Best Cheap Auto Insurance for 17 Year Olds in Michigan

Our editors keep telling us that when writing about car insurance, the word cheap really should not be used anywhere to describe car insurance prices. Nonetheless, cheap auto insurance for 17 year olds is pretty hard to find. But don’t let that discourage you, because we can show you some ways you can still get insurance that fits into your budget.

Deciding which company offers the most affordable auto insurance rates for 17 year olds will require a tad more effort in order to find the most economical policy. Each auto insurance company has a different process for setting rates, so let’s examine the auto insurance companies with the overall best prices in Michigan.

Keep in mind that Michigan auto insurance rates are impacted by many things that control the cost of a policy. Improving your credit score, buying higher coverage limits, or getting caught speeding may cause policy rate changes that can cause some rates to be more affordable than the competition.

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USAA normally has some of the lowest car insurance rates in Michigan at around $949 a year. GEICO, Safeco, MetLife, and MEEMIC would also be considered some of the best Michigan auto insurance companies.

In the above example, if you currently buy coverage from MetLife and switched to USAA, you could earn yearly savings of about $375. Michigan drivers with MEEMIC may save as much as $459 a year, and Chubb customers might reduce prices by as much as $479 a year.

To get a quick, customized rate comparison, click here to get a free quote or click several companies below for low rates.

Understand that those prices are averaged across all drivers and vehicles in Michigan and do not factor in a rate increase for 17 year olds. So the insurer that can offer you the best rate may not even be included in the above rate chart. That underscores the importance of why you need to compare prices as often as possible using your own personal information and vehicle type.

When shopping for auto insurance for teen drivers, one of the many considerations that is looked at to determine the price you pay for insurance is where you choose to live in Michigan. Cities with larger populations or higher claim trends like Detroit, Southfield, and Warren tend to pay higher rates, whereas areas with lower vehicle theft rates and fewer weather claims generally pay lower auto insurance rates.

The illustration below rates the highest-priced places in Michigan for 17 year olds to purchase auto insurance in.

Table data uses estimated as the vehicle garaging location can alter insurance rates substantially.

The vehicle needing coverage is one of the primary factors in finding the best cheap auto insurance for 17 year olds in Michigan. Vehicles with more horsepower, poor passenger safety features, or a track record of large liability claims will cost significantly more to insure than safer, lower-performance models. The next list showcases insurance prices for a number of the most economical automobiles to buy coverage for.

Data based on single female driver age 17, no speeding tickets, no at-fault accidents, $500 deductibles, and Michigan minimum liability limits. Discounts applied include claim-free, and safe-driver. Table data does not factor in vehicle location which can revise prices significantly.

Based upon the table data, you can presume that makes and models like the Hyundai Elantra, Honda CR-V, and Ford Escape are most likely to be a few of the cheapest vehicles to insure for teen drivers. Rates will tend to be higher because there is more inherent risk for 17 year olds, but overall those vehicles will most likely have the best insurance prices possible.

Do you need full coverage?

Finding the best cheap auto insurance for 17 year olds in Michigan is important to the majority of vehicle owners, and an effective way to save on the cost of insurance is to not pay for full coverage. The chart below visualizes the comparison of auto insurance rates with full coverage compared to only the Michigan minimum liability coverage. The data assumes no claims or violations, $250 deductibles, drivers are not married, and no discounts are taken into consideration.

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If we average all the age groups together, physical damage coverage on your policy costs an additional $4,820 per year more than just insuring for liability. At some point, almost every driver questions when is it safe to stop buying full coverage. There is no set guideline to stop paying for comprehensive and collision coverage on your policy, but there is a general guideline. If the annual cost of having full coverage is 10% or more of the settlement you would receive from your company, then you may want to consider only buying liability coverage.

For example, let’s say your vehicle’s claim settlement value is $9,500 and you have $1,000 full coverage deductibles. If your vehicle is destroyed, the most you would get paid by your company is $8,500 after paying the physical damage deductible. If you are paying in excess of $850 a year for physical damage coverage, then it’s probably a good time to buy liability coverage only.