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Michigan Auto Insurance

Insurance Online -> Auto Insurance -> State Auto Insurance Guides -> Michigan Auto Insurance

Michigan operates as a no fault state, requiring several types of coverage. In Michigan, all drivers must have personal injury protection (PIP), property protection insurance (PPI), and general liability minimums. Additionally, every driver must present proof of Michigan auto insurance to any peace officer or other sanctioned officer of the state.

Michigan Auto Insurance Coverage

The PIP coverage required by Michigan has a minimum of rewarding victims up to 3 years of lost wages, as well as covering all medical expenses. Drivers may find discounts with Health insurance policies that cover some medical expenses or by opting for a high deductible.

PPI coverage requires a minimum of up to a million dollars in coverage as a part of the Michigan auto insurance policy.

In addition to the PIP and PPI coverage, every driver must have minimum liability coverage limits of 20/40/10 for their auto insurance policy. This translates into $20,000 per person injured, $40,000 total for all injured, and $10,000 for any property damage. These are minimums set by the state and should not be considered the best level to carry.

Auto Insurance Prices in MI

Michigan ranked 11th out of all the states in regards to spending on car insurance in a recently-conducted study. Auto insurance in Michigan cost on average $931.14, with drivers spending $436.51 for liability, $466.68 on collision, and $176.37 on comprehensive coverage. These numbers show a 32% increase in Michigan auto insurance rates over the last five years.

How do insurance companies calculate Michigan auto insurance rates? Insurance companies first calculate how much it costs to provide coverage to every driver in the state using variables such as:

  • Total cost of operations
  • Amount of claims in the previous year
  • Number of traffic accidents
  • Costs of lawsuits

After calculating overall costs for insuring the state, the carriers then create categories of drivers and associate a cost with each category. They place drivers in a specific category by using individual information like what type of car you drive, your driving record, where you live, and whether you are married or single. With all of these factors considered, they determine your individual premium.

Michigan Auto Insurance Companies

Not all insurance companies calculate rates exactly the same way. To that extent, it may be worthwhile to shop around for the best deal. Some top companies that offer Michigan auto insurance are:

  • Progressive
  • Esurance
  • Unitrin Direct
  • AIG
  • SafeCo

Additional MI Car Insurance Information and Resources

For more information on Michigan auto insurance, visit or write the Michigan Department of Insurance.

Michigan Department of Insurance
P.O. Box 30220
Lansing, MI 48909
Phone: (517) 373-0220
www.michigan.gov/cis


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