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Car Insurance in Michigan: 2026 Rates & Guide

Michigan is one of the most expensive states for car insurance. The average driver pays $248/month ($2976/year). Here's how to find the best rate for your situation.

$248

Avg Monthly

$2976

Avg Annual

#1

Cost Rank (1=priciest)

$172

Cheapest Option/mo

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Cheapest Car Insurance Companies in Michigan (2026)

Rates below are estimates for a 35-year-old driver with a clean record, good credit, and a 2020 Honda Civic.

Top insurers in Michigan — sorted by average monthly rate

#CompanyEst. MonthlyRating
1
★ BestUSAA
$172/mo4.8Get Quote
2
State Farm
$198/mo4.4Get Quote
3
Progressive
$212/mo4Get Quote
4
GEICO
$221/mo4.2Get Quote
5
Auto-Owners
$195/mo4.5Get Quote

Rates are estimates for a 35-year-old with good credit and a clean record. Your rate will vary.

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Michigan Car Insurance Requirements

Minimum Coverage: 50/100/10

Michigan is a no-fault state. You must carry Personal Injury Protection (PIP) in addition to liability coverage.

Michigan Insurance Facts

Michigan was the most expensive state until 2020 PIP reform reduced rates
Detroit is one of the most expensive cities in the US for car insurance
Unlimited PIP coverage can add $80–150/month to your premium

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How to Get Cheaper Car Insurance in Michigan

1

Compare at least 3–5 quotes

Rates vary by 40–60% between companies for the same driver profile.

2

Raise your deductible

Going from $500 to $1,000 deductible typically saves 10–15% on comprehensive/collision.

3

Bundle home + auto

Multi-policy discounts average 15–25% across major insurers.

4

Try usage-based insurance

Telematics programs like Progressive Snapshot can save up to 30% for safe drivers.

5

Ask about all discounts

Good student, military, professional association, and low-mileage discounts are often unclaimed.

6

Improve your credit score

In most states, a good credit score can lower premiums by 20–50%.

Car Insurance in Michigan — FAQs

What is the average cost of car insurance in Michigan?
The average car insurance cost in Michigan is $248 per month ($2976 per year) for a driver with a clean record and good credit. Your actual rate will vary based on your age, vehicle, and driving history.
What is the minimum car insurance required in Michigan?
Michigan requires minimum liability coverage of 50/100/10 (bodily injury per person / bodily injury per accident / property damage). Michigan is a no-fault state, which means additional PIP coverage is also required.
Which company has the cheapest car insurance in Michigan?
Based on our research, USAA offers the lowest average rate in Michigan at around $172/month. However, the cheapest insurer for you will depend on your specific profile — we always recommend getting at least 3 quotes.
Is Michigan a no-fault car insurance state?
Yes, Michigan is a no-fault state. This means your own insurance covers your medical bills after an accident regardless of who was at fault. Personal Injury Protection (PIP) coverage is required.
How can I lower my car insurance in Michigan?
The most effective ways to lower your car insurance in Michigan include: (1) comparing quotes from at least 3 insurers, (2) raising your deductible, (3) bundling with home or renters insurance, (4) asking about usage-based/telematics discounts, and (5) improving your credit score where allowed.

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