Truthfully, the best way to get the cheapest car insurance rates is to start doing an annual price comparison from insurers who provide car insurance in Detroit.
First, take a few minutes and learn about coverages and the things you can control to prevent expensive coverage. Many rating factors that result in higher rates like at-fault accidents, speeding tickets, and a not-so-good credit history can be amended by making minor changes to your lifestyle.
Second, request rate estimates from direct, independent, and exclusive agents. Exclusive agents and direct companies can only quote rates from a single company like Progressive or Allstate, while independent agents can quote prices from multiple insurance companies.
Third, compare the new quotes to your current policy to see if you can save by switching companies. If you find better rates and change companies, make sure the effective date of the new policy is the same as the expiration date of the old one.
Fourth, give proper notification to your current agent or company to cancel your current car insurance policy. Submit the signed application along with the required initial payment for the new policy. As soon as coverage is bound, place the new certificate of insurance in your vehicle.
One thing to remember is to use identical coverages on every quote and and to analyze as many different companies as possible. Doing this provides a fair rate comparison and the best price selection.
It’s well known that auto insurance companies want to keep you from shopping around. Insureds who compare rates at least once a year are very likely to switch insurance companies because of the good chance of finding a lower-priced company. A study discovered that people who did price comparisons regularly saved about $865 a year compared to drivers who never shopped around for better prices.
If finding the lowest price on insurance in Detroit is your objective, learning the best way to compare cheaper coverage can save time and money.
Six tips to get lower Detroit auto insurance costs
Part of the auto insurance buying process is learning some of the factors that help calculate the rates you pay for auto insurance. If you know what controls the rates you pay, this empowers consumers to make smart changes that can earn you better auto insurance rates. Many things are taken into consideration when you quote your car insurance policy. Some factors are common sense like a motor vehicle report, but other criteria are less apparent like your vehicle usage or how safe your car is.
The factors shown below are some of the things used by companies to determine your rate level.
How credit score affects auto insurance premiums – Credit score will be a significant factor in determining what you pay. Drivers with excellent credit tend to file fewer claims as compared to drivers with lower ratings. Therefore, if your credit score can be improved, you could be paying less to insure your vehicle by spending a little time repairing your credit.
Raising deductibles lowers prices – Your deductibles define how much you are willing to pay if a claim is determined to be covered. Physical damage insurance, aka comp and collision, protects your car from damage. Some coverage claims are colliding with a stationary object, damage caused by hail, and damage caused by road hazards. The more money you have to pay, the less your auto insurance will be.
Teenage driver insurance costs – Young drivers in Michigan are statistically shown to get distracted easily when at the wheel of a vehicle so auto insurance rates are higher. Older insureds tend to be more responsible, statistically cause fewer accidents, and are safer drivers.
Prices increase with policy add-ons – There are a lot of optional add-on coverages that you can buy if you don’t pay attention. Things like rental car coverage, accidental death, and membership fees may not be needed and are just wasting money. These may sound like a good investment when deciding what coverages you need, but if you don’t need them think about removing them and cutting costs.
Theft deterrents save – Driving a car that has an advanced theft prevention system can help lower your rates. Theft prevention features such as LoJack tracking devices, vehicle tamper alarm systems or GM’s OnStar system help track and prevent auto theft.
Long commutes cost more – Driving a lot of miles in a year’s time the higher your rates will be. Many insurance companies charge to insure your cars partially by how you use the vehicle. Autos not used for work or commuting cost less to insure than vehicles that are driven to work every day. Double check that your auto insurance policy properly reflects the correct usage for each vehicle, because improper ratings can cost you money.
All major car insurance companies like State Farm, GEICO and Progressive allow consumers to get pricing on the web. Doing online price comparisons is pretty easy as all you need to do is type in your required coverages into the form. After the form is submitted, the company’s rating system automatically retrieves your driving record and credit report and generates pricing information based on the information you submitted.
This streamlines rate comparisons, and it’s absolutely necessary to have as many quotes as possible if you want to get a lower rate.
If you want to compare rates using this form now, compare rates now from the companies shown below. If you currently have coverage, we recommend you type in deductibles and limits as close as possible to your current policy. Using the same limits helps guarantee you will get rate quotes based on the exact same insurance coverage.
