Best and cheapest homeowners insurance in Michigan in 2025

How much is homeowners insurance in Michigan?

Homeowners insurance in Michigan costs an average of $2,607 a year for the following coverage:

$300,000 in dwelling coverage
$300,000 in liability
$1,000 deductible

Home insurance rates will vary widely depending on the coverage you need and where you live in Michigan. The insurance company you choose will also impact your rates.

An S&P Global study found Michigan home insurance rates have increased 13.7% since 2022, so shopping around is vital.

Cheapest homeowners insurance companies in Michigan

On average, Automobile Club MI is the cheapest home insurance companies in Michigan by a wide margin at all coverage levels.

As you can see from the chart below, shopping around to compare home insurance rates can save you hundreds of dollars a year.

Below are average home insurance rates by company at several dwelling coverage levels for a policy with $300,000 in liability coverage with a $1,000 deductible.

Cheapest home insurance companies in Michigan
Company	$200,000	$300,000	$400,000	$500,000	$600,000
Automobile Club MI (AAA)	$871	$1,179	$1,546	$1,811	$2,074
Frankenmuth Insurance	$1,119	$1,527	$2,037	$2,738	$3,295
USAA	$1,286	$1,637	$1,937	$2,217	$2,475
State Farm	$1,442	$1,872	$2,210	$2,672	$3,075
Farmers	$2,007	$2,726	$3,405	$3,692	$4,313
The Hanover	$3,047	$3,868	$4,683	$5,506	$6,349
Michigan Farm Bureau	$4,188	$5,815	$7,235	$8,391	$9,089

Read our methodology

Best home insurance companies in Michigan

The best home insurance company in Michigan is Auto-Owners at a score of 4.91 stars out of five, followed by Frankenmuth Insurance at 4.4 stars. USAA, Farmers and The Hanover round out the top five.

There are many ways to rank insurance companies, and the best home insurance company for one person may not be right for you. However, to help you choose, we’ve ranked Michigan insurers based on AM Best financial stability scores, average annual home insurance rates and NAIC complaint ratios.

Insurance.com scores are given out of five based on these three factors. Our results show that Auto-Owners is the best home insurance company in Michigan.

Best home insurance companies in Alaska

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Best home insurance companies in Michigan
Company	AM Best	Average annual rate	NAIC Complaint Ratio	Insurance.com score
Auto-Owners	A++	$1,352	0.19	4.91
Frankenmuth Insurance	A	$1,527	0.11	4.4
USAA*	A++	$1,637	0.41	4.34
Farmers	A	$2,726	0.33	3.85
The Hanover	A++	$3,868	0.39	3.79
Automobile Club MI (AAA)	A	$1,179	0.91	3.61
State Farm	A++	$1,872	1.07	3.56
Michigan Farm Bureau	A	$5,815	0.3	3.09

Read our methodology

*USAA only writes insurance for military members and their families.

Auto-Owners

With affordable rates, a low complaint volume and the best possible rating for financial security from AM Best, Auto-Owners earned the No. 1 spot for home insurance in Michigan. Auto-Owners is committed to personal service, so they don't offer online quotes, which may be a downside for some, but it has plenty of upsides to make up for it.

Frankenmuth Insurance

Regional carrier Frankenmuth is the second place company for homeowners insurance in Michigan, making both of the top two smaller companies. It boasts low average rates and the lowest complaint volume of all the companies we ranked.

Farmers

Farmers earns the No. 3 spot for home insurance in Michigan, since USAA is not ranked due to eligibility requirements. Rates are a little high, but far from the highest, and the company comes with the solid foundation of a nationwide insurer for those who prefer a bigger name.

Michigan homeowners insurance rates by ZIP code

Michigan's most expensive ZIP codes for home insurance are all in Detroit and are about $759 more than the state average of $2,607. These include the neighborhoods in ZIP codes:

48242 ($3,366)
48089 ($3,246)
48211($3,216)
48015 ($3,203)

The least expensive ZIP codes are about $759 less than the state average and are in:

Muskegon (49441)
Saginaw (48604)
Muskegon (49442)

Many factors affect home insurance rates. Chief among them is where you live, which is why rates vary a great deal depending on your ZIP code. In addition to location, what you pay is also influenced by the following:

Your home's square footage
Building costs in your area and your own home's construction, materials and features
Local crime rates
Weather and natural disasters

Michigan homeowners insurance calculator

Enter your ZIP code in the search box to see that area's average home insurance rate and the highest and lowest premiums fielded from major insurers. This will give you an idea of how much you can save by comparing Michigan home insurance rates. The difference between the highest and lowest rates is how much you could save by switching insurance companies.

