The Best Auto Insurance in Michigan of 2025

State Farm’s network of 19,000 exclusive agents serves Michigan cities, including Ann Arbor, Coldwater, Detroit, Grand Rapids, Jackson, Kalamazoo, Port Huron, Springfield, Traverse City, Utica and many more.² The company’s large number of local agents, along with its high customer satisfaction ratings, make it the best auto insurance in Michigan in terms of customer service.

Extensive Coverage Options

State Farm can take care of all your coverage needs in Michigan; it’s the rare state where minimum coverage is sufficient in some ways. Michigan law requires drivers to have at least $50,000 of bodily injury liability per person, $100,000 per accident, $1 million of property damage liability coverage for accidents within Michigan and $10,000 for accidents outside of Michigan and $250,000 of personal injury protection (PIP). PIP covers medical expenses and lost wages for you and your passengers if injured in an accident, regardless of who is at fault.

In addition to the required liability coverage and PIP, State Farm provides comprehensive, collision, rental car reimbursement, uninsured/underinsured motorist and rideshare coverage, along with emergency road service.

Great Service From Local and Exclusive Agents

Your agent is your advocate with your auto insurance provider. Ask an agent about how to lower the cost of auto insurance or how to achieve a fair insurance claim settlement after an accident.

Local agents who live in your area can be extremely beneficial because they understand the specific factors that affect auto insurance in your city and state. They can help you find the cheapest car insurance companies in Michigan based on where you live. For example, you’ll pay higher premiums living in a city like Detroit than you would in suburban or rural areas. However, there are still ways to save, as you’ll see below.

State Farm works with a large network of exclusive agents. The benefit of working with an exclusive agent is that they possess a depth of knowledge about State Farm policies and discounts. State Farm’s exclusive agents are one reason it ranks on our list of best auto insurance providers.

Savings on Safety and More

Car insurance costs a lot in Michigan. Average rates are higher than the national average for both full coverage and minimum coverage.

Fortunately, you can apply numerous State Farm discounts to your individualized plan:

• Accident-free: State Farm offers a discount after three years without a chargeable accident. This discount could increase over time, the longer you go accident-free.
  • Anti-theft device
  • Automobile safety belt
• Drive Safe & Save: When you enroll in this program, you receive a discount of 10 percent. After enrollment, you will share information about your driving habits. Good driving habits equal a higher discount of up to 30 percent off your premium.
• Good driving: If each driver on the policy has zero moving violations and at-fault accidents during the past three years, you will receive a discount. State Farm may replace this discount with the accident-free discount after three years as a State Farm customer.
• Good student discount: Drivers under 25 who are full-time students qualify for the good student discount if they rank in the upper 20 percent of their class, have a grade average of B or higher or a GPA of 3.0 or higher or made the Dean’s List or Honor Roll. Other eligible drivers include those who are earning Associate’s or Bachelor’s degrees and home students who rank in the upper 20 percent of students in national standardized tests.
  • Multivehicle
  • Multiple lines
  • Passive restraint
  • Safe driver
  • Student away at school
• Vehicle safety discount: 1994 and newer vehicles receive a discount based on the loss experience of the make and model of the insured vehicle.

GEICO is another popular insurer that offers affordable rates to drivers across the country and Michigan is no exception. GEICO has the cheapest rates for safe drivers in Michigan, with average annual full coverage and minimum coverage premiums of $1,348 and $622, respectively. With discounts geared toward safe driving practices and features, GEICO is our pick for safe drivers in Michigan.

GEICO Safety Savings

Safe drivers can benefit from GEICO’s usage-based insurance program, DriveEasy. With DriveEasy, you download GEICO’s mobile app and you’ll get 10 percent off just for enrolling. If you drive safely, you’ll earn up to 15 percent off at your next policy renewal. The app collects information about how much you use your phone while driving, how smoothly you drive and how fast you brake and accelerate. The safer your driving habits, the more you can save.

Besides the DriveEasy program, GEICO also offers a Clean Driving Record discount of up to 22 percent for drivers who have been accident-free for at least one year.

Additional Discounts

In addition to its specific safe driver savings, GEICO offers numerous other discounts to help policyholders save money on premiums. Here are some of its best maximum discounts:

• Restraint device discount: 23 percent
• Anti-theft discount: 23 percent
• Good student discount: 15 percent
• Multi-vehicle discount: 25 percent
• New vehicle discount: 15 percent

Financial Stability

AM Best, the industry’s most trusted financial ratings company, has consistently affirmed GEICO with an A++ rating. An A++ or Superior rating demonstrates GEICO’s strong financial solvency and confirms that GEICO has enough assets to handle claims.

Cost is a key factor when it comes to purchasing auto insurance, but it’s not the only important consideration — the fact that GEICO has a strong financial stability rating means that you’re paying for a quality auto insurance provider that won’t abandon you when you need it.

