Are Cheap Rates Worth the Cost?
Who is the cheapest among cheap auto insurance companies? Well, let’s first define what we mean by “cheap” auto insurance. Michigan requires every vehicle owner to purchase automobile insurance with certain minimums. Cheap insurance, then, might be defined as the least expensive premiums for that minimum required coverage.
Keep in mind, though, that oftentimes, you get what you pay for. Selecting auto insurance coverage based solely on the cheapest premium may not provide sufficient coverage and put you at financial risk.
So, in putting together this Top 10 list of cheap auto insurance companies, we also take into consideration not only which companies offer competitive premiums but also companies that have reputations for reliability and customer service. It is essential to obtain personalized quotes from multiple insurers to find the cheapest auto insurance coverage that is also best for your specific situation.
Best Cheap Auto Insurance Companies For Michigan Drivers
Here are 10 of the best cheap auto insurance companies, in no particular order, that offer affordable and competitive rates to Michigan drivers now in 2023 and going into 2024.
For the record, we at Compass Insurance Agency (located in Byron Center, MI near Kentwood) work with 80% of the winning providers! And you can get car quotes from all of them in one place.
One of the oldest auto insurance companies around, founded over a century ago to protect drivers’ and passengers’ rights and promote vehicle safety. AAA has been producing maximum benefits to its over 50 million members since long before other companies have dreamed of entering the market.
Founded in 1937, Progressive Insurance’s stated mission is to provide low rates for people with low-risk driving records. Progressive was also one of the first companies to offer competitive insurance rates online, ensuring customers get the best possible rate.
One of the most well-known companies in the industry, Travelers offers a broad range of coverage options and discounts to help you customize your car insurance policy. Travelers offers coverage that some insurers don’t, including gap insurance and premier new car replacement, though these are options that digress from the notion of cheap auto insurance.
Okay, you’ve seen the commercials with the cute Gecko. And while the company does put a lot of money into advertising, it does have one of the lowest average rates among car insurance companies.
5. State Auto
State Auto Insurance boasts an impressive history of providing auto insurance, committed to offering customers the best value in terms of insurance policies. Not to be confused with State Farm.
6. US Assure
US Assure Insurance Services is a premium carrier with over forty years of demonstrated success in servicing auto insurance customers. The insurer’s systems and processes make issuing insurance policies smooth and efficient, as well as offering competitive rates.
Part of Liberty Mutual Insurance, a Fortune 100 company and the sixth-largest personal line insurer in the country, Safeco offers a collision deductible that decreases at every renewal if there are no claims filed against your policy. The deductible continues to decrease for up to five years or until the $500 maximum is reached.
8. State Farm
State Farm is one of the largest insurance companies in the United States, offering competitive rates for auto insurance, with generous coverage and discounts for only good drivers. If you’re looking for cheap auto insurance and have an impeccable driving history, consider looking at State Farm.
Nationwide Insurance has a more than 85-year history of offering competitive auto insurance policies. There are a number of discounts available from Nationwide, including owning a vehicle with anti-theft equipment, completing a safety course if you are 55 or older, and/or having a spotless driving record.
10. Michigan Insurance Company
What better auto insurance company for Michigan drivers than a provider named Michigan Insurance Company? Part of the Donegal Insurance Group, Michigan Insurance Company offers first accident forgiveness programs, good student discounts, and discounts for good drivers. Winning a spot on this best cheap auto insurance list for 2023-2024.
Shop Around for “Cheap” Auto Insurance
So, which cheap auto insurance company is best for your personal situation? Well, that depends on a number of different factors. First and foremost, let’s go back to the idea of cheap auto insurance as offering competitively less expensive rates.
Nothing wrong with getting what you need at the lowest price. But keep in mind premium rates are not the only important factor to compare. If you opt just for whatever is cheapest, you may also be opting for something that provides insufficient protection in the event you are involved in a car accident. Should that happen, you are going to pay out much more in financial liability if you have cheap auto insurance that leaves you financially exposed to lawsuits.
In looking for the best cheap auto insurance that also properly protects you, it always pays to shop around. Not just to get the best price but to get the coverage that fits your needs, vehicle, and financial situation.
This is how your Compass insurance agent can help Michigan drivers in and around Byron Center and Kentwood. As independent insurance brokers, we work for you, not the auto insurance companies. Not only do we represent 8 of the 10 best cheap auto insurance companies on this list, but we also work with 20+ insurance providers to get you better rates, better service, and better coverage.
We can save you, on average, nearly $800 a year on your car insurance without sacrificing customer service or coverage. Get the best auto insurance at the cheapest price.