Home insurance calculator by ZIP code

Average home insurance rates in Texas

Most & least expensive ZIP codes for homeowners insurance in Texas

Most expensive
Least expensive

ZIP code	City	Highest rate
77550	Galveston	$10,164
77586	El Lago	$9,906
77551	Galveston	$9,536
77554	Galveston	$9,358

ZIP code	City	Lowest rate
78559	Iglesia Antigua	$1,956
78593	Santa Rosa	$1,999
79915	El Paso	$2,008
79905	El Paso	$2,009

Read our methodology

Michigan homeowners insurance rates by county

Home insurance rates in Michigan vary by county. Take a look at the average rates by county in Michigan below to see how costs compare.

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Table

Average annual premium

$2,051

$3,084

County	Average annual premium	Average monthly premium
Alcona	$2,220	$185
Alger	$2,304	$192
Allegan	$2,441	$203
Alpena	$2,184	$182
Antrim	$2,304	$192
Arenac	$2,390	$199
Baraga	$2,183	$182
Barry	$2,466	$205
Bay	$2,241	$187
Benzie	$2,152	$179
Berrien	$2,602	$217
Branch	$2,420	$202
Calhoun	$2,501	$208
Cass	$2,570	$214
Charlevoix	$2,250	$188
Cheboygan	$2,386	$199
Chippewa	$2,214	$184
Clare	$2,369	$197
Clinton	$2,297	$191
Crawford	$2,284	$190
Delta	$2,176	$181
Dickinson	$2,051	$171
Eaton	$2,396	$200
Emmet	$2,240	$187
Genesee	$2,724	$227
Gladwin	$2,367	$197
Gogebic	$2,225	$185
Grand Traverse	$2,275	$190
Gratiot	$2,307	$192
Hillsdale	$2,482	$207
Houghton	$2,265	$189
Huron	$2,243	$187
Ingham	$2,267	$189
Ionia	$2,412	$201
Iosco	$2,264	$189
Iron	$2,327	$194
Isabella	$2,343	$195
Jackson	$2,368	$197
Kalamazoo	$2,310	$193
Kalkaska	$2,311	$193
Kent	$2,232	$186
Keweenaw	$2,462	$205
Lake	$2,322	$194
Lapeer	$2,384	$199
Leelanau	$2,094	$174
Lenawee	$2,413	$201
Livingston	$2,358	$196
Luce	$2,231	$186
Mackinac	$2,171	$181
Macomb	$2,507	$209
Manistee	$2,227	$186
Marquette	$2,358	$196
Mason	$2,225	$185
Mecosta	$2,278	$190
Menominee	$2,141	$178
Midland	$2,248	$187
Missaukee	$2,206	$184
Monroe	$2,430	$203
Montcalm	$2,290	$191
Montmorency	$2,231	$186
Muskegon	$2,349	$196
Newaygo	$2,380	$198
Oakland	$2,577	$215
Oceana	$2,337	$195
Ogemaw	$2,267	$189
Ontonagon	$2,260	$188
Osceola	$2,229	$186
Oscoda	$2,310	$192
Otsego	$2,287	$191
Ottawa	$2,227	$186
Presque Isle	$2,166	$181
Roscommon	$2,436	$203
Saginaw	$2,483	$207
Sanilac	$2,351	$196
Schoolcraft	$2,214	$184
Shiawassee	$2,528	$211
St. Clair	$2,314	$193
St. Joseph	$2,504	$209
Tuscola	$2,401	$200
Van Buren	$2,617	$218
Washtenaw	$2,221	$185
Wayne	$3,084	$257
Wexford	$2,174	$181

Read our methodology

The Michigan Department of Insurance and Financial Services says...

Companies add new discounts frequently. Be sure to ask for a list of discounts that are offered from each company you are considering for the purchase of homeowners insurance. Most companies have a cap on the total amount of discounts that a person can use to reduce their premiums. For example, if you qualify for several discounts that amount to over 90% of the premium, the company may limit the total amount of discounts you can claim to 50% of the premium.

- The Michigan Department of Insurance and Financial Services

Homeowners insurance rates in Michigan by city

Though you can see how much coverage costs for your neighborhood by using our average rates tool above, you may want to know the cost of a policy in your city and how it compares to others. Below, we provide rates for the largest cities in Michigan.

