More than 71% Michigan residents have homes they own. This means homeowners insurance is a very common requirement in the Great Lakes State. According to Bankrate’s 2021 study on annual premiums, the average cost of Michigan homeowners insurance is $1,120 annually, or approximately $93 per month for $250,000 of dwelling coverage.
You can protect your financial future by finding the best homeowners policy in Michigan that suits your needs. How can you compare Michigan homeowners insurance providers? Bankrate’s experts in insurance can help you choose the right carrier for you.
Michigan’s top home insurance companies
There are many factors to consider when looking for Michigan’s best homeowners insurance. Quadrant Information Services was a partner of our insurance editorial team to provide the most current premium information for the state’s largest companies based on market share. After analysing the premiums, each company’s coverages and discounts, as well as policy features, was reviewed.
These companies might be a good addition to your list if you’re looking for Michigan home insurance quotes.
Allstate
Although its average premium is slightly more than Michigan’s, Allstate may make up the difference with its extensive coverage options. There are options available to increase your coverage such as water backup, electronic data recovery and protection for musical instruments. Allstate offers HostAdvantage coverage, which provides coverage for those who rent out their home as a temporary rental. You might also be eligible for discounts from the company that could lower your policy’s cost.
Farmers
Farmers offers three options for home insurance quotes. You can choose from standard, enhanced, or premier. You can then customize your policy by adding endorsements such as a declining deductible, claim forgiveness, and cosmetic damage coverage. Although the company did receive a below-industry-average rating from J.D. The 2021 J.D. Power rated it above average for customer satisfaction. Power U.S. Property Claims Satisfaction Survey, which suggests that policyholders might be satisfied with Farmers’ claims service.
The Hanover
J.D. has not rated the Hanover. J.D. has not rated The Hanover. However, the company has A (Excellent). AM Best financial strength score. This means that Michigan policyholders will likely find a reliable claims payout experience with the company when they insure their home. Although The Hanover’s premium is higher than the average state premium, it offers valuable coverage options, such as a “prestige”, option for homes with high-value assets. For a stronger policy, you could add service line coverage or guaranteed replacement cost.
State Farm
State Farm is the biggest insurance company in America, accounting for more than 17% of the national homeowners insurance market. State Farm has representatives in Michigan so you can handle your insurance personally. State Farm might be a good choice if your roof is new or has been upgraded. The company offers many discounts on roof age, material, and impact resistance.
USAA
J.D. rated USAA the best for customer satisfaction. Power, however, the company was not eligible for an official ranking as it does not sell insurance to veterans, current military personnel, and their families. USAA may offer exceptional customer service and rates if you are eligible. Although the company doesn’t offer discounts, it offers many optional coverages such as home sharing and earthquake coverage. You can also be covered automatically with your military uniforms without needing to add an endorsement.
What is the cost of Michigan homeowners insurance?
The average Michigan annual premium is $1120. This is quite a difference from the $1,312 national average annual home insurance cost. Michigan homeowners insurance is relatively comparable in cost to the rest of the country. Ohio homeowners pay $1,111 annually on average, while Indiana homeowners pay $1,150.
While no state is immune to natural disasters completely, Michigan’s region does not suffer from some of the most severe weather events as other states. Although summer storms and tornadoes are quite common, they are not as prevalent as in “Tornado Alley.” However, Michigan’s northern location and its surrounding Great Lakes can make winter weather extremely harsh.
Michigan home insurance
Michigan homeowners face unique concerns when it comes to homeowner’s insurance. You may want to first understand the most common causes of damage to your Michigan home. You can then choose the coverages that will protect your financial future from these threats.
Common Loss Causes in Michigan
Michigan homeowners should be ready for any kind of weather. This state has both hot summers as well as cold winters. The weather can change quickly. Weather isn’t the only thing that can change in this state.
Cause of loss Some common causes of damage in Michigan include:
- Flooding Counties located in the southeast of the state face a greater risk of flooding, with an average National Flood Insurance Program claim payout amount of $10,900.
- Wind: Michigan’s winds can be strong all year. This is especially true on the coast. Michigan also has a lot of coastline. Winds can cause damage to roofs, siding, windows, and other exterior areas of your house, as well as property that is stored outside.
- Theft and burglary: In metropolitan areas, there is a greater risk of theft and burglary. These events could cause damage to your home or the theft of personal items.
Knowing the most common causes of damage in your local area will help you choose which coverages to include on your insurance.
Michigan home insurance options
Michigan home insurance policies will likely include standard coverages such as dwelling coverage, personal property coverage, and liability coverage. A standard policy might not be sufficient to cover all the risks to your home. These options may be worth considering:
- Flood insurance: Flood damage cannot be covered by homeowners insurance policies. It usually requires its own policy. However, some companies offer endorsements. Flood insurance may be required if you are located in a flood area and have a mortgage, home loan or other financial obligations.
- Water backup coverage This coverage covers water damage that results from water backing up in drain lines or sewers. It is most common in crawl spaces and basements, but it could also happen from any other water line within the house.
- Identity theft coverage : Thieves are able to steal your identity more easily as more information is available online. This endorsement covers the cost of restoring stolen information.
Michigan is a very unique state. It has hot summers, cold winters, and lots of water. Working with an agent can help you determine the right coverages for your situation.
Questions frequently asked
Which is the best Michigan homeowners insurance?
The cost of homeowners insurance will depend on many factors. These include the company you choose, what coverage you buy, which discounts you are eligible for, your claim history, and the condition of your roof. You might find the best deal by getting quotes from several affordable homeowners insurance companies.
How can I get Michigan homeowners insurance?
First, get quotes to obtain a home insurance policy. This can be done online, over the phone, or at a local agency. It will be necessary to provide information about your house, such as the year it was built and the age of the roof. You also need details about any special features or finishes. If you are requesting a quote, you will need to fill out an application and pay at least one month’s rent, unless you have insurance that is paid through an escrow account.
What amount of insurance do I need to have?
You will need at least sufficient coverage to cover your loan and mortgage if your home is damaged. You will want coverage that covers the entire replacement cost of your home. This will ensure that you have enough money to rebuild it if your home is completely destroyed. Also, consider your liability exposure. You may need to buy a greater amount if you own a swing set, dog, or pool. An agent can help you select the right coverages for your needs.
What is homeowners insurance?
The type of policy you have will determine the extent of your coverage. There are many homeowner insurance policies that cover different scenarios. Although most things are covered by standard policies, each policy is unique in terms of what it excludes and covers. Your coverage can be increased by adding endorsements to your policy.
Your homeowner’s insurance policy is designed to protect you from accidental and sudden damage. However, it is best to speak to an agent to find out what your policy covers.
