Best Cheap Michigan Homeowners Insurance for 2024

Shopping for homeowners insurance is serious business. After all, you're shopping for a product that will help protect one of your most significant financial investments. Ideally, you'll find the best homeowners insurance in Michigan at the lowest possible price. Here, we help by showing you where you can buy the cheapest policies in the state and outlining key factors you should look for before settling on a policy.

• Cheapest overall: Auto Owners
• Cheapest for new home construction: Auto Owners
• Cheapest for older homes: Auto Owners
• Cheapest for those who have filed a claim: Auto Owners

Cheapest overall for Michigan

The cheapest homeowners insurance overall in Michigan is available through:

• Auto Owners, with an average annual rate of $305
• Westfield, offering an average annual rate of $662
• Frankenmuth, coming in with an average annual rate of $752

Cheapest for new home construction

It can be quite exciting to move into a new home. Everything is fresh and new, and insurance rates are lower. That's because all the house components are new and insurance companies don't have to worry about things falling apart right away. Still, in case anything does go wrong, it's important to have a comprehensive homeowners insurance policy in place. The cheapest Michigan home insurance for newly built structures are:

• Auto Owners, offering an average annual rate of $191
• Westfield, with an average annual rate of $460
• Frankenmuth, with an average annual rate of $475

Cheapest for older homes

Older Michigan homes have style and character, but they're also more likely to be hit with age-related problems like flooding and mold. That's what makes older homes more expensive to insure. Still, good deals are available. The top three companies for insuring old Michigan homes cheaply are:

• Auto Owners, with an average annual rate of $206
• Westfield, coming in with an average annual rate of $671
• Frankenmuth, rounding out the top three with an average annual rate of $741

Cheapest when you've made a claim

When a home is damaged or destroyed, homeowners coverage can be a lifesaver. However, a single claim can cause premium rates to rise for a period of time. For those who have previously made a claim, these three insurers offer some of the lowest rates in the state:

• Auto Owners, with an average annual rate of $203
• Westfield, offering an average annual rate of $689
• Pioneer State Mutual, with an average annual rate of $717

Average cost in Michigan compared to the national average

The average cost of homeowners insurance in Michigan is $1,452, approximately 16% lower than the national average of $1,725.

Michigan homeowners insurance overview

There's more to pinning down the best homeowners insurance in Michigan than finding a low price. Here are some other factors to keep in mind while shopping for the best homeowners insurance:

Different types of homeowners coverage

There are several different types of Michigan home insurance specifically designed to cover traditional homes, from basic policies to coverage with all the bells and whistles. The best homeowners insurance companies offer them all. Before shopping, it benefits a homeowner to list all the things about their home they're looking to protect. For example, a homeowner may have customized their home in an otherwise cookie-cutter neighborhood and needs a policy that will cover all the upgrades in the event the home is damaged or destroyed.

Level of coverage

The thing about a bare-bones insurance policy is that it may be cheap, but it is unlikely to provide a full range of coverage. If a homeowner sleeps better at night knowing they have enough coverage to make the house as good as new -- no matter how much it costs to rebuild -- it may be worth paying a slightly higher premium.

Amount of deductible

A deductible is an amount the homeowner must pay toward a claim before coverage kicks in. Let's say a homeowner has a policy with a $1,000 deductible, and a roof is destroyed in a storm with repairs totaling $18,000. The homeowner pays the contractors $1,000, and the insurance company covers the remaining $17,000.

Potential discounts

One way to land cheap homeowners insurance in Michigan is to take advantage of all possible policy discounts. Nearly every insurance company offers a list of discounts, and they cover everything from whether a home includes an alarm system to if the homeowner is a non-smoker. In other words, there are one or more home insurance discounts for just about everyone.

What are the most common homeowners insurance claims in Michigan?

Every region is known for a different set of natural disasters. For example, Florida gets hurricanes and California gets earthquakes and wildfires. But natural disasters are not the only reason a Michigan homeowner might file a claim. Here are some of the top Michigan home insurance claims:

Fire and lightning

Whether lightning causes a fire or a fire begins in some other way, the fact that fire and lightning are among the top insurance claims underscores the importance of having a comprehensive policy that fully covers repairing or rebuilding a home.

Theft and vandalism

Burglary is a problem in every state, and some parts of Michigan are more impacted than others. It's one of the most common reasons homeowners make a claim.

Ice and water damage

Michigan can be a tough state to live in for anyone who doesn't enjoy snow and ice. Everything, from melting ice dams on the roof to leaky dishwashers, leads to insurance claims in the state.

Wind damage

Whether the damage is due to an everyday thunderstorm or a hurricane, wind damage is one of the most common claims in Michigan. Between blowing objects, falling trees, and heavy winds, roofs and other exterior features can take a beating. It can pay to take out extra coverage for wind damage in a state as prone to weather-related events as the Great Lakes State.

Homeowners insurance coverage options and discounts in Michigan

Purchasing the "right" homeowners policy is a matter of examining potential coverages and comparing them against costs, then deducting any available discounts. Here, we list coverage and discount options.

Coverage options

When shopping for the best homeowners insurance in Michigan, the ideal policy is not only affordable, but also provides a level of coverage that leaves the homeowner feeling secure. There are several policy types designed to cover traditional homes. The protection they carry ranges from basic to comprehensive. A homeowner can purchase a policy that covers the most common types of perils or a policy that offers greater protection by covering things like electrical surges and volcanic eruptions. In short, there's a policy type for everyone. It's a matter of the homeowner sitting down and contemplating the level of coverage they desire and combining that with how much they can afford to spend on premiums.

Discount options

Each insurer offers its own set of discount options. Here's a sampling of the most common:

• Loyalty
• Home and auto bundle
• Construction type
• Advance purchase
• Roof upgrade
• Advance pay
• Homeowners association (HOA) membership
• Home upgrades
• Home security system
• Company loyalty
• Professional affiliation
• Non-smoker

5 cheapest cities in Michigan for homeowners insurance

A home can be more (or less) expensive for several reasons, including the rate of crime in the area, how near a house is to a fire station, or the value of other homes in the area. Here's a list of the five cheapest cities in Michigan for homeowners insurance:

5 most expensive cities in Michigan for homeowners insurance

Here are the five most expensive cities in the state for homeowners insurance:

Ultimately, what a homeowner is looking for is a policy with a high level of coverage but a low premium. Once they find it, it's important to conduct a policy check-up at least once a year, just to make sure nothing has changed and there's not a better policy available. In other words, make sure there's not a new "best homeowners insurance in Michigan."