You have surely seen all the commercials from companies like State Farm and The General claiming the cheapest price. So drivers just need to choose the one with the most memorable commercial, right?
It’s not that simple, unfortunately, as there are many unknown elements such as if you have a tendency to get into accidents, the number of miles you drive each year, and how old you are, that help determine the price you have to pay. This article will detail some of these criteria and will give you a solid foundation to find cheaper car insurance in Michigan.
Finding good, cost effective insurance is difficult, and deciding which company quotes the cheapest insurance rates for 17 year olds may require even more perseverance.
Every insurance provider has a unique formula for setting rates, so we’ll go over the insurance companies that tend to be cheaper in Detroit. Keep in mind that Detroit, MI insurance rates are determined by lots of factors which can significantly increase or decrease the cost of a policy. This price fluctuation is why drivers need to take the time to shop around to find affordable car insurance quotes for 17 year olds. Auto insurance prices are influenced by many factors and can change substantially, so the cheapest option the last time you shopped around may now cost much more than other companies.
Cheapest Insurance Rates for Teens
| Rank | Company | Cost Per Year |
|---|---|---|
| 1 | USAA | $987 |
| 2 | GEICO | $993 |
| 3 | Safeco | $1,037 |
| 4 | MetLife | $1,364 |
| 5 | Chubb | $1,386 |
| 6 | Pioneer State Mutual | $1,444 |
| 7 | MEEMIC | $1,450 |
| 8 | Hastings Mutual | $1,579 |
| 9 | Frankenmuth | $1,696 |
| 10 | Auto-Owners | $1,702 |
| 11 | SECURA | $1,832 |
| 12 | Progressive | $1,923 |
| 13 | Wolverine Mutual | $2,147 |
| 14 | Allied | $2,263 |
| 15 | Grange Mutual | $2,322 |
| 16 | Hanover | $2,328 |
| 17 | Allmerica | $2,386 |
| 18 | Auto Club Group | $2,464 |
| 19 | Nationwide | $2,541 |
| 20 | Farm Bureau | $2,599 |
| Find Your Rate Go | ||
USAA may have some of the cheapest car insurance rates in Detroit at around $987 per year. GEICO, Safeco, MetLife, and Chubb would also make the list of some of the most economical Detroit, MI insurance companies.
As the rates illustrate above, if you currently buy coverage from MetLife and switched to USAA, you might achieve an annual savings of roughly $377. Michigan drivers with Chubb may save as much as $399 a year, and Pioneer State Mutual policyholders might see rate reductions of $457 a year.
To get a fast rate comparison, click here to start your custom quote or visit several of the following companies.
Understand that those estimates are averages for all insureds and vehicles and are not factoring in a specific zip code for 17 year olds. So the auto insurance company that can offer you the lowest price may not even be in the top 30 companies shown above. That point stresses why you need to compare rates from multiple companies using your own driver information and specific vehicle type.
For teen drivers, one of the largest components that aid in calculating the amount you pay each year for auto insurance is where you live. Cities with larger populations tend to have higher rates, whereas areas that tend to be more rural tend to receive cheaper rates.
The table below lists the highest-priced areas in Michigan for 17 year olds in which to purchase auto insurance. Detroit shows up at #1 having an annual price of $4,862 for the average insured, which is approximately $405 each month.
| Rank | City | Annual Rate |
|---|---|---|
| 1 | Detroit | $4,862 |
| 2 | Southfield | $3,980 |
| 3 | Dearborn | $3,961 |
| 4 | Pontiac | $3,639 |
| 5 | Flint | $3,439 |
| 6 | Dearborn Heights | $3,305 |
| 7 | Warren | $3,289 |
| 8 | Taylor | $3,210 |
| 9 | Sterling Heights | $2,924 |
| 10 | Westland | $2,908 |
| 11 | St. Clair Shores | $2,736 |
| 12 | Farmington Hills | $2,704 |
| 13 | Troy | $2,640 |
| 14 | Livonia | $2,608 |
| 15 | Novi | $2,539 |
| 16 | Saginaw | $2,507 |
| 17 | Rochester Hills | $2,467 |
| 18 | Royal Oak | $2,462 |
| 19 | Battle Creek | $2,450 |
| 20 | Lansing | $2,439 |
| 21 | Kalamazoo | $2,215 |
| 22 | Grand Rapids | $2,208 |
| 23 | Kentwood | $2,183 |
| 24 | Wyoming | $2,151 |
| 25 | Ann Arbor | $2,086 |
| Find Cheaper Rates Go | ||
Price information shown is comparative as specific Detroit garaging address can lower or raise coverage prices substantially.