The companies shown below provide price quotes in Detroit, MI. If multiple companies are listed, we recommend you compare several of them to get a more complete price comparison.
| Make, Model, and Trim Level | Annual Policy Premium | 6-month Policy Premium | Monthly Premium |
|---|---|---|---|
| Chevrolet Colorado LT Extended Cab 4WD | $2,228 | $1,114 | $186 |
| Chevrolet Malibu LS | $2,642 | $1,321 | $220 |
| Chevrolet Silverado LTZ Crew Cab 4WD | $2,862 | $1,431 | $239 |
| Dodge Ram Quad Cab ST 2WD | $2,646 | $1,323 | $221 |
| Ford Escape XLT 4WD | $2,290 | $1,145 | $191 |
| Ford F-150 STX Regular Cab 4WD | $2,482 | $1,241 | $207 |
| Ford Focus S 4-Dr Sedan | $2,580 | $1,290 | $215 |
| Honda Accord LX 4-Dr Sedan | $2,228 | $1,114 | $186 |
| Honda CR-V EX 2WD | $2,228 | $1,114 | $186 |
| Honda Civic EX 2-Dr Coupe | $3,274 | $1,637 | $273 |
| Hyundai Sonata Limited 4-Dr Sedan | $3,026 | $1,513 | $252 |
| Mazda 3 I SV 4-Dr Sedan | $2,642 | $1,321 | $220 |
| Nissan Altima 3.5 SR 2-Dr Coupe | $3,186 | $1,593 | $266 |
| Toyota Camry XLE | $2,800 | $1,400 | $233 |
| Toyota Corolla S | $2,800 | $1,400 | $233 |
| Volkswagen Jetta S 4-Dr Sedan | $2,642 | $1,321 | $220 |
| Get Rate Quotes for Your Vehicle Go | |||
Prices based on single female driver age 30, no speeding tickets, no at-fault accidents, $500 deductibles, and Michigan minimum liability limits. Discounts applied include homeowner, safe-driver, multi-vehicle, claim-free, and multi-policy. Premium amounts do not factor in the specific area where the vehicle is garaged which can affect premiums considerably.
Protect your vehicle and other assets
Even though it’s not necessarily cheap to insure a vehicle in Detroit, insurance is required by state law in Michigan and it also provides benefits you may not be aware of.
First, the majority of states have minimum mandated liability insurance limits which means the state requires a specific level of liability coverage in order to drive the car. In Michigan these limits are 20/40/10 which means you must have $20,000 of bodily injury coverage per person, $40,000 of bodily injury coverage per accident, and $10,000 of property damage coverage.
Second, if you took out a loan on your vehicle, most banks will force you to buy insurance to ensure the loan is repaid in case of a total loss. If you do not keep the policy in force, the bank may insure your vehicle for a lot more money and force you to pay for the much more expensive policy.
Third, insurance protects not only your vehicle but also your assets. It will also pay for medical expenses incurred in an accident. Liability coverage, the one required by state law, will also pay to defend you if you cause an accident and are sued. If you have damage to your vehicle as the result of the weather or an accident, your policy will pay to have it repaired.
The benefits of carrying adequate insurance greatly outweigh the cost, specifically if you ever have a liability claim. Despite what companies tell you, the average driver overpays more than $820 a year so it’s important to compare rates at every policy renewal to make sure the price is not too high.
Slash rates with these discounts on insurance
Companies offering auto insurance don’t always advertise all possible discounts very well, so the next list breaks down a few of the more well known and the harder-to-find discounts that you may qualify for.
- Driver’s Education for Students – Make teen driver coverage more affordable by requiring them to complete a driver education course if offered at their school.
- Driver Training Discounts – Passing a defensive driver course could earn you a small percentage discount depending on where you live.
- Save with a New Car – Adding a new car to your policy can save up to 30% compared to insuring an older model.
- Responsible Driver Discounts – Drivers who don’t get into accidents can get discounts for up to 45% lower rates as compared to drivers with claims.
- Passenger Safety Discount – Vehicles equipped with air bags and/or automatic seat belt systems can qualify for discounts of more than 20%.
