Auto Insurance in Southgate, Michigan
Awad Insurance Agency helps Southgate and Downriver Michigan families find affordable auto insurance through top-rated carriers. As a locally owned independent agency, we compare rates, explain Michigan's unique no-fault system, and build a policy that fits your needs and budget.
Michigan Auto Insurance Requirements
Michigan is a no-fault state, meaning your own insurance company pays for your injuries and certain losses after an accident, regardless of who was at fault. State law requires every registered vehicle to carry three types of coverage:
| Coverage Type | Minimum Required |
|---|---|
| Personal Injury Protection (PIP) | Choose from 6 levels (see below) |
| Property Protection Insurance (PPI) | $1,000,000 |
| Bodily Injury Liability | $250,000 / $500,000 * |
| Property Damage Liability | $10,000 (out-of-state damage) |
* Drivers may choose lower limits of $50,000/$100,000 by signing a waiver through the Michigan DIFS.
PIP Coverage Levels After the 2019 Reform
Michigan's 2019 No-Fault Reform (effective July 2020) ended the state's requirement for unlimited lifetime PIP medical benefits. Drivers now choose from six PIP medical coverage levels:
- Unlimited — lifetime PIP medical coverage (the pre-reform default)
- $500,000 per person, per accident
- $250,000 per person, per accident
- $50,000 per person, per accident — available only to Medicaid enrollees
- $250,000 with health coverage coordination — available only to drivers with qualifying health insurance that covers auto injuries
- Opt-out (no PIP medical) — available only to drivers enrolled in Medicare Parts A and B
Choosing the right PIP level is one of the most important decisions Michigan drivers make. A lower level reduces your premium, but it also limits your medical coverage after a serious accident. We help you evaluate the trade-offs based on your health insurance and financial situation.
Auto Insurance Coverage We Offer
We tailor your policy from a full range of auto insurance coverages. Here's what's available:
Bodily Injury Liability
Pays for injuries you cause to others in an at-fault accident, including medical expenses, lost wages, and legal defense costs. Michigan's default minimums are $250,000 per person and $500,000 per accident.
Property Damage Liability
Covers damage you cause to another person's property outside Michigan. In-state property damage is handled by Michigan's mandatory Property Protection Insurance (PPI) at $1 million.
Collision
Pays to repair or replace your vehicle after an accident with another car or object — regardless of who is at fault. You pay the deductible; your insurer covers the rest up to your car's value.
Comprehensive
Protects your car from non-collision events: theft, vandalism, weather damage, falling objects, fire, and animal strikes. Especially valuable in Michigan's harsh winter climate.
Uninsured/Underinsured Motorist
Covers your injuries and damages when the at-fault driver has no insurance or insufficient coverage. Provides an extra layer of protection for you and your passengers.
Personal Injury Protection (PIP)
Michigan's cornerstone no-fault coverage. Pays for your medical expenses, lost wages (up to 85%), replacement services, and survivor benefits — regardless of fault. Choose from six coverage levels.
Rental Reimbursement
Pays for a rental car while your vehicle is being repaired after a covered claim. An affordable add-on that keeps you on the road without unexpected out-of-pocket costs.
Roadside Assistance
Covers towing, flat tire changes, jump starts, lockout service, and fuel delivery. Get peace of mind knowing help is just a phone call away, anywhere in the country.
How Much Does Auto Insurance Cost in Michigan?
Michigan is one of the more expensive states for auto insurance. Drivers pay an average of approximately $3,000 to $3,200 per year for full coverage — compared to the national average of about $2,150. However, the 2019 PIP reform has helped many drivers reduce their premiums by choosing a lower PIP level.
Your actual premium depends on several factors:
- Age and driving experience — younger and newer drivers typically pay more
- Vehicle type — newer, more expensive cars cost more to insure
- Driving record — accidents and tickets increase your rate
- Credit history — Michigan insurers use credit-based insurance scores
- Coverage level — higher limits and lower deductibles raise your premium
- PIP choice — unlimited PIP costs significantly more than $250,000 or $500,000
- Location — urban areas generally have higher rates than rural areas
The best way to find your actual rate is to get a personalized quote. We compare rates from multiple carriers to find the most competitive option for your situation.
Get your personalized quote →Who Needs Auto Insurance in Michigan?
Michigan law requires auto insurance for every registered vehicle. But the right coverage level varies by situation:
- New car buyers — lenders require collision and comprehensive coverage on financed vehicles
- Families with teen drivers — adding a young driver impacts your premium; we find discounts to keep costs manageable
- Daily commuters — more time on the road means more exposure; make sure your liability limits are adequate
- Multi-vehicle households — insuring all vehicles on one policy often qualifies for a multi-car discount
Why Southgate Families Choose Awad Insurance
We're not a call center — we're your neighbors. Awad Insurance Agency is locally owned, located right on Dix Toledo Road in Southgate, and backed by one of the most recognized names in insurance.
