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Last updated on Jul 07, 2020

The Best Car Insurance Companies in Michigan

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What Does Homeowners Insurance Cost in Michigan?

Average annual premium in Michigan : $1,364

$1,364
$0 $2,500
U.S. Average
$1,173

The Best Auto Insurance for Michigan

When it comes to auto insurance in Michigan, you’ve got plenty of options. Unfortunately, Michigan has some of the highest premiums in the country thanks to the unlimited medical benefit under the state’s mandatory Personal Injury Protection (PIP) coverage and the widespread use of comprehensive coverage to protect against Michigan’s notoriously changeable weather. This means it’s not always easy to spot the best car insurance in Michigan.

We’ve selected Geico as the top auto insurance provider in Michigan based on key factors including coverage types, premium costs and discounts. To top it off, we’ve compiled a list of the six best car insurance providers in Michigan to help you find best-fit coverage. 

The 6 Best Auto Insurance Companies in Michigan

Comparing the Best Car Insurance Companies in Michigan

Annual PremumJ.D.Power AM Best
Geico$1,0403/5A
AllState$3,5473/5A+
State Farm$1,8844/5A++
Progressive$1,5542/5A+
USAA$1,1145/5A++
Auto-Owners Insurance$1,2624/5A++

Quadrant car insurance rate data as of 18/06/2020

Geico


Geico
Geico
A AM Best Financial Strength
3/5 J.D. Power Customer Satisfaction
Online quote: ✓
24/7 claims service: ✓
Average annual premium: $1,040
Read review

Geico tops our list thanks to personalized quotes tailored to your individual circumstances. While it doesn’t offer the cheapest — or most expensive — car insurance in Michigan, the ability to quickly get a quote online, customize your quote and compare multiple insurance provider quotes makes it our top choice for Michigan car insurance. The company has been in operation since 1936, making it a reliable option for those who prefer a nationwide, known brand.

Pros

  • Easy online quote tool.
  • Multiple discounts, especially for safety features.
  • Lower than average customer complaints.

Cons

  • Coverage can be expensive depending on your history.
  • Average customer service scores.

Allstate


Allstate
Allstate


Allstate
A+ AM Best Financial Strength
3/5 J.D. Power Customer Satisfaction
Online quote: ✓
24/7 claims service: ✓

Average annual premium: $3,547
Read review

Allstate began offering insurance coverage in 1931 and is now a well-known national provider. The company earns top marks for financial stability and claims satisfaction and provides a host of discounts to help drivers save money while keeping their vehicle protected. In addition, Allstate offers two mobile apps to help encourage good driving habits.

Pros

  • Large variety of discounts.
  • Offers free apps to help improve driving habits.
  • Offers rideshare coverage.

Cons

  • Below average purchase satisfaction based on J.D. Power’s 2020 U.S. Auto Insurance Satisfaction Study.
  • Limited supplemental coverage options.

State Farm


State Farm
State Farm


State Farm
A++ AM Best Financial Strength
4/5 J.D. Power Customer Satisfaction
Online quote:✓
24/7 claims service: ✓
Average annual premium: $1,884
Read review

State Farm got its start in 1922 offering a single line of auto insurance. Today, the company is known for its variety of car insurance discounts along with its Drive Safe & Save program that rewards good driving habits with lower policy premiums.

Pros

  • Above-average financial stability.
  • Great discounts for multi-line policies, anti-theft devices and student drivers.
  • Drive Safe & Save program rewards good driving habits.

Cons

  • Limited specific coverage options.
  • Recent financial losses have led to some Michigan office closures.

Progressive


Progressive
Progressive


Progressive
A+ AM Best Financial Strength
2/5 J.D. Power Customer Satisfaction
Online quote:✓
24/7 claims service: ✓
Average annual premium: $1,554
Read review

You may know Progressive for its happy-go-lucky insurance advisor “Flo” in television commercials. The company has been serving Americans since 1939 and is now one of the top five auto insurance providers in the country. Progressive offers an in-depth online quote tool and is known for helping customers find affordable, best-fit coverage.

Pros

  • Great online quote tool.
  • Low-cost insurance options.
  • Lots of great discount options.

Cons

  • Lower than average claims satisfaction.
  • Snapshot app can’t compare with those from Allstate or State Farm.

