You have most likely watched the commercials from auto insurance companies like Allstate and The General that say if you switch you’ll get enormous savings, so you should just pick the company with the best ad, right?
It’s just not that easy, however, as there are a whole slew of unknown aspects such as if you are married or single, if you have any tickets or accidents, the amount of liability insurance you need, and your financial stability. This article will detail the things that influence insurance rates and will give you a good start in finding the cheapest car insurance in Detroit.
One of the many factors that help determine auto insurance rates is where your residence is in Detroit. Areas with more people or higher crime rates tend to pay more, whereas areas with lower vehicle theft rates and fewer weather claims get the luxury of paying less.
The information below shows the most expensive areas in Michigan for single moms to purchase auto insurance in. Detroit shows up at #1 having an annual price of $5,009 for the average insurance policy, which is around $417 each month.
| Rank | City | Annual Premium |
|---|---|---|
| 1 | Detroit | $5,009 |
| 2 | Dearborn | $4,123 |
| 3 | Southfield | $3,980 |
| 4 | Pontiac | $3,675 |
| 5 | Flint | $3,473 |
| 6 | Warren | $3,423 |
| 7 | Dearborn Heights | $3,239 |
| 8 | Taylor | $3,178 |
| 9 | Sterling Heights | $3,044 |
| 10 | Westland | $2,908 |
| 11 | Farmington Hills | $2,758 |
| 12 | St. Clair Shores | $2,736 |
| 13 | Livonia | $2,608 |
| 14 | Troy | $2,562 |
| 15 | Royal Oak | $2,562 |
| 16 | Saginaw | $2,507 |
| 17 | Rochester Hills | $2,467 |
| 18 | Novi | $2,464 |
| 19 | Lansing | $2,463 |
| 20 | Battle Creek | $2,378 |
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Prices are comparative as vehicle location can influence insurance rates considerably.
The type of vehicle requiring coverage is one of the main factors that determines whether or not you can buy the best coverage for single moms. Vehicles with lots of horsepower, a lack of advanced safety features, or an increased likelihood of liability claims will cost much more to insure than safer models. The next list illustrates coverage rates for the most affordable vehicles to insure in Michigan.
| Make and Model | Estimated Cost for Full Coverage |
|---|---|
| Honda CR-V EX-L 4WD | $4,149 |
| Honda Accord EX-L 4-Dr Sedan | $4,396 |
| Toyota Prius | $4,487 |
| Volkswagen Jetta LE 4-Dr Sedan | $4,793 |
| Ford Escape XLS 4WD | $4,967 |
| Hyundai Elantra SE Touring Station Wagon | $5,031 |
| Toyota Corolla S | $5,045 |
| Ford Edge SE 2WD | $5,100 |
| Jeep Wrangler Sport 4WD 2-Dr | $5,136 |
| Nissan Rogue S 2WD | $5,145 |
| Ford Explorer XLT AWD | $5,205 |
| Ford F-150 Lariat Crew Cab Harley 4WD | $5,228 |
| Honda Civic DX 4-Dr Sedan | $5,387 |
| Dodge Grand Caravan Hero | $5,493 |
| Toyota RAV4 4WD | $5,502 |
| Ford F-350 Super Cab XLT Turbo Diesel 2WD | $5,570 |
| Chevrolet Malibu LT | $5,598 |
| Toyota Tacoma Double Cab TRD Off-Road Package 4WD | $5,607 |
| Chevrolet Impala LS | $5,762 |
| Ford Focus S 4-Dr Sedan | $5,771 |
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Premium data assumes single female driver age 40, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Michigan minimum liability limits. Discounts applied include homeowner, multi-policy, claim-free, multi-vehicle, and safe-driver. Rate quotes do not factor in the specific area where the vehicle is garaged which can impact price quotes significantly.
Looking at the numbers, you can infer that makes and models like the Honda CR-V, Honda Accord, and Toyota Prius are a few of the cheaper vehicles to insure for single parents.
Trying to find cost effective auto insurance is not the easiest thing to do, and determining which company quotes the cheapest insurance rates for single moms will require even more diligence. Each insurance company has a different formula for determining rates, so we’ll go over the insurance companies with the overall cheapest rates in Michigan.
We do need to point out that Detroit insurance rates are impacted by many factors which can significantly increase or decrease the price you pay. This is why it is critical to compare many different companies to find the most economical insurance rates for single moms. Insurance prices can be determined by many things and change frequently, so the most economical company the last time you compared rates may now be one of the more expensive options.
