How Much Is Car Insurance in Michigan? (2026)

How much is car insurance in Michigan?

The overall average cost of car insurance in Michigan is $179 per month. Drivers with state-minimum coverage pay much less per month than people who select a full-coverage policy.

The average cost of car insurance is lower in neighboring states. Drivers pay an overall monthly average of $123 in Illinois, $97 in Indiana, $91 in Ohio, and $91 in Wisconsin.

Unlike most states, Michigan is a no-fault insurance state, which is one reason why drivers there pay more for coverage than the national average or in neighboring states.

Below, you can compare average monthly and annual quotes in Michigan by coverage type.

Coverage Type	Average Monthly Quote	Average Annual Quote
State-minimum coverage	$130	$1,555
Full coverage	$228	$2,731

Disclaimer: Table data is based on real-time Michigan quotes from Insurify’s network of 500+ insurance partners. Actual rates may vary depending on the policyholder’s individual profile and coverage needs.

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Minimum car insurance requirements in Michigan

Michigan requires three types of liability insurance for all Michigan drivers: personal injury protection (PIP), property protection insurance (PPI), and residual liability insurance with bodily injury liability and property damage liability.^[1]

PIP pays for medical bills and lost wages regardless of fault, though drivers with Medicaid can select a lower minimum, and people with Medicare can choose to opt out entirely.

Below, you can see the minimum requirements by coverage type in Michigan.

Coverage Type	Michigan Minimum Requirement
Personal injury protection (PIP)	$250,000 to unlimited, $50,000 for drivers who qualify for Medicaid, or the option to opt out for drivers enrolled in Medicare Parts A and B
Property protection insurance (PPI)	Up to $1 million
Residual liability insurance	$50,000 per person and $100,000 per accident in bodily injury liability and $10,000 in out-of-state property damage liability

Cheapest car insurance companies in Michigan

Auto-Owners, USAA, and Chubb offer the cheapest rates for liability insurance in Michigan.

Liability-only insurance doesn’t include collision and comprehensive coverage, which is why it’s cheaper than a full-coverage policy.

Michigan is one of the country’s few no-fault states, which is why the cost of minimum-coverage policies may still seem high compared to other states. Drivers on both peninsulas can compare average liability-only rates from Michigan’s cheapest auto insurers in the table below.

The below rates in Michigan are estimated rates current as of: Monday, August 31 at 5:00 PM PDT. 

Insurance Company	Average Monthly Quote: Liability Only
Auto-Owners	$68
USAA	$69
Chubb	$75
National General	$105
Safeco	$111
Progressive	$112
Liberty Mutual	$129
Allstate	$130
Bristol West	$138
Direct Auto	$138
State Farm	$141
GEICO	$162
Travelers	$164
Insurify Car	$172

Disclaimer: Table data sourced from real-time Michigan car insurance quotes from Insurify's 500+ partner insurance providers and quote estimates from Quadrant Information Services. Actual car insurance quotes in Michigan may vary based on the policy buyer's unique driver profile.

Average Michigan car insurance rates by city

Dearborn and Detroit have the most expensive average car insurance quotes in the state. This makes sense, as Wayne County, which includes Dearborn and Detroit, has the highest number of total car accidents in the state.^[2] And Detroit has the largest population and the most vehicle thefts statewide.

Grand Rapids, Battle Creek, and Lansing have the lowest average car insurance rates. All three of these cities have lower average commute times than Detroit’s 25-minute average.

Multiple factors influence the average cost of car insurance in Michigan, including non-vehicular collisions. For instance, drivers in Kent and Oakland counties have the most deer-related crashes, which may increase rates in those areas.^[3]

Below, you can compare average monthly quotes for different Michigan cities.

The below rates in Michigan are estimated rates current as of: Monday, August 31 at 5:00 PM PDT. 

City	Average Monthly Liability-Only Quote	Average Monthly Full-Coverage Quote
Grand Rapids	$104	$208
Ann Arbor	$110	$206
Lansing	$111	$207
Battle Creek	$113	$203
Kalamazoo	$114	$211
Rochester	$137	$223
Flint	$140	$251
Westland	$159	$254
Clinton Township	$165	$285
Warren	$173	$307
Southfield	$179	$317
Dearborn	$259	$403
Detroit	$265	$418

Disclaimer: Table data sourced from real-time Michigan car insurance quotes from Insurify's 500+ partner insurance providers and quote estimates from Quadrant Information Services. Actual car insurance quotes in Michigan may vary based on the policy buyer's unique driver profile.

