Michigan vs. Travelers: Which Company is the Best Fit for You?

Quick Facts

• In general, Travelers offers significantly cheaper rates than Michigan
• Travelers has more affordable premiums for policyholders who live in suburban areas
• Travelers tends to be a much cheaper option for policyholders who drive a short distance to work everyday

Michigan vs. Travelers: Which Company has the Cheapest Car Insurance?

Are you in the market for a new insurance policy? After all, you've seen ads from all sorts of companies offering huge discounts. But exactly how much can you save by switching?

You might have narrowed it down to Michigan or Travelers as your top options, but between the two, which carrier will save you the most?

Looking at the national average rates for both companies, Travelers is quite a bit cheaper than Michigan, with rates averaging $167 per month compared to $480 with Michigan.

Even so, Travelers may not be the lowest or best option for each driver out there. Insurance carriers use tons of complex algorithms to calculate premiums, so depending on how good your credit score is or where you live (among a multitude of other factors), you could see wildly different prices from the ones above.

Luckily, we've broken down average premiums from both Michigan and Travelers by several different rate factors, so read on to find out which company is the best for you.

Michigan or Travelers: Average Car Insurance Rates by State

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But there's more to auto insurance than just your home state. As we mentioned above, there's a lot of things that go into how insurance companies determine your premiums. Keep reading to learn more.

Which is the Best Company For Young Drivers?

You might already know that teen drivers typically pay a lot more for car insurance than any other group of drivers out there on the road. It's because young, inexperienced drivers are statistically much more likely to get into an accident that results in an auto insurance claim, making them much riskier to insure.

But that doesn't mean that teen drivers have to just accept sky-high auto insurance rates. As you can see above, teens who use Travelers save more than $500 a month compared to those who use Michigan.

That being said, both carriers will offer you dramatically lower prices by the time you turn 25. For example, average premiums for Michigan policyholders drop over 70% and Travelers's prices decrease more than 60% over that time.

Which is the Best Company for Retired Drivers?

When it comes to insurance, patience and experience pay off, with drivers around retirement age paying some of the most affordable rates out there.

When looking at Michigan and Travelers specifically, which carrier is best for retired drivers? Travelers gets the edge, with premiums for drivers 65 and older nearly 60% less expensive than the national average for Michigan.

Which is the Best Company for Married Drivers?

You may not be aware, but car insurance prices tend to be more affordable for married policyholders than they are for single drivers. That's usually because married drivers tend to own and insure more than one car, which can often earn you a discount.

When it comes to relationship status, Travelers is the clear winner for single policyholders, with rates about $393 per month cheaper than Michigan, on average. The advantage for married couples with Travelers is also obvious, where drivers save over 60% a month.

Michigan vs. Travelers: Average Rates by Gender

Men tend to pay more for insurance than women. This is because men are more likely to get into accidents and get tickets, which increases the chances of an insurance claim.

Men and women end up paying the same monthly premiums with Michigan, and around $11 more with Travelers.

Looking at the data for each company specifically, Travelers offers the lowest average prices for both men and women. On average, male drivers save about $308 per month and women save about $319 with Travelers compared to the average Michigan policyholder.

Michigan or Travelers: Compare State Minimum vs. Full Coverage Rates

*State minimum value indicates liability-only policies at each state's minimum bodily injury and property damage (BI/PD) limits

**Full coverage indicates state minimum BI/PD limits with collision and comprehensive coverages added to policy.

Car insurance isn't the easiest topic to understand. There are so many different terms and limits that it can make it pretty confusing to find the right policy.

The two most common policies end up falling into two different types of coverage -- liability only (which provides property damage and bodily injury coverage for other drivers and passengers if you cause an accident) and full coverage (which generally refers to having comprehensive and collision coverages alongside liability coverage).

If you're looking for state minimum liability insurance, Travelers normally offers significantly more affordable rates of $108 compared to Michigan's $312. When it comes to full coverage policies with similar limits, Travelers again has the edge, with policies around $400 a month less expensive than Michigan, on average.

Is Michigan or Travelers Better for Drivers with Spotty Records?

You've probably seen plenty of commercials from auto insurance companies offering great prices for good drivers, but that doesn't mean people with less-than-perfect driving records can't save money, too.

It's no secret secret that accidents and tickets lead to higher rates, but which carrier -- Michigan or Travelers -- has the most affordable premiums for drivers with less-than-ideal driving records?

Which Company is Best for Drivers with Speeding Tickets?

Michigan policyholders can expect their prices to go up an average of $205 per month if they get a ticket, while Travelers typically raises rates about $32 a month, on average.

However, Travelers tends to offer the best prices for both drivers who have clean records and those with a recent speeding ticket, offering premiums that are $153 and $326 more affordable, respectively, compared to Michigan Insurance Company.

Which Company is Best for Drivers After an Accident?

Michigan drivers who get in a collision can expect to see their rates rise by just under 35%, while those who have insurance through Travelers will see around a 25% increase.

Overall, the less expensive prices come from Travelers, with monthly premiums averaging $173 compared to Michigan Insurance Company's $431.

Which Company is Best for Drivers with a DUI?

If you get a DUI charge, you can expect some pretty significant increases in your monthly insurance bill -- normally a lot more than an accident or ticket. For example, Michigan increases average rates by just under $450 per month -- that's over a 60% increase.

How does Credit Score Impact Michigan and Travelers Rates?