- Trusted carrier network — access to top-rated carriers, competitive rates, and comprehensive roadside assistance
- Independent agent advantage — we compare rates from multiple carriers, so you get the best price without sacrificing coverage
- Local Downriver expertise — we understand Michigan's no-fault system, Downriver driving conditions, and the coverage needs of families in our community
- Personalized service — when you call, you talk to a real person who knows your policy and your name
How It Works
Contact Us
Call, fill out the form below, or stop by our Southgate office. Tell us about your vehicles and coverage needs.
We Compare Rates
We shop your policy across multiple carriers to find the best combination of coverage and price.
You're Covered
Choose the policy that fits your budget. We handle the paperwork and you drive away protected.
Frequently Asked Questions About Auto Insurance
What are Michigan's no-fault auto insurance requirements?
Michigan requires three types of auto insurance: Personal Injury Protection (PIP), Property Protection Insurance ($1 million), and Residual Bodily Injury Liability. The default bodily injury minimums are $250,000 per person and $500,000 per accident, though drivers can opt for lower limits of $50,000/$100,000 by signing a waiver. Michigan's no-fault system means your own insurer pays for your injuries regardless of who caused the accident.
How much does car insurance cost in Michigan?
Michigan drivers pay an average of approximately $3,000 to $3,200 per year for full coverage, which is higher than the national average. Your actual premium depends on your age, driving record, vehicle, PIP coverage level, credit history, and chosen deductibles. The 2019 PIP reform has helped many Michigan drivers lower their premiums. Get a free quote to find your personalized rate.
What PIP coverage level should I choose after the 2019 reform?
The right PIP level depends on your health insurance and financial situation. Michigan's reform offers six options: unlimited, $500,000, $250,000, $50,000 (Medicaid only), $250,000 with health coverage coordination, and opt-out (Medicare only). Lower PIP levels reduce your premium but limit your medical coverage after a serious accident. We recommend speaking with an agent to evaluate the trade-offs for your specific situation.
What's the difference between comprehensive and collision coverage?
Collision coverage pays for damage to your car from an accident with another vehicle or object, regardless of fault. Comprehensive coverage pays for non-collision damage — theft, vandalism, weather events, animal strikes, and falling objects. Together, they provide full physical damage protection for your vehicle. Both are optional under Michigan law but typically required by lenders on financed vehicles.
How can I lower my auto insurance premium?
Several strategies can reduce your Michigan auto insurance costs: bundle auto and home policies for a multi-policy discount, raise your deductibles, choose a lower PIP coverage level if appropriate, maintain a clean driving record, ask about available discounts (good student, multi-vehicle, safe driver, anti-theft device), and work with an independent agent who can compare rates from multiple carriers.
Does my auto insurance cover rental cars?
In most cases, your Michigan auto insurance policy extends to rental cars within the United States. Your liability, collision, and comprehensive coverage typically apply. However, rental reimbursement coverage — which pays for a rental car while your vehicle is being repaired after a covered claim — is a separate optional add-on. Check your policy or ask our team for details.
Can I bundle auto and home insurance to save money?
Yes. Bundling auto and home insurance with the same carrier often results in a multi-policy discount of 5% to 25%. At Awad Insurance, we compare bundled rates from multiple carriers to find the best combination of coverage and savings for your household. Even if you rent, bundling auto with renters insurance can qualify you for a discount.
What Our Clients Say
"Richelle was very kind! Made the whole vehicle insurance process very easy and straightforward and made sure I got the best value for my coverage."
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"Amazing experience getting insurance from this agency. Very professional and they provided sound and honest advice."
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"When a phone call ends with a savings of $1,300 and finding Mike who is amazing! He knows his business and all I can say is — sorry Jake from State Farm, you've been replaced!"
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Serving Southgate & Downriver Michigan
Our office is located at 15201 Dix Toledo Road in Southgate, and we proudly serve families and businesses throughout the Downriver area, including:
- Southgate
- Wyandotte
- Taylor
- Lincoln Park
- Allen Park
- Riverview
- Trenton
- Brownstown Township
- Woodhaven
- Flat Rock
- Romulus
- Ecorse
- River Rouge
- Grosse Ile
- Rockwood
- Huron Township
Don't see your city? We serve all of Michigan. Give us a call — we'd love to help.
Prefer to talk? Call us at (734) 304-0466
15201 Dix Toledo Road, Southgate, MI 48195