USAA


USAA
USAA
A++ AM Best Financial Strength
5/5 J.D. Power Customer Satisfaction
Online quote: ✓
24/7 claims service: ✓
Average annual premium: $1,114
Read review

USAA got its start in 1922 providing insurance coverage for United States Army members. Today, the company continues that tradition of service by offering policies for active military personnel, veterans, their spouses and their children. Great customer satisfaction and coverage rates make USAA a solid choice — but the best coverage options are limited to military members.

Pros

  • Superior customer service ratings.
  • Specific discounts for military members.
  • Large variety of coverage options.

Cons

  • Most services are only available to military members and their families.
  • Mid-range insurance premiums.

Auto-Owners Insurance


Auto-Owners Insurance
Auto-Owners Insurance


Auto-Owners Insurance
A++ AM Best Financial Strength
4/5 J.D. Power Customer Satisfaction
Online quote: X
24/7 claims service: ✓
Average annual premium: $1,262
Read review

Founded in 1916, Auto-Owners insurance provides car insurance in Michigan and offers a wide range of coverage options. Clients can enjoy even more savings by bundling 10 supplemental coverages into a single monthly rate. 

Pros

  • Large variety of discounts.
  • Above-average customer satisfaction ratings.
  • Combined coverage options offer substantial savings.

Cons

  • Only available in 26 states.
  • No online quote tool.

The Cheapest Car Insurance Companies in Michigan

Top 3 Cheapest Car Insurance Companies in Michigan

  • Metropolitan Insurance — $628.
  • Geico — $1,040.
  • USAA — $1,114.

Top 3 Most Expensive Car Insurance Companies in Michigan

  • Frankenmuth Mutual — $1,928.
  • Citizens Insurance — $1,941.
  • Allstate — $3,547.

There’s a significant difference between the cheapest car insurance in Michigan and the most expensive. While Metropolitan insurance comes in with a yearly premium of just $682, Allstate tips the scales at $3,547. It’s worth noting that these are average values; your current vehicle, driving record and claims history play a significant role in your insurance’s total cost. The best practice is to get personalized quotes from your preferred providers and see how cheap car insurance in Michigan stacks up against more expensive options.

Guide to Michigan Car Insurance

When you’re looking for Michigan car insurance, it’s worth keeping four key factors in mind:

  • Michigan is a no-fault state.
  • The state has unlimited personal injury protection.
  • Most drivers opt for comprehensive coverage.
  • Michigan has some of the highest average premiums nationwide.

Michigan Minimum Liability

Liability requirements vary by state. Liability refers to the amount of coverage you’re required to carry to protect both people and property in the event of an accident. It’s divided into two broad categories — bodily injury and property damage. Even though you must meet the minimum requirements for liability, you can also opt for more coverage with additional premiums for better protection.  

The minimum liability requirements for personal injury protection (PIP) and property protection insurance (PPI) in Michigan are 20/40/10, which means you need $20,000 worth of bodily injury coverage per person, $40,000 worth of bodily injury coverage per accident and $10,000 worth of property damage coverage per accident. Michigan also has an unlimited medical benefit tied to its PIP regulations, meaning there’s no upper limit on the medical claims and payouts possible after an accident if the driver or another party is seriously injured. As a result, injury claims could substantially outpace minimum liability requirements.

Minimum liability required in the state of Michigan is divided as follows:

  • $20,000 bodily injury coverage per person.
  • $40,000 bodily injury coverage per accident.
  • $10,000 for property damage.

Methodology

Michigan Car Insurance Companies FAQ

Who has the cheapest car insurance in Michigan?

Metropolitan Insurance offers the cheapest car insurance in Michigan at an average annual premium of $628. Below is a list of car insurance companies by annual premiums.

CompanyAnnual Premium
Metropolitan Insurance$628
Geico$1,040
USAA$1,114
Auto-Owners Insurance$1,262
Progressive$1,554
State Farm$1,884
Frankenmuth Mutual$1,928
Citizens Insurance$1,941
AllState$3,547

How much is car insurance per month in Michigan?

The cost of car insurance in Michigan varies significantly depending on your coverage needs, driving record and claims history. While some providers offer basic coverage starting at just over $50 per month, more comprehensive policies can reach almost $300 per month.

Are insurance rates going down in Michigan?

Insurance rates in Michigan are predicted to decrease as the state brings in new legislation in July 2020, which allows drivers to opt-out of PIP protection.

About the Authors

Doug Bonderud is an award-winning freelance writer with the unique ability to translate complex financial concepts into approachable, actionable content that both captures reader interest and delivers key brand messaging.