Michigan residents pay an average of $2,220 per year for $300,000 worth of dwelling coverage. This is lower than the national average premium price of $2,532 per year for the same level of coverage.

Michigan experiences harsh winter weather and severe winds. Homeowners should be aware of the weather conditions in their area that could cause a claim to know if they need any additional coverage or riders to protect their houses.

Here’s what you should know about comparing quotes and finding home insurance coverage in Michigan.

Best home insurance companies in Michigan

A number of good home insurance companies serve Michigan homeowners. The right insurer for your needs may vary depending on the type of house you have, the value of your personal property, the typical weather in your area, and other factors.

To start your search for your homeowners insurance policy, you may want to consider one of these four companies:

Cheapest rates: Auto-Owners

Best insurer for retirees: Hastings Mutual

Best insurer for bundling auto and home insurance: Westfield

Best insurer for home sharing: Allstate

Cheapest home insurance in Michigan

Auto-Owners offers the cheapest home insurance in the state of Michigan, with average premiums that are a fraction of the national average cost of home insurance. Michiganders interested in saving money on their homeowners insurance may want to check out Auto-Owners or one of the following insurers:

Cost of homeowners insurance in Michigan

The average cost of homeowners insurance in Michigan for a home with $300,000 in dwelling coverage is $2,220 per year. This is less than the national average premium cost of $2,532 per year.

A number of factors can affect the price you pay for homeowners insurance, including things like your ZIP code, whether you live in an older home or a new home, and the value of your personal possessions.3

Cost of homeowners insurance by dwelling coverage amount

Setting the coverage limit for your dwelling coverage affects your other home insurance coverages since insurers generally set them as percentages of your dwelling coverage. That means higher limits will also increase the other structures coverage, personal property coverage, personal liability coverage, and additional living expenses coverage (also known as loss of use coverage).

It’s a good idea to make sure you have enough dwelling coverage to cover the replacement cost to rebuild your home — but a higher coverage limit will mean higher premiums. Consider the average monthly premium in Michigan with the following dwelling coverage amounts. Rates are for a policy with a $1,000 deductible:

Cost of homeowners insurance by deductible

A home insurance deductible is the amount of money you have to pay before your homeowners policy kicks in after a covered loss. If you have a low deductible, you’ll pay higher rates, while a high deductible will lower your premium costs. The right homeowners insurance policy is one where you can easily afford the premium rates and the cost of the deductible.

Here’s an example of how adjusting your deductible can affect your average annual premium in Michigan with a dwelling coverage amount of $300,000:

How to get cheap homeowners insurance in Michigan

You can use a number of savings strategies in the Wolverine State to help lower your homeowners insurance costs, including:4

• Raise your deductible. A higher deductible means a lower premium. If you’re in a financial position to cover a higher deductible in the event of a covered loss, raising your deductible could be a great way to save money.

• Request a discount. A number of insurance companies offer money-saving options through discounts. You may be able to lower the cost of your homeowners policy by paying in full, enrolling in auto pay, or remaining a loyal customer. Be sure to research what discounts you may be eligible for before selecting a policy.

• Bundle your insurance policies. If you can get your auto insurance, umbrella insurance, personal liability coverage, life insurance, or other coverage options in addition to a standard homeowners policy, your insurer is likely to give you a discount on all the insurance products.

• Mitigate risks. Not only does risk mitigation offer you peace of mind, but it can also save you money. The best homeowners insurance companies often offer discounts for things like burglar alarms and smoke detectors because they reduce your risk of loss.

How much homeowners insurance do you need in Michigan?

Michigan doesn’t legally require home insurance, but when you take out a mortgage to purchase a home, your mortgage lender will require you to purchase homeowners insurance as a condition of the loan. You should carry enough homeowners insurance to repair or replace your home and personal belongings in the event of a claim.

It’s also important that you understand exactly what your home insurance policy covers to make certain you have all the coverage you need. For example, most homeowners insurance policies don’t cover flood damage, so any homes in areas that are prone to flooding will need separate flood insurance coverage.

Similarly, if you have a lot of valuable personal property, such as jewelry, artwork, or computer equipment, you may need to increase your personal property coverage to make sure your property has adequate coverage since a standard policy may not be enough.

What are some of the biggest risks when owning a home in Michigan?

The specific risks facing a particular home can vary a great deal depending on your location. In Michigan, several higher-probability perils and natural disasters could affect your house and may require a rider or additional coverage on top of your standard home insurance policy.

Michigan homeowners insurance FAQs