Dear Home Insurance Consumer:

Access to affordable home insurance is important for all Michigan consumers.  Each year the Michigan Office of Financial and Insurance Regulation (OFIR) conducts a survey of home insurance companies to find out what they charge for different policies around the state.  This rate survey is designed to show how much rates can vary from company to company and to help you find the coverage you want at the best possible rate.

Companies represented in this guide are only those that are subject to Michigan's Essential Insurance Act, which was passed by the legislature in 1979.  This Act is designed to make home insurance available to all eligible Michigan citizens at reasonable rates and allows companies to set their own rates without the prior approval of the Commissioner of the Office of Financial and Insurance Regulation.  Accordingly, a company can change its rates quickly to respond to the demands of the marketplace.

The rates provided in this survey reflect the rates charged by an insurer on July 1, 2008.  A particular insurer may have increased or decreased rates since that date.  The rates in the survey do not include any discounts the company may offer, so be sure to ask your agent about any discounts for which you might be eligible when shopping for home insurance.  Please refer to page 9 of the survey to see an example of how discounts may affect rates.  A listing of discounts offered by several companies is also provided in the survey on pages 10 and 11.

Because there are varying factors that affect what you pay for your insurance, it is not possible to show a rate for every situation.  Instead, we have chosen four examples to represent various insurance purchasers, and asked insurance companies to provide a rate for each example in the territories listed.  By reviewing the rates for the example which most closely fits your insurance needs, and using the worksheets at the end of the survey, you will be able to get a general idea of the price you would be charged by various companies.

The single best suggestion that I can give you as a consumer is to take the time to shop around!  Consumers are always amazed at how much money they may be able to save if they take the time to pick up the phone and obtain quotes from a handful of companies.  This guide is designed to assist you in making that process as easy as possible.

I hope you will use this guide as a tool when shopping for home insurance.  Also, take the time to ask your agent specific questions regarding the policy you want.  If you believe you have been unfairly denied coverage while shopping for insurance, we want to know about it.  Please call us toll free at 877-999-6442 or file a formal, written complaint with this office.

Sincerely,

Ken Ross, Commissioner
Office of Financial and Insurance Regulation