valuable option.

Insurance company Average annual premium for minimum coverage Average annual premium for full coverage
Travelers $259 $3,586
USAA $509 $1,329
MetLife $514 $1,460
Progressive $750 $1,391
Auto-Owners $908 $2,092

Livonia insurance requirements

The State of Michigan requires its cities’ drivers to maintain the following minimum levels of auto insurance. A car insurance policy in Livonia must cover legal costs and any other legal payments to an injured party which the insured would be responsible for if found liable. This means you need at least:

  • $20,000 for each injured person (bodily injury liability)
  • $40,000 for each accident
  • $10,000 for property damage per accident.

It is important to understand that while maintaining insurance meeting the above requirements will comply with state law for a low cost, this minimum coverage may still leave you exposed personally to greater liability. For example, most financing companies and leasing agents will require coverage beyond the bare minimum.

Car insurance discounts in Livonia

There are a number of possible car insurance discounts available to residents, including for:

  • Young drivers with good grades
  • Drivers insured continuously for more than six months
  • Older drivers who take driving refresher courses
  • People who go paperless, pay the bill in full, set up automatic payments or pay online
  • People who bundle home and auto insurance or insure multiple vehicles.

Finally, Michigan’s new No-Fault Auto Insurance Law which went into effect on July 2, 2020 is not really a discount but permits drivers to decide to opt out of the obligation since 1973 to buy personal injury protection. It is important to note that this option, which can provide significant savings, is only available if a driver’s personal health insurance covers injuries from auto accidents and the health insurance policy provides for a $6,000 deductible or less.

Frequently asked questions

What is the best car insurance company?

There can be any number of car insurance companies that might provide the best coverage to meet your specific needs. We have highlighted those that stand out in the Livonia area, but in the end, determining the best policy for you will require research and comparing several quotes.

How much car insurance do I need in Livonia?

Michigan has established bare minimum amounts of liability and property insurance required in a policy in Livonia. These baseline limits however are not designed to assure you are truly protected from the potential liability of an accident. The amount of coverage you will need will depend upon your own level of comfort and the requirements of any third party vehicle lender or lessor.

Methodology

Bankrate utilizes Quadrant Information Services to analyze 2021 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.