Did you know that many car insurance carriers take into account your credit score when calculating premiums? Certain states and companies do not allow for credit score to be used as a rating factor, but it does affect quite a few policyholders out there.

Auto insurance carriers argue that someone with good credit is more likely to pay their bills on time, which makes them less risky to insure. Because of that, drivers with good credit will often be rewarded with cheaper prices.

So, which company offers the best premiums for policyholders with good, average, or poor credit?

Which Company is Best for Drivers with Good Credit?

Which Company is Best for Drivers with Bad Credit?

Is Michigan or Travelers Better for Drivers who Work from Home or Have Short Commutes?

Did you know that the amount of time you spend in your car have a big impact on how much car insurance companies will charge for coverage? Usually, those who drive less will end up with less expensive prices since there's less of a chance of getting into a collision and causing an insurance claim.

For both drivers who put 6,000 miles on their vehicles each year, as well as those who average twice that figure, Travelers tends to be the cheaper option. Travelers's average rates for drivers with 6,000 annual miles come in about $287 more affordable than Michigan. Those who drive 12,000 miles yearly can expect to pay around $341 less with Travelers over Michigan.

Michigan vs. Travelers: Compare Rates for Urban, Suburban, and Rural Drivers

Where you call home can play a considerable role in how much you pay for insurance. Generally, drivers who live in less densely populated rural areas will pay quite a bit less than urban policyholders because there are a lot fewer vehicles on the road in those areas, which lowers the chances of an accident.

Travelers boasts the most affordable average rates for drivers in all types of areas, no matter if they're urban, suburban, or rural.

For drivers in urban ZIP codes, Travelers offers premiums about $204 per month compared to Michigan's $493. People who live in suburban ZIP codes can expect to pay around $160 a month for Travelers and $488 for Michigan. Lastly, those in rural areas tend to get the cheapest rates from both carriers, with average monthly premiums coming in at $136 and $460 for Travelers and Michigan respectively.

Michigan vs. Travelers Discounts

You want to save as much money as possible, right? The best way to do that is by utilizing as many auto insurance discounts as you can.

The difficult part is finding all of the discounts you qualify for, since it can feel sometimes like every company has different discounts and each one is advertised differently.

Below, we've broken down all of the different discounts offered by both Michigan and Travelers so that you can easily see which company offers the most discounts and, therefore, the biggest savings.

Travelers blows Michigan away when it comes to the sheer amount of discounts available, offering 25 different discounts to Michigan's 17.

A couple of those are overlapping for things like advance quote discounts, COVID-19 relief discount, discounts for being a defensive driver, and hybrid vehicle discounts. Travelers also offers alternative fuel discounts, continuous insurance discounts, distant student discounts, and more that Michigan does not.

On the flip side, Michigan has a couple unique discounts of its own -- family car discounts, family discounts, next generation discounts, and more.

Final Thoughts: Is Michigan or Travelers Best for You?

So, we've broken down the average prices for many of the factors car insurance companies look at, and we've shown you all the discounts each carrier offers. But, at the end of the day, which company is the right one for you and your specific driver profile?

Travelers might be best for you if....

• You are considering moving to another state -- undefined is only available in.
• You're looking for more protection with "full coverage" auto insurance.
• Your neighborhood is in the suburbs.

Michigan might be best for you if...

• You have a more unique driver profile than those we mentioned above.

We hope this guide has ben a valuable resource as you compare Michigan and Travelers and that it aids in making a more informed decision about your insurance.

At the end of the day, the sure-fire way to make sure you're getting the best deal on your auto insurance policy is to compare quotes from a handful of carriers, not just Michigan and Travelers. Luckily, Compare.com makes it easy for you to do just that. Just enter your ZIP code below and get free quotes from dozens of the top insurance companies in your area, all in just a few minutes.

Michigan vs. Travelers FAQs

Is Michigan or Travelers cheaper?

Looking just at the national average premiums, Travelers is the cheaper of the two carriers, offering average rates of $167 per month compared to $480 for Michigan. That being said, Travelers won't necessarily be the lowest carrier for everyone, since there are a variety of different variables (things like age, gender, driving record, etc.) that play a role in how much you pay.

Who is better, Michigan or Travelers?

Unfortunately, the only answer we can give you is "it depends.". One company is not "better" for every driver -- it all boils down to your unique car insurance profile.

Why do Michigan and Travelers offer me different rates?

Insurance companies take a look at a lot of different factors when determining the prices they charge policyholders. Things such as where you park your car, gender, age, where your home is, and sometimes even things like your credit score can all be taken into consideration. Both Michigan and Travelers calculate rates using different formulas, so each one will most likely offer different premiums. The only real way to see which carrier is the cheapest for you is by comparing personalized quotes from multiple different carriers.

How do I know if Michigan or Travelers is right for me?

The only way to find the car insurance company that's right for you is by getting quotes from several companies and finding the one best suited for your individual budget. Luckily, sites like Compare.com do all the hard work for you. Just enter your area information and you'll get free quotes from dozens of the best auto insurance carriers in your area. With those, you can guarantee you're getting the best premium. And who knows, the best carrier for you might not be Michigan or Travelers at all!

Methodology

All of the data referenced in this article has been gathered in collaboration with Quadrant Information Services. We analyzed more than 2.5 million rows of carrier-reported data to calculate the average rates referenced above. All rates are based on an insurance profile of a single-vehicle policy for a driver that owns a 2016 Honda Accord. For more information on how we calculate rates, please reference our data methodology.