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Cheap Car Insurance in Detroit, Michigan

Illustration of van driving by Freeway Insurance headquarters

Known as Motor City, Detroit is a thriving metropolis with virtually everything you need all in one place. Our favorite Detroit attractions include Comerica Park, Bella Isle Park, Basilica of Ste. Anne de Detroit, and the Detroit Riverfront. The Detroit Riverfront offers one of the more impressive urban boardwalks in the country with excellent views of the Detroit River as well as the city’s sprawling skyline.

All Detroit drivers must carry the state minimum required car insurance in Michigan to legally drive. Keep reading to learn more about Detroit car insurance, including average monthly insurance costs, factors used in determining rates, and ways to save on your next bill.

Quick Facts

  • Detroit is Michigan’s largest city.
  • Detroit’s nickname is “Motor City,” thanks to its strong, automotive tradition.
  • There were 314,376 vehicle accidents in Michigan (2019).
  • There were 2,809 motorcyclist crashes in Michigan (2019).

How Much Does Car Insurance Cost in Detroit, MI?

Detroit drivers pay an average car insurance rate of $478 per month for full coverage. This rate is considerably higher than the average of both the national average ($140) and the state of Michigan ($192).

The state-required minimum liability car insurance in Detroit is also exceedingly high. On average, motorists in Motor City will pay $356 per month for this basic liability coverage that includes bodily injury/death liability and property damage liability (there is also a property protection liability of $1 million). Also included is Personal Injury Protection (in varying amounts), although Michigan drivers can now opt out of PIP if they have some other health insurance that will cover their injuries from a car crash.

Full coverage car insurance consists of liability, collision auto insurance and comprehensive car insurance. Drivers who have a leased or financed vehicle will most likely be required by their lender to carry cull coverage. Other drivers purchase it because it offers greater financial protection.

Rates between cities also vary significantly. For example, residents of sparsely-populated Lansing and Midland will find the cheapest insurance in Michigan and pay much less than drivers who live in the congested cities.

How does Detroit compare with other cities in Michigan? Here is a breakdown of average monthly car insurance costs for other cities in the state.

City Full Coverage Insurance Liability Insurance Coverage
Detroit $478 $356
Ann Arbor $215 $120
Dearborn $394 $318
Lansing $263 $147

Michigan is a no-fault state. This means that a driver’s car insurance pays for his or her own injuries no matter who is at fault in a car wreck. Michigan puts a heavy insurance burden on its drivers, which is one reason the car insurance is so expensive in that state. Another reason is the multitude of high damages awarded in personal injury lawsuits – of which there are plenty. To find the cheapest car insurance in Detroit, you should shop around and compare car insurance quotes.

Low-Cost Car Insurance Rates in Detroit, MI by Zip Code

A major deciding factor in calculating the cost of car insurance is the zip code where you reside. Some zip codes have a higher occurrence of claims, consisting of moving violations, accidents, thefts and lawsuits than other zip codes, driving up rates for everyone living there.

Here are some average monthly car insurance prices by zip code in Detroit.

Zip Code Full Coverage Insurance Liability Insurance Coverage
48201 $478 $356
48202 $482 $375
48204 $491 $365
48205 $480 $349
48206 $495 $382
48207 $449 $358
48208 $474 $365
48209 $511 $306
48210 $460 $339
48211 $472 $370
48213 $449 $351
48214 $439 $331
48215 $458 $362
48216 $462 $333
48217 $439 $274
48219 $411 $321
48221 $527 $382
48223 $446 $322
48224 $482 $379
48226 $527 $323
48227 $494 $367
48228 $473 $352
48233 $425 $326
48234 $454 $340
48235 $450 $338
48238 $464 $351
48242 $447 $375

Detroit, Michigan Affordable Car Insurance Rates by Age

One of the biggest factors in determining auto insurance premiums is age. Some younger age groups offer riskier driving profiles and more active claims history than older age groups, causing the disparity.

Check out this chart with average monthly car insurance prices by age in Detroit.

Age Full Coverage Insurance Liability Insurance Coverage
Teens $504 $411
20s $456 $344
30s $412 $324
40s $407 $332
50s $395 $329
60s $387 $330
70s $494 $411

Unless otherwise specified, we use the following methodology to arrive at our average cost: male, age 30, lowest possible legal coverage allowed by state. Your rates will be determined by several factors, including your age, your gender and the amount of coverage you want to purchase.

Get a Quote for Car Insurance in Michigan Today!

Driving Conditions in Detroit, Michigan

How Many Fatal Accidents Happen in Detroit, Mich?

In 2019, Detroit had 104 fatal car crashes and road traffic accidents. Of these, there were a total of 170 vehicles involved, with 40 of the accidents involving drunk persons.

How Are the Road Infrastructure and Bridges in Detroit?

With Michigan less than a 24-hour drive to more than half of the U.S. population, Detroit’s road infrastructure and bridges are continually being upgraded, with a special nod to 10,000+ trucks crossing Detroit’s Ambassador Bridge into Canada daily. Wayne County has an active Department of Public Services dedicated to improving roads and bridges, including preventative maintenance.

For the latest news on Detroit’s infrastructure projects, click here.

Minimum Car Insurance Requirements in Detroit, MI

The minimum car insurance required in Michigan is as follows:

  • Bodily Injury Coverage per Person: $20,000
  • Bodily Injury Coverage per Accident: $40,000
  • Property Damage Per Accident: $10,000
  • Property Protection Insurance: $1 million
  • Personal Injury Protection (PIP): varying amounts and may be waived if proper health insurance is in place

Note: failure to drive without proof of insurance may result in a $200-$500 fine, up-to-30-day license suspension, reinstatement fees, SR22 insurance and the possibility of one year in prison.

Factors Allowed in Low-Cost Detroit Car Insurance Rates

Insurance carriers factor in the following when determining the amount of insurance premiums paid:

  • Age
  • Gender
  • Zip code
  • Driving history
  • Type of vehicle

Michigan is one of a few states that does not allow credit reports or marital status to be factors when refusing coverage or setting rates.

Discounts for Cheap Car Insurance in Detroit

All Michigan drivers can enjoy discounts spanning several themes, such as good driving discounts, defensive driving discounts, administrative (autopay & paperless billing), and about a dozen others.

Some of the cheapest car insurance discounts in Michigan include but are not limited to the following:

To stay on top of all car insurance discounts you may be eligible for, give your insurance provider a call every six months or more frequently as your life circumstances change. For example, switching to an older make and model vehicle could easily save $20 or more off your monthly bill.

What Are the Penalties for Driving Without Insurance in Detroit?

The penalties for driving without insurance in Michigan are steep.

Driving without insurance is considered a misdemeanor throughout the state, punishable with a fine of up to $500 and a suspended license/registration, subject to a $125 reinstatement fee. You may also face a one-year jail sentence.

You may also need to file an SR-22, which shows proof of financial responsibility and adherence to the minimum state liability limits. However, an SR22 requirement changes your status and you can expect your rates to skyrocket due to your newly created label as a high-risk driver.

Get an Online Quote for Low-Cost Auto Insurance in Detroit, MI Today!

Downtown Detroit seen along the Detroit River

Freeway Insurance is waiting to offer discounted and cheap car insurance for you and your family. Remember, all Michigan drivers are required to carry car insurance.

Request a fast and free car insurance quote online, visit your nearby Detroit office, or call 800-777-5620 for a free consultation with one of our friendly agents.