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Michigan no longer the most expensive state for car insurance – we're now 2nd

Cars on highway
Posted at 9:53 AM, May 20, 2021

(WXYZ) — Michigan doesn't have the most expensive car insurance in the country, according to a new report from Instead, we have the second-most expensive.

The state has had the most expensive rates for seven years, but after auto insurance reforms, the prices dropped enough for Michigan to move into second place.

According to the report, Louisiana has the most expensive, with average premiums costing $2,839 per year. Michigan is in second place with $2,112 per year.

“This report from adds to the mounting evidence that no-fault reforms are working and saving Michigan drivers money,” Erin McDonough, executive director of the Insurance Alliance of Michigan, said in a release. “There are still plenty of Michiganders who haven’t renewed their auto insurance since the new law took effect, which means Michigan’s rates could be even lower by this time next year.”

Michigan's rates dropped by 27% last year.

“Michigan uses a very unique no-fault system that has resulted in sky-high rates for years. Recent changes to their system are responsible for their drop to second place this year,” the report found.