- Discount for Good Grades – A discount for being a good student can get you a discount of up to 25%. You can use this discount normally well after school through age 25.
- Active Military Service – Being deployed with a military unit may qualify for rate reductions.
Discounts save money, but please remember that most of the big mark downs will not be given to the entire cost. A few only apply to the cost of specific coverages such as physical damage coverage or medical payments. So when it seems like all the discounts add up to a free policy, you’re out of luck. Any qualifying discounts should help reduce your policy cost.
To see a list of insurance companies who offer discounts in Detroit, click this link.
Local Detroit insurance agents and car insurance
Some people would rather get advice from a local agent and doing so can bring peace of mind Professional insurance agents can help you build your policy and help file insurance claims. A nice benefit of comparing rate quotes online is that you can find cheap car insurance rates and still have a local agent.
For easy comparison, once you complete this quick form, your insurance coverage information is submitted to agents in your area who can give free rate quotes to get your business. It simplifies rate comparisons since you won’t have to leave your house since price quotes are sent instantly to you. If you have a need to quote rates for a specific company, you would need to navigate to their website and complete a quote there.
Choosing the best insurer is decision based upon more than just the price. These are valid questions to ask:
- Will the agent or a CSR service your policy?
- Can they provide you with a list of referrals?
- What companies can they write with?
- Does the agent have a valid license to sell insurance in Michigan?
- What is the financial rating for the quoted company?
Listed below are agents in Detroit who can help you get comparison quotes.
- Michigan SR22 Insurance – Select Insurance Group
Atwater St – Detroit, MI 48226 – (877) 949-7873 – View Map - Anthony Jackson – State Farm Insurance Agent
23221 Plymouth Rd – Detroit, MI 48239 – (313) 533-2440 – View Map - Look! Insurance
11324 W Jefferson Ave # 1 – River Rouge, MI 48218 – (888) 566-5467 – View Map - Kim-One Insurance Agency
11000 W McNichols Rd – Detroit, MI 48221 – (313) 397-4198 – View Map
What insurance coverages do I need?
Always keep in mind that when comparing the right insurance coverage, there really isn’t a one size fits all plan. Everyone’s situation is unique so your insurance should reflect that
For instance, these questions can aid in determining whether your personal situation may require specific advice.
- Does coverage extend to Mexico or Canada?
- Does my medical payments coverage pay my health insurance deductible?
- When should I have rental car coverage?
- When should my teen driver be added to my policy?
- Will my rates increase for filing one claim?
- Am I covered when pulling a rental trailer?
- Why is insurance for a teen driver so high in Detroit?
- Is upholstery damage covered by car insurance?
- What is no-fault insurance?
If you don’t know the answers to these questions, then you may want to think about talking to a licensed insurance agent. To find an agent in your area, fill out this quick form or you can go here for a list of companies in your area. It’s fast, doesn’t cost anything and can provide invaluable advice.
A conclusion for your car insurance search
We just showed you many ideas to reduce car insurance rates online in Detroit. The most important thing to understand is the more price quotes you have, the higher your chance of finding affordable Detroit auto insurance quotes. You may even discover the biggest savings come from the smaller companies. They may only write in your state and offer lower auto insurance rates compared to the large companies like State Farm, GEICO and Nationwide.
Some insurance companies do not offer the ability to get a quote online and usually these small insurance companies only sell through independent insurance agents. Budget-friendly car insurance in Detroit is definitely available both online and from local agencies, and you should be comparing both in order to have the best price selection to choose from.
Additional car insurance information can be read on the following sites:
- Auto Insurance 101 (About.com)
- Who Has Cheap Detroit Car Insurance for a Learners Permit? (FAQ)
- Who Has Cheap Detroit Auto Insurance Rates for a GMC Sierra? (FAQ)
- How Much are Detroit Car Insurance Rates for Drivers with Accidents? (FAQ)
- What Auto Insurance is Cheapest for Drivers Over Age 50 in Detroit? (FAQ)
- What Insurance is Cheapest for Drivers with a Bad Driving Record in Detroit? (FAQ)
- What Insurance is Cheapest for 19 Year Olds in Detroit? (FAQ)
- Choosing an Insurance Company (Insurance Information Institute)
- Cellphones, Texting and Driving (iihs.org)