As a bustling suburb of Detroit, “L-Town” is home to many industries and a quiet place to raise a family. But like most of the area, you need to have a car to get around in Livonia, MI. Owning a car means insuring a car, and there are many requirements under Michigan law that you have to pay attention to – as well as some unique concerns to the area. Our Independent Insurance Agents are well aware of the challenges, so they are your best first choice for car insurance. Because they can shop around the many agencies that insure in Livonia, auto insurance options for the lowest possible cost will be yours to compare. Car insurance is more expensive in Michigan than in any other state. These are the facts from recent years:
- Across the U.S., car insurance cost $1,311 on average.
- In Michigan, the average was a stunning $2,476.
- This ranks the state number 1, the highest in the nation.
- There was $12.8 billion in losses that year.
Why is car insurance so expensive? There are two important factors, discussed in depth below. It comes down to a lot of car theft and a lot of uninsured drivers. You need to be protected from both when you own a car in Livonia.
Michigan Car Insurance Requirements
State law requires every driver to have some basic insurance. The kinds of insurance are listed below, along with your options:
- Bodily Injury Liability: This is required, with a minimum of $20,000 per person covered and a minimum of $40,000 total for all persons injured in an accident.
- Property Damage Liability: This is also required, with a minimum of $10,000 for any property (primarily other cars) damaged in an accident.
- Personal Injury Protection: This is not required, but you may choose to cover any injuries to yourself.
- Uninsured Motorist Coverage: This is not required in Michigan but important for reasons discussed below.
- Comprehensive: This is not required. This is a policy that includes all of the above plus many additional features, including coverage of any damage to the car for any reason.
A comprehensive policy that takes care of anything may have many options for you to select. These include rental car coverage, which means that you are never without a vehicle even when yours is in the shop. If you need to get around for work, this may be the coverage that you need.
Number of Uninsured Motorists in Michigan
While uninsured motorist coverage is not required by state law, it is a good thing to have. Michigan has a very high rate of uninsured motorists:
- Nationally, 12.6% of all drivers are uninsured.
- In Michigan, 21.0% of all drivers have no insurance.
Despite the laws, more than 1 in 5 drivers are not covered. If one of them hits you, it will be very difficult to get them to pay for the damage and any medical bills that you may incur. That’s why uninsured motorist coverage is so important in Livonia – and one of the main reasons why Michigan drivers pay so much for car insurance.
Number of Auto Thefts in Michigan
Another factor driving up the cost of car insurance in Livonia is the high rate of car theft. The figures don’t lie:
- Nationally, 2.94 out of every 1,000 cars are stolen each year.
- In Michigan, thieves target 3.33 out of every 1,000 cars.
The Michigan theft rate is not a lot higher, but it’s one of the reasons why so many Michigan drivers carry comprehensive car insurance, even on older cars. If you don’t have this insurance and your car is stolen or vandalized, you will be stuck with the cost out of your own wallet. With a high rate of car theft, anyone in Livonia who depends on having a car every day needs to consider having comprehensive insurance to make sure they are protected.
Find a Great Livonia Car Insurance Policy
You need a car to get around Livonia and greater Detroit. The right car insurance is not only a matter of law, but it’s also the difference between having reliable transportation and getting stuck somewhere. No matter what happens, whether from an uninsured driver, theft or just bad luck on your part, you need the right policy for your lifestyle.
Talk to your Independent Agent today to find the right policy. These agents aren't tied to any one company, so they will get you the quote that fits both your needs and your budget.