Cheap car insurance in Michigan does not have to be limited or lackluster coverage. You can still get a quality policy without breaking the bank. It simply requires you to be a smart shopper. This means evaluating what type of insurance is required of you, assessing any additional coverage you may need and then comparing rates from the top auto insurance companies in Michigan.
Cheap Car Insurance in Michigan: How Much Should You Expect to Spend
Your car insurance rates will vary depending upon a variety of factors, one of which is your location. Michigan, as a whole, has an average yearly premium of about $400 ($1,934 to $1,541) more than the national average. One reason for the higher rates for residents of Michigan is the weather. Worse than normal road conditions in the fall and winter months increase the risk that insurance companies must assume. Another reason is the relatively high minimum requirements for drivers. Rural areas of the state will be less expensive, but urban areas, such as Detroit, will have higher average rates.
Cheap Car Insurance in Michigan: Minimum Coverage Requirements
The cheapest auto insurance available for residents of Michigan is the state minimum requirements. You have a legal obligation to meet these requirements. They include bodily injury liability and property damage liability coverage with limits of 20/40/10. These requirements also include one million dollars worth of coverage for property protection. Additionally, the state of Michigan also requires Personal Injury Protection (PIP) for both Medical and Work Loss. Michigan has some of the highest minimum requirements for states.
Tips to Get Cheap Car Insurance in Michigan
In addition to meeting the minimum requirements of the state, you may also need to consider collision and comprehensive coverage for your vehicle. These policies will help to pay for replacement or repair of your vehicle. With these types of policies, issues such as the crime rate in your area, your driving record, the type of vehicle you drive, how much you drive and the cost of living in your area will have a profound impact on your rates. If your vehicle is rather new or is still being paid, this will be necessary coverage.
You can reduce your rates by choosing a cheap to insure vehicle, increasing your deductible and driving less. Also, in the state of Michigan, insurance companies are required to offer those 65 years of age or older who drive their vehicle less than 3,000 miles per year a reduced premium.
Top Companies Do Offer Cheap Car Insurance in Michigan
Don’t underestimate the importance of the insurance provider you choose, even if you go with a bare bones policy. Research prospective companies to swing the power back into your favor. To learn as much as possible about companies in Michigan, use the following resources to your advantage.
Michigan Office of Financial and Insurance Services Auto Insurance Buyers Guide
Michigan Department of Energy, Labor and Economic Growth
Michigan Better Business Bureaus (Local or Regional Bureau)
JD Power and Associates
You can visit these organizations online or get in touch with them by phone or mail to learn more about insurance providers and Michigan auto insurance in general. Cheap car insurance in Michigan should come from the most reputable companies in the state. Don’t settle for a second rate provider, do a bit of research and that time will be well-spent and pay off in the long run.