Birmingham Car Insurance

Everything You Need to Know About Car Insurance in Birmingham, MI

The City of Birmingham, MI is known for its walkability, but most transportation that takes place here happens in cars. Unfortunately, every time you get behind the wheel of a car, you have the potential of being involved in a motor vehicle collision. Whether you are weaving through traffic on Woodward Avenue, crossing town on Maple Road or taking Cranbrook Road to a football game at Seaholm High School, your risk increases according to the number of other drivers you are sharing the roads with. Fortunately, you do not need to worry about an accident setting your finances back when you are protected by a suitable Birmingham auto insurance policy.

If you wish to obtain a great policy at a competitive cost, it is a good idea to compare rates from a few reputable insurance companies before making a selection. Comparison shopping is easy when you work with an independent insurance agent in our network. These agents are free to work with several different insurance providers so they can get you a selection of customized Birmingham car insurance quotes that you can review together in order to find the best price. Find an agent near you to get started.

  • National average cost per year: $1,311
  • Michigan average cost per year: $2,476
  • #1 most expensive auto premium in U.S.

The average rate for car insurance in the state of Michigan is nearly double the national average. That makes shopping around for the best price all the more important. The average rate mentioned above can give you a ballpark idea of how much you might expect to pay, but your actual Birmingham auto insurance costs may differ significantly. This is because insurance companies calculate your price based on several different factors such as the following:

  • The make, model, year, color and safety features of your vehicle(s) (as indicated by vehicle identification number (VIN)
  • The age, sex, marital status and driving records of all licensed drivers in your household who will be included on your policy
  • The amount of liability coverage you want to purchase
  • The coverage options you wish to include
  • The size of your deductible
  • Your credit score

Each insurance company evaluates the risk you present and calculates your price for coverage accordingly. Because each company uses a different method to determine rates, each is likely to offer you a different quote. This is why it is to your advantage to compare a few Birmingham car insurance policies before making a purchase.

Michigan Car Insurance Requirements

  • Bodily injury liability: required
  • Property damage liability: required
  • Personal injury protection (PIP): required
  • Uninsured motorist coverage: not required
  • Minimum liability limits: 20/40/10: Coverage up to $40,000 for all persons injured in an accident, subject to a limit of $20,000 per individual, and $10,000 coverage for property damage

Failure to carry car insurance that meets or exceeds Michigan’s minimum requirements while driving is illegal and can result in the suspension of your driver’s license for 30 days, a fine of up to $500 and even possible jail time. If you have a lot to lose, the state’s minimum coverage requirements may not be enough to sufficiently protect your assets if you are responsible for a serious accident — particularly if it results in injuries that require excessive medical treatment. For this reason, it may be a good idea to purchase a Birmingham car insurance policy with the highest liability limits you can reasonably afford. Your agent can help by obtaining rates for different levels of coverage.

Number of Uninsured Motorists in Michigan

  • Number of uninsured U.S. drivers: 12.6%
  • Number of uninsured Michigan drivers: 21.0%

Despite the tough penalties, drivers in the state of Michigan are among the country’s most likely to be uninsured. Approximately one out of every five drivers you pass on this state’s roadways is driving without insurance, and that puts law-abiding citizens like you at a significant financial risk. That is because if you are in a collision that is the fault of an uninsured driver, that person is responsible for covering your damage — including any related medical bills. Unfortunately, it can be hard to collect this money. In some cases, if the responsible party simply does not have any assets or wages to garnish, you may never see a cent. That means that the costs come out of your own pocket.

That is why it is a good idea to include uninsured motorist coverage with your Birmingham car insurance. That way, if you find yourself in this sort of situation, your insurance company compensates you for your losses up front and then pursues payment from the responsible driver on its own behalf. This insurance also covers damage and injuries you may sustain as the result of a collision with a hit-and-run driver.

Number of Auto Thefts in Michigan

  • National number of thefts per 1,000 vehicles: 2.94
  • Michigan number of thefts per 1,000 vehicles: 3.33

Auto theft rates in Michigan are higher than the national average, but the risk of car theft is quite low in Birmingham. In recent years, there were only 11 auto thefts reported in this city. That equates to 0.53 thefts per 1,000 cars — well under the national rate. This is something that is factored in when calculating your Birmingham auto insurance rates.

Even if you are not likely to spend all of your time in Birmingham, you are not immune to the risk of auto theft. In the event that your car is stolen, you can only receive compensation for your loss if your Birmingham car insurance policy includes “other than collision” (comprehensive) coverage. This optional insurance also covers other noncollision-related damage, such as that caused by falling objects, flying debris, floods, fires, and vandalism.

Find the Best Birmingham Car Insurance Policy

Naturally, you don’t want to pay more than is necessary for your car insurance coverage. However, if you purchased an auto policy without first taking the time to get quotes from other insurers, chances are good that you are doing just that. That is why, when they are shopping for suitable and affordable auto policies, savvy car owners in Birmingham turn to independent agents in our network for help.

Our agents make comparison shopping easy by contacting insurance companies and collecting customized quotes on your behalf. They can then help you review the different offerings so that you can make an informed decision when you choose that policy that best fits your coverage and budgetary needs. 

Find an agent with an office near you to learn more about your Birmingham car insurance options.

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