USAA caters to United States Armed Forces service members, families and veterans with flexible and specialized coverage options. If you are a military member, you’ll find lower-than-average auto insurance rates and high customer satisfaction ratings.

Savings With USAA

USAA notes that members save an average of $725 on their annual premiums when they switch to USAA. You’ll be able to get savings with the following discounts:

• Garage: Parking your car in a garage on a military installation, such as Camp Grayling or Selfridge Air National Guard Base, will reduce your comprehensive coverage premium by 15 percent.
• Multivehicle: This discount applies when you extend coverage to two or more vehicles.
• Bundling: Bundling auto and property policies saves you up to 10 percent on your property insurance.

Military Resources and Financial Services

One of the main benefits of USAA, aside from competitive rates, is that it’s designed specifically

to cater to the military community. That means that those eligible for membership can access more than just auto insurance — USAA offers various other services and resources, including banking and investing services.

Military members can also access a full library of support resources to help them transition into and out of military life and receive personalized advice on the products that may best fit their needs.

Benefits for Senior Drivers

Most seniors looking for car insurance in Michigan can stick to the state’s minimum coverage requirements in their policy. USAA is friendly to seniors who served in the military or are otherwise eligible for membership.

While available to drivers of any age, USAA offers low-mileage and defensive driving discounts, which assist senior drivers. If you’re retired and don’t commute, a usage-based discount could lower your premium. Similarly, seniors can receive a discount if they complete an approved defensive driving or driver training course.

Auto-Owners offers a range of auto policies in Michigan. The company’s affordable rates and numerous discounts make it a viable option if you’re trying to save money on your family’s auto insurance policy, especially if you have teen or student drivers. Discounts for multiple vehicles, student performance and favorable loss history are among the ways to save.

Monitoring Discount for Teen Drivers

The average cost of auto insurance for teens nationally is 122 percent higher than the national average for drivers in their 30s, at $5,327 per year. Teens, who lack driving experience, get into accidents more often than any other age group. Luckily, Auto-Owners has a telematics discount program specifically for teens. To be eligible for the discount, teens must have a permanently installed GPS in their vehicle or enroll via a mobile app.

Auto-Owners also has other discounts designed for young drivers, including good student and student away from home discounts. The former is available to students who maintain at least a B average (3.0 GPA) and can save teens up to 20 percent on their car insurance. The latter is available to students who are away at school at least 100 miles from home and don’t have regular access to a vehicle.

Personalized Service

Auto-Owners is unique on this list in that it doesn’t allow for any online quotes or purchasing. Even State Farm, which similarly prides itself on its network of local agents, allows prospective customers to begin a quote online before being contacted by an agent. With Auto-Owners, you’ll need to find a local agent to begin the quote process.

Luckily, Auto-Owners works with many independent agents across Michigan and you can locate one in your area easily via the Auto-Owners website. Working with an agent may not be for everyone, but it ensures you receive personalized service and can bring up any questions or concerns you have easily throughout the process and make sure you get the coverage you need.

Common Loss Deductible

In addition to bundling discounts, another benefit of purchasing both home and auto insurance with Auto-Owners is its common loss deductible. This reduces your auto deductible in the event that both your home and your car are damaged by the same covered incident and you need to file claims for both. Auto-Owners will reduce the auto deductible by the amount of the personal property deductible or will waive it entirely if the auto deductible is less than the personal property deductible. This is a great feature that takes some financial burden off you in an already very stressful situation.

In Michigan, the average cost of car insurance after a DUI is steep at $4,869 per year or $406 a month. Progressive has the lowest costs of any company on this list, with average annual costs of $2,815 for drivers with a DUI or $235 a month. Compare that to Allstate, which charges drivers with DUIs an average of $17,440 per year or $1,453 per month and you can save thousands by switching to Progressive.

Local Agents

Like State Farm, Progressive has local agents throughout Michigan, from Ada to Zeeland. It’s easy to look up an agent in your town on Progressive’s website. For example, when we ran a search in Detroit, we found 24 local Progressive agencies in the Motor City, all with their addresses, agency details like their office hours and phone numbers, listed clearly. While this may sound like a given, not all companies have local agents. GEICO, for example, operates almost entirely online. If you prefer working with someone in person, you’ll appreciate Progressive’s human touch.

Home and Auto Bundle Discount

Michigan has some of the highest rates of homeownership in the country. As of the first quarter of 2025, over 72 percent of Michigan adults owned their homes, compared to a national average of 67 percent.³ You can save 7 percent on your auto policy on average by bundling your Progressive home or renters insurance with auto insurance.

Accident Forgiveness

Progressive has three levels of accident forgiveness to choose from, all with different eligibility requirements:

• Small: Your rate won’t increase after your first claim so long as it’s under $500.
• Large: Once you’ve been with Progressive for five years with no violations or accidents for the past three years, Progressive won’t raise your rate just because you have a claim.
• Progressive: Finally, you can purchase more accident forgiveness, which allows one accident forgiven per policy period. This policy includes small and large accident forgiveness mentioned above.