Home insurance rates in Michigan by city
City	Average rate	Monthly rate
Detroit	$2,969	$247
Grand Rapids	$2,556	$213
Warren	$3,133	$261
Sterling Heights	$2,917	$243
Ann Arbor	$2,459	$205
Lansing	$2,531	$211
Clinton Township	$2,727	$227
Flint	$2,365	$197
Dearborn	$2,417	$201
Livonia	$2,648	$221

Read our methodology

Homeowners insurance rates in Michigan by coverage level

Below are the average Michigan homeowners insurance rates for 10 coverage levels, all with a $1,000 deductible, based on a 2022 rate analysis by Insurance.com. As you can see, the difference in price between low liability limits and the recommended higher amount is less than $20 a year.

Michigan home insurance rates at 10 coverage levels
Dwelling and liability limits with $1,000 deductible	Average annual rate	Average monthly rate
$200,000 dwelling with $100,000 liability	$2,118	$176
$200,000 with $300,000	$2,131	$178
$300,000 with $100,000	$2,595	$216
$300,000 with $300,000	$2,607	$217
$400,000 with $100,000	$2,942	$245
$400,000 with $300,000	$2,950	$246
$500,000 with $100,000	$2,981	$248
$500,000 with $300,000	$2975	$248
$600,000 with $100,000	$3,275	$273
$600,000 with $300,000	$3,282	$274

Read our methodology

Homeowners insurance discounts in Michigan

There are several ways to reduce home insurance rates. Many insurers will lower your bill by as much as 37% if you bundle your auto and home.

You can also cut your costs by making your home more disaster-resistant.

Other possible home insurance discounts include:

Installing smoke detectors, a burglar alarm or dead-bolt locks:1% to 3%
Installing a sprinkler system and a fire and burglar alarm: 3% to 4%
Loyalty discounts: about 6% on average after three to five years and 7% for ten years or more

Home and auto bundling discount in Michigan

Michigan homeowners who buy coverage for both home and auto from the same company can save an average of $356 a year, or 19%. Below, you’ll see how major carriers in Michigan compare for the home and auto multi-policy discount.

Home and auto bundle discount in Michigan
Company	$ bundle average savings	% bundle average savings
Auto-Owners	$37	11%
USAA	$167	9%
Michigan Farm Bureau	$200	11%
Pioneer State Mutual	$218	15%
Frankenmuth Insurance	$222	15%
Farmers Insurance	$291	20%
Automobile Club MI	$293	19%
Allstate	$413	30%
State Farm	$623	32%
The Hanover	$1,096	27%

Read our methodology

Is homeowners insurance mandatory in Michigan?

Home insurance is not required by law in Michigan. Mortgage companies, however, require homeowners insurance as a part of the loan contract. Your mortgage company will inform you of the insurance requirement before the loan closes; you're required to keep insurance in place for the duration of the loan.

That doesn't mean you can't change insurance companies; you can shop around for the best rate at any time. Just make sure you don't have a lapse in coverage.

Methodology

Insurance.com analyzed rates for all Michigan ZIP codes, fielded by Quadrant Data Services in 2023. Rates were fielded for multiple coverage levels from $200,000 to $600,000 in dwelling coverage with $100,000 and $300,000 in liability, and a $1,000 deductible and for all of the home insurance companies listed. Content is updated for 2025.

FAQ: Michigan homeowners insurance

How do I find a good Michigan insurance company?

The Michigan Department of Insurance and Financial Services (DIFS) publishes a list of insurers offering coverage in the state.

Our ranking of the best home insurance companies nationwide can also help, as many of them offer coverage in Michigan.

What if I can't get homeowners insurance in Michigan?

Michigan law does not require you to purchase homeowners insurance. However, if you have a mortgage, your lender will require it.

If you are unable to purchase a policy directly from an insurance company for any reason, contact an insurance agent and ask to apply to the Michigan Basic Property Insurance Association.

Where do I file a complaint against a Michigan insurance company?

If you have a dispute with your insurer, the Michigan Department of Insurance and Financial Services can help. The Office of Consumer Services can investigate your complaint and try to help resolve it or at least explain your options.

The department encourages you to try to resolve any complaint with the insurance company first. If such efforts fail, visit the DFIS website and fill out an insurance complaint form.

How much is flood insurance in Michigan?

The average cost of a National Flood Insurance Program (NFIP) flood insurance policy in Michigan is $975 a year. Private flood insurance costs vary.

Homeowners insurance does not cover flood damage. To be covered, you need to purchase a flood insurance policy through the National Flood Insurance Program.