Average Michigan car insurance rates by age

Michigan is one of the most populous states in the country, and more than 80% of its population is of legal driving age. One in five residents is 65 or older, and they receive the lowest average car insurance rates, thanks to years of driving experience. 

Teen drivers, in contrast, pay much higher premiums on average, likely due to the fact that motor vehicle crashes cause three out of five accidental teen deaths in Michigan.^[4]

Below, you can compare average quotes by coverage type and age in Michigan.

Age	Average Monthly Liability-Only Quote	Average Monthly Full-Coverage Quote
Teens	$207	$364
Adults (40s)	$133	$233
Seniors	$112	$197

Disclaimer: Table data is based on real-time Michigan quotes from Insurify’s network of 500+ insurance partners. Actual rates may vary depending on the policyholder’s individual profile and coverage needs.

How your driving record affects car insurance rates in Michigan

Having incidents on your driving record in Michigan affects your car insurance rates, even multiple years after an at-fault accident or speeding ticket. Traffic violations demonstrate poor driving habits, and traffic collisions require the insurance company to pay out claims.

Insurance companies typically raise rates for high-risk drivers in Michigan, where 3% of drivers have a speeding ticket, 3% have an at-fault accident, and 1% have an OWI on their driving record, according to Insurify data.

See how much an OWI, car accident, or speeding ticket can increase rates for Michigan drivers in the table below.

Driving Record	Average Monthly Quote in MI	% Increase Compared to Clean Driving Record
Clean driving record	$177	N/A
With speeding ticket	$212	19.8%
With accident	$206	16.4%
With OWI	$285	61%

Disclaimer: Table data is based on real-time Michigan quotes from Insurify’s network of 500+ insurance partners. Actual rates may vary depending on the policyholder’s individual profile and coverage needs.

What affects car insurance rates in Michigan?

Many factors affect your premiums, and it’s important that you understand why certain drivers in Michigan might pay more than others. Here are a few factors that have the biggest effect on average premiums in Michigan:

• No-fault insurance laws: Michigan’s status as a no-fault insurance state substantially affects rates, since drivers need more minimum coverage than in most states. All Michigan drivers must have PIP, PPI, and residual liability insurance.

• Credit history: Michigan auto insurance companies legally can’t consider your credit score when setting your rates, but they can use your credit history to determine which installment payment options are available to you.

• Weather: The state’s high volume of snow, in particular, can affect average insurance rates. Of the tens of thousands of winter-weather crashes that occur annually, many occur in Wayne, Oakland, and Kent counties.^[5]

• Motor vehicle theft: Michigan ranks No. 13 for vehicle theft by state in 2025, and Wayne County specifically ranks No. 11 by county nationwide. In 2024, Wayne County recorded nearly 11,500 instances of vehicle theft. Areas with higher theft rates typically face higher premiums.

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How Michigan car insurance rates have changed over the past five years

Michigan’s average car insurance rates increased by 12% in 2025, despite national averages declining by 6%. As a no-fault state with the country’s fourth-highest rate of uninsured drivers, this increase aligns with Insurify data that suggests no-fault states pay an average of 13% more.

Insurify estimates that Michigan’s average annual premiums will increase by 0.2%, or $6, in 2026. Michigan’s population has increased over the past four years, potentially contributing to higher premiums as more drivers enter the state.^[6]

How to lower car insurance costs in Michigan

Increasing your deductible and seeking out auto insurance discounts, such as good student discounts, are common ways to lower car insurance costs. Consider these additional options specific to Michigan drivers:

• Consider taking a driving course. Passing a Michigan Basic Driver Improvement Course through a state-approved sponsor can help prevent an increase in your insurance premium.^[7]

• Adjust your PIP levels. You may be able to lower your PIP coverage amount, which will likely reduce your insurance premium.

• Ask about alumni discounts. Graduates of Wayne State, the University of Michigan, Michigan State, and other colleges in the state may qualify for alumni discounts through certain insurance companies.

• Check your Michigan Catastrophic Claims Association (MCCA) assessment. A 2019 Michigan auto reform has decreased insurance premiums, in part due to lowering each vehicle’s MCCA assessment fee. If you haven’t seen the MCCA decrease reflected in your policy, ask your insurance company to verify your assessment.^[8]

• Consider using telematics. Local insurance companies, like Farm Bureau Insurance of Michigan, have telematics-based programs that reward safe drivers with reduced policy rates.

Michigan average car insurance cost FAQs