More on Home Insurance
More on Home Insurance
The cost of homeowners insurance in Michigan is $1,828 a year for the average amount of coverage. Michigan residents can compare rates from over a dozen companies with Policygenius.
Published August 5, 2020|6 min read
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Homeowners insurance is essential financial protection for the 73% of Michigan residents who own a home, especially given the Great Lakes State’s propensity for unpredictable weather conditions.
The statewide average cost of homeowners insurance in Michigan is $1,828 per year, but policy premiums will vary based on specific factors related to your home and the details of your policy. Your policy rates are directly impacted by your home’s condition, style of build, location, your credit and claims history, and your policy deductible amount. Different insurance companies may also price homeowners insurance differently for the same amount of coverage, which is why it’s so important to compare policies from multiple companies. That’s where we come in.
To help simplify your shopping experience, Policygenius reviewed the five best homeowners insurance companies in Michigan offered through our website and calculated the state’s cheapest and most expensive cities for home insurance based on hundreds of submitted quotes.
The average cost of homeowners insurance in Michigan is $1,828 for $100,000–500,000 in coverage
The most affordable insurance company in Michigan is Stillwater, according to Policygenius quote data
When deciding on policy coverage, Michigan residents should consider the state’s unpredictable weather in the winter and spring
Before deciding on a homeowners insurance policy, it’s worth doing a little research on the company insuring your home and assets. A great homeowners insurance company is financially stable, has dependable customer service, affordable coverage, flexible policy options, and high quality discounts. Using those benchmarks, we determined the following five companies were the best homeowners insurance companies in Michigan. Read about our methodology here.
Stillwater provides the cheapest Michigan home insurance quote of any Policygenius partnering carrier. The average quote with Stillwater is $1,403, about $400 cheaper than the statewide average cost of $1,828. If you're a Michigan resident looking for the lowest cost coverage possible, then Stillwater might be the insurance company for you.
Read our full review of Stillwater here
In terms of quality of coverage, very few Michigan insurance companies top Hippo. Hippo homeowners insurance includes all of the primary coverages you find in a standard home insurance policy, as well as several coverage enhancements like equipment breakdown coverage, service line coverage, water backup coverage, and computer coverage. Most companies charge extra for the aforementioned endorsements, but with Hippo it all comes packaged into their base policy.
Read our full review of Hippo here
In terms of discounts, Nationwide bests most Michigan insurers. The insurance giant offers a generous multi-policy discount if you bundle your home insurance policy with their auto insurance or another type of property insurance. Nationwide also offers discounts for securing and strengthening your home and roof from break-ins and bad weather. If you haven’t filed a claim in three years or if you recently purchased your home, that can also land you a discount with Nationwide.
Read our full review of Nationwide here
If you’re trying to maximize coverage for the structure of your home, then Safeco’s replacement cost coverage options are the way to go. Safeco has four comprehensive tiers of coverage, and all include the option to add extended replacement cost, a policy add-on that increases your home’s coverage limits an additional 25% or 50% if rebuild costs exceed your dwelling coverage amount. Safeco’s “Premier Plan”, its highest level of coverage, includes guaranteed replacement cost, which pays for a rebuild of your home regardless of the price.
Read our full review of Safeco here
One important indicator of an insurance company’s ability to pay out claims in an effective and timely manner is their financial stability, and Travelers is among the highest-rated insurers in that area. With an A++ rating with A.M. Best, Travelers has the highest score a company can receive with the insurance company credit rating agency. Travelers also has high marks with Standard & Poors, which measures long-term financial stability, as well as Moody’s, which measures what the expected losses would be if a company were to go into default.
Read our full review of Travelers here
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When comparing insurance companies, Michigan residents may find that rates differ greatly from company to company for the same level of coverage. A policy may be more expensive because it provides more coverage add-ons in a basic plan than their competitors, but some companies may simply charge more for coverage in certain areas than others.
After reviewing hundreds of quotes submitted with Policygenius, we found that Stillwater is the cheapest insurance company in Michigan with a $1,403 average annual premium for $100,000–500,000 in coverage. Mercury is the most expensive with a $2,609 average annual premium.
|Company||Policygenius Rating||Average Cost|
|Plymouth Rock||Not rated||$1,451|
|State Auto||Not rated||$1,895|
The average cost of homeowners insurance in Michigan will also differ considerably based on the amount of insurance you have for your home. Below is the average homeowners insurance quote for five different levels of coverage.
|Coverage amount||Average cost|
|Greater than $500,000||$2,234|
Insurance companies will also price policies differently based on where in the state you live. We found the city of Livonia, a suburb of Detroit, has the highest rates with a $3,832 average annual premium for $100,000-500,000 in coverage. The cheapest area, on average, is the state capital, Lansing with a $792 average annual premium.
We selected the 20 largest cities in Michigan by population where customers have submitted quotes with Policygenius. Quotes are based on a coverage amount between $100,000 and 500,000.
Michigan may not experience an abundance of extreme storms and tornadoes like some of its Midwestern neighbors to the south, but the Great Lakes State is still prone to the occasional blizzard, thunderstorm, twister, and wildfire. When winter rolls around, Michigan is hit with frequent winter storms that bring heavy winds and lake-effect snow from Lake Michigan. From December to February, Michigan residents should make sure their roofs are clear of excessive snow and ice dams. Homeowners insurance covers weight of snow and ice, but keep in mind that if your roof leaks because of age or wear and tear and it falls through, your homeowners insurance company may not pay to replace it.
Homeowners insurance does not cover flood damage in Michigan or anywhere else in the country. Michigan residents — especially those on the coast of Lake Michigan, Lake Huron, Lake Superior, or one of the state’s 11,000 inland lakes — should protect their home and personal belongings with flood insurance. Flood insurance can typically be purchased through the same company that insures your home. Most flood policies are sold by private companies but serviced by the federal government via the National Flood Insurance Program. An NFIP flood policy can cover up to $250,000 for the structure of your home and up to $100,000 for personal belongings damaged or destroyed by flood.
The Department of Insurance and Financial Services is a great resource both for Michigan homeowners purchasing coverage for the first time or those who are already insured. The DIFS website has helpful information about how to shop for home insurance, what to prioritize when selecting your coverage, information about state insurance laws, customer complaint forms, and more.
Homeowners insurance companies can cancel your insurance for a number of reasons — maybe you filed too many claims in a short period of time, maybe the insurance company no longer offers coverage where you live, or maybe they determined your home was too risky to insure after a recent inspection. If you’re struggling to find coverage, you can get last-resort coverage via the Michigan Basic Property Insurance Association.
Not where you live? We've got you covered, check out our guide to homeowners insurance in your state
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