Dearborn Car Insurance

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

As the eighth-largest city in the state and a part of the Detroit metropolitan area, Dearborn, MI is a very active and busy city. As such, its roadways can often become quite congested with traffic – particularly along Interstate 94, Michigan Avenue and the Southfield Freeway. Sharing the roads with a lot of other drivers increases your risk of being in a collision. Fortunately, when you are carrying a suitable Dearborn auto insurance policy, you do not need to worry about financial damages in the aftermath of an accident.

Auto insurance is required of vehicle owners in Dearborn, but overpaying for it is not. Independent Insurance Agents in our network can help you find a selection of affordable Dearborn car insurance policies that have been customized to fit your coverage and budgetary needs. Find an agent near you to learn more, and you can soon start saving money by comparing quotes from a variety of reputable insurers.

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

Regrettably, for those looking to buy a Dearborn car insurance policy, the average cost of car insurance in Michigan is nearly twice the national average. Of course, your actual coverage rates may be higher or lower than the state average because they are calculated based on a number of different considerations. These include but are not limited to such factors as these:

  • Your ZIP code, i.e., where you live and park your car
  • The make, model and year of your car
  • The safety features and options included in your car according to its VIN number
  • Your personal driving record and claims history
  • Your age, sex, marital status, and credit score
  • The age, sex and marital status of other drivers in your household
  • The amount of coverage you wish to purchase
  • The amount of your deductible

Because so many different factors are taken into account when determining your Dearborn auto insurance rates, each insurance company is likely to quote you different rates. This is how comparison shopping can help you find the best price for your policy.

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 insurance that meets these requirements can result in fines between $200 and $500, a 30-day suspension of your driver’s license and, in some cases, incarceration. You can also be sued for damages if you are responsible for an accident while driving uninsured. Simply put, foregoing car insurance coverage is not worth the risk.

Michigan’s mandated minimums are meant to protect your finances in the event of a car accident. However, if you are responsible for a major collision that results in significant injuries requiring extensive medical care, you could easily be responsible for damages that greatly exceed these minimum coverage amounts. It might, therefore, be a good idea to purchase coverage that exceeds these requirements. Your agent can help you determine how much coverage might be sufficient to adequately protect your assets and can offer you quotes 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%

Although the penalties for driving without insurance in Michigan are significant, this state has one of the highest rates of uninsured drivers in the county. With approximately one in five drivers lacking insurance coverage, you are at an increased risk while driving. This is because if you are in an accident that is caused by an uninsured driver and you are injured or suffer property damage, the responsible driver is responsible for covering your costs out of pocket. Even with a court order, it may be difficult or impossible to collect these funds if the responsible party simply has no money or assets to go after.

The good news is that if you have included uninsured motorist coverage with your Dearborn car insurance, you are covered. In this case, your insurance company compensates you for your losses up front and then tries to collect from the offending driver on its own behalf. Uninsured motorist insurance also covers you against damage caused by hit-and-run drivers.

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

The rate of car theft in Michigan is higher than the national average and is even higher in Dearborn. In recent years, there were 377 auto thefts reported in this city. That equates to about 3.93 thefts per 1,000 vehicles. These rates can have an impact on your insurance rates. It can be stressful to have your car stolen, but it doesn’t have to result in a financial loss. 

By supplementing your Dearborn car insurance policy with comprehensive, or “other than collision,” insurance, you can receive compensation if your car is stolen. Additionally, this insurance provides coverage if your car is damaged by other nondriving hazards, such as falling objects, floods, noncollision fires, and vandalism.

Find a Great Dearborn Car Insurance Policy

Nobody should pay more than is necessary for auto coverage. However, if you purchased your policy without first taking the time to get quotes from some competing insurance companies, chances are good that you are doing just that. That is why savvy car owners in Michigan turn to independent agents in our network for help when they are shopping for suitable and competitively priced policies. Our agents make comparison shopping easy by doing the comparison-shopping legwork for you. Because they can work with a variety of top-rated insurance companies, they are able to quickly provide you with a selection of Dearborn auto insurance quotes that you can review and compare. 

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

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