MoneyGeek compared quotes from the six largest insurance companies in Michigan in order to determine the average Michigan home-insurance cost. These are the average home profile and available in all ZIP codes. An average home has a $250,000 dwelling insurance value, $100,000 liability coverage and $100,000 personal property coverage.
Protection class determines average home insurance cost
Michigan average home insurance costs depend on your home's protection class. Protection class is a 1-10 rating system that determines your risk of fire damage. It is also affected by the distance between a fire station, and water supply. This is because fires are more likely to destroy homes farther from protective measures.
Age of your home
It is important to consider the age of your home when determining how much you will pay for home insurance. In Michigan, home insurance rates can vary greatly depending on the age and size of your house. Flood-prone areas of Michigan may be more than others. Also, larger cities like Detroit are known for having higher crime rates. However, you can save money on your home-insurance if there are many options. It is important to understand the differences between coverages and their costs, as well as how to get discounts.
Localization
Michigan home insurance costs vary depending on the location and coverage. A home that is built in 2000 will cost about $638 less per year to insure than one that was built in 2015. While the difference may not be significant, it is important nonetheless.
Fire hazard
The cost of homeowner’s insurance can vary widely depending on many factors. The distance to the nearest fire hydrant or fire department, for example, will affect the protection class of your home. Your premiums will be affected by how far you are from work or school.
Personal liability coverage
The different ZIP codes can help you compare the cost for homeowners insurance in Michigan. Michigan homeowners pay an average $1292 per year to cover $250,000 of their dwellings. This is 7% less that the national average. Some of the top home insurance companies in Michigan are USAA, State Farm, Allstate, and Farmers.