The vehicle model you are insuring is a significant factor when comparison shopping for cheap auto insurance for 17 year olds. Vehicles with high performance engines, poor safety ratings, or a track record of large liability claims will cost much more to insure than more modest models.
The list below outlines coverage costs for the cheaper automobiles to buy insurance for.
| Insured Vehicle | Estimated Cost for Full Coverage |
|---|---|
| Ford Escape Limited 2WD | $16,005 |
| Honda CR-V EX-L 2WD | $16,011 |
| Honda Accord EX-L 4-Dr Sedan | $17,007 |
| Toyota Prius | $17,162 |
| Dodge Grand Caravan CV | $17,807 |
| Jeep Wrangler Rubicon 4WD 2-Dr | $17,812 |
| Chevrolet Impala LS | $18,653 |
| Honda Odyssey EX W/Rear Entertainment | $18,658 |
| Toyota RAV4 2WD | $18,808 |
| Chevrolet Malibu LT | $18,964 |
| Ford Explorer Limited 2WD | $18,973 |
| Toyota Tacoma Double Cab TRD Off-Road Package 4WD | $18,964 |
| Ford Focus SEL 4-Dr Sedan | $19,655 |
| Hyundai Elantra Blue 4-Dr Sedan | $19,662 |
| Toyota Camry SE | $19,810 |
| Ford Edge Sport 2WD | $19,819 |
| Toyota Corolla LE | $19,810 |
| Jeep Grand Cherokee SRT-8 4WD | $19,965 |
| Volkswagen Jetta SEL 4-Dr Sedan | $19,971 |
| Chevrolet Equinox LTZ AWD | $19,965 |
| Start a Quote Go | |
Prices based on single female driver age 17, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Michigan minimum liability limits. Discounts applied include safe-driver, and claim-free. Rate information does not factor in garaging location in Detroit, MI which can lower or raise auto insurance rates significantly.
By looking at the data, you can infer that vehicles like the Ford Escape, Honda CR-V, Honda Accord, Toyota Prius, and Dodge Grand Caravan are going to be some of the more affordable vehicles to insure for teen drivers. Auto insurance rates will tend to be higher because of the fact that there is more liability risk for 17 year olds, but generally speaking those specific models will tend to have the least expensive rates that you are likely to find.
Buying coverage from a highly-rated car insurance company can be a challenge considering how many companies there are to choose from in Detroit. The company information shown below may help you analyze which car insurance providers you want to consider comparing prices from. The rankings below only include the largest auto insurers in America, so companies that may only write in Michigan are not included in this list.
Top 10 Large Auto Insurance Companies Overall in Detroit
- The Hartford
- Progressive
- State Farm
- Farmers Insurance
- Safeco Insurance
- USAA
- GEICO
- 21st Century
- Liberty Mutual
- AAA Insurance
Top 10 Large Auto Insurance Companies in Detroit Ranked by Customer Satisfaction
- The Hartford – 93%
- Progressive – 90%
- 21st Century – 89%
- USAA – 87%
- State Farm – 87%
- Safeco Insurance – 86%
- AAA Insurance – 86%
- Farmers Insurance – 85%
- GEICO – 85%
- American Family – 85%
The illustration below highlights how deductible selection can increase or decrease insurance costs when quoting cheap insurance for 17 year olds. Data assumes a single female driver, comprehensive and collision coverage, and no discounts are factored in.
A 50-year-old driver could lower their car insurance rates by $548 a year by switching the physical damage coverage from a $100 deductible to a $500 deductible, or save $828 by changing to a $1,000 deductible. Younger drivers, such as the Age 20 example, can save up to $1,388 every year just by choosing larger deductibles. If you do decide to increase your deductibles, it will be necessary to have enough in a savings account to allow you to cover the extra out-of-pocket expense that is associated with using high deductibles.
Violations and accidents raise rates
The ideal way to snag affordable insurance prices in Detroit for teen drivers is to drive safely and avoid accidents and violations. The diagram below demonstrates how speeding tickets and at-fault fender-benders increase insurance premiums for different age groups. The rate quotes are based on a single female driver, comprehensive and collision coverage, $250 deductibles, and no other discounts are factored in.
The chart shows that the average cost of car insurance per year with no accidents or violations is $4,654. Factor in one speeding ticket and the average cost hikes up to $5,279, an increase of $625 each year. Now include two accidents along with the one speeding ticket and the annual cost of insurance for 17 year olds goes up to an average of $10,654. That’s an increase of $6,000, or $500 per month, just for not being attentive to the road!