Find Cheaper Auto Insurance for Single Moms
| Rank | Company | Cost Per Year |
|---|---|---|
| 1 | USAA | $978 |
| 2 | GEICO | $1,023 |
| 3 | Safeco | $1,079 |
| 4 | MetLife | $1,324 |
| 5 | Chubb | $1,428 |
| 6 | MEEMIC | $1,450 |
| 7 | Pioneer State Mutual | $1,474 |
| 8 | Hastings Mutual | $1,579 |
| 9 | Auto-Owners | $1,652 |
| 10 | Frankenmuth | $1,696 |
| 11 | SECURA | $1,796 |
| 12 | Progressive | $1,847 |
| 13 | Wolverine Mutual | $2,212 |
| 14 | Grange Mutual | $2,276 |
| 15 | Allied | $2,309 |
| 16 | Hanover | $2,376 |
| 17 | Allmerica | $2,386 |
| 18 | Auto Club Group | $2,464 |
| 19 | Nationwide | $2,593 |
| 20 | Farm Bureau | $2,599 |
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USAA quotes some of the cheapest car insurance rates in Detroit at around $978 annually. This is $1,415 less than the average rate paid by Michigan drivers of $2,393. GEICO, Safeco, MetLife, and Chubb would also make the list of some of the cheaper Detroit, MI auto insurance companies.
As shown in the table above, if you buy coverage from Safeco and switched to USAA, you may see an annual savings of upwards of $101. Michigan drivers with MetLife might save as much as $346 a year, and Chubb policyholders might reduce rates by $450 a year.
Remember that these rates are averaged across all drivers and vehicles in Michigan and do not factor in an exact location for single moms. So the car insurance company that can offer you the lowest price may not even be in the list above. That affirms the importance of why you need to compare rates from as many companies as possible using your own specific driver information and vehicle.
Impact of violations and accidents on rates in Detroit
The common sense way to enjoy the best insurance rates in Detroit for single parents is to drive carefully and not receive tickets or have accidents. The example below illustrates how speeding tickets and at-fault fender-benders can impact insurance prices for each age group. The premiums assume a single male driver, comp and collision included, $100 deductibles, and no policy discounts are applied.
In the example above, the average cost of car insurance per year with no accidents or violations is $3,933. Get one speeding ticket and the average cost rises to $4,432, an increase of $499 each year. Then add in one accident along with the one speeding ticket and the yearly cost of insurance for single moms jumps again to an average of $5,836. That’s an increase of $1,903, or $159 per month, just for not keeping your driving record clean!
Picking a good quality insurance provider can be a challenge considering how many different companies insure vehicles in Michigan. The company rank data in the next section could help you analyze which companies you want to consider to insure your vehicles.
The rankings below are for insurance companies that insure vehicles in the majority of U.S. states, so companies that focus mainly on Michigan business will not be included in the list. If you wish to compare prices from the insurers below and more, click here.
Top 10 Major Car Insurance Companies Overall in Detroit
- The Hartford
- Progressive
- State Farm
- Farmers Insurance
- Safeco Insurance
- USAA
- GEICO
- 21st Century
- Liberty Mutual
- AAA Insurance
Top 10 Major Car Insurance Companies in Detroit Ranked by Value
- The Hartford
- Farmers Insurance
- AAA Insurance
- 21st Century
- Safeco Insurance
- State Farm
- Progressive
- American Family
- GEICO
- Liberty Mutual
The importance of shopping around
Detroit, MI insurance rates are determined by lots of factors that may substantially change your annual premium. Simply having another birthday, adding a teenager to your policy, or having an at-fault accident can trigger changes in premium resulting in some rates now being cheaper than others. In addition to those changes, companies modify rates without warning to ensure their profitability. Heavier than normal losses may result in high rates, while less frequent claims can produce more affordable Detroit car insurance rates.
To illustrate this example, the bar chart below shows which company has the cheapest car insurance in Detroit, MI for a 45-year-old male driver with no prior accidents, a clean driving record, and good financial standing. If we estimate prices based on his current situation, USAA has the lowest car insurance rates in Detroit at $2,167 per year. This is $226 less than the average premium paid by Michigan drivers of $2,393. GEICO, Safeco, MetLife, and Chubb are also on the list of the cheapest Detroit, MI auto insurance companies.
The example below compares rates after we give the driver from the first example a claim surcharge, bad credit, and a traffic ticket or two. Due to the fact that every auto insurer uses a different method for establishing rates, getting updated rate quotes may now present a different set of the cheapest car insurance companies in Detroit as shown below.
GEICO now has the cheapest insurance rate in Detroit with Safeco, Pioneer State Mutual, USAA, and Hastings Mutual also being competitive. This example illustrates why drivers need to take the time to shop around when trying to get cheap insurance quotes for single moms.
Insurance prices are impacted by many things and can change substantially, so the best company when you last compared rates may now be quite expensive.