Home Insurance in Detroit

“Remember the Titans” fans can all sing along to the locker room scene where “Ain't No Mountain High Enough” unites the team in the locker room. While the movie is set in Virginia, fans might now know that that song was originally recorded in Detroit, the birthplace of Motown music.

Originally a hub for the American automobile industry, Motown is a portmanteau of the words “motor” and “town.” Even today, the city’s roots in both the automobile industry and the music world are clear, creating a city that is home to a bevy of history, culture and intrigue.

Detroit is a great city for both permanent residents and those looking to invest in a second home (after all, we rated it as the third-best in the Midwest for purchasing more real estate).

Whether you prefer to boogie down on the dance floor or rev up your engine, Detroit residents deserve reliable home insurance coverage. That’s why we’ve created a guide to getting home insurance in Detroit.

How much is homeowners insurance in Detroit?

The average home insurance rate in Detroit is a whopping $2,716. That’s double the average U.S. rate of $1,200 and almost triple the average Michigan home insurance rate of $1,059. Home insurance in Detroit will cost more than one month's rent for an average studio apartment in the city! 

What factors influence my home insurance rate?

What makes Detroit home insurance rates so high? A mixture of freezing winters and a crime rate that is above the national average. Both of these things can spell trouble for your home, so home insurance providers might be wary of them. However, staying smart and taking steps to protect your home can score you a deal on your premiums.

What does home insurance in Detroit cover? 

A typical home insurance policy will cover three things: dwelling, personal property and personal liability. Broken down into specifics, the following are included in the policy:

• Dwelling insurance: Structures on your property including fences, sheds, carports and your home.
• Personal property: Accidental damage to a guest visiting your property or accidental damage you cause on someone else’s property.
• Personal liability: All belongings on your property.

To put it simply, home insurance will cover you if a friend slips and falls on your porch after a big snowstorm. And yes, you’ll also be covered if you’re trying to emulate the Detroit Tigers in your friend’s backyard and your home run hit goes through their window.

Considerations for Detroit residents

Detroit’s property crime rate is well above both the U.S. and Michigan average. This means people living in Motor City have an increased risk of becoming a victim of burglary or theft. While a standard insurance policy will cover your personal property, Detroit residents may want to purchase an insurance rider on any especially valuable items that might exceed coverage.

Although Detroit doesn’t get much extreme weather, it does get freezing, snow-covered winters and is susceptible to flooding in the spring through the fall. Because of this, Detroit residents who live in flood zones may want to consider flood insurance

More considerations for Detroit residents include:

• House fires: Detroit has the most house fires in the U.S., mostly due to cooking and electrical fires. Get fire insurance to help keep your finances from going up in smoke.

• Credit scores: At 552, Detroit’s average credit score is on the lower end of the U.S. average. Some home insurance providers may penalize for this, so if your credit needs a boost, it might be a good idea to work on that prior to buying a home.

Tips for lowering your homeowners insurance premium

Want to lower your home insurance premium? Take advice from the Hockeytown’s Red Wings and think of it like a hat trick with three goals: prevention, protection and proactiveness.

At the end of the day, your home insurance provider wants to make sure your home is protected and may provide discounts if they’re confident you have the same goal in mind. For Detroit residents, this means taking steps to prevent winter weather damage by winterizing your home. Winterizing can mean trimming dead trees, improving ventilation, dripping faucets and pouring salt on the sidewalk before a big storm.

Detroit residents can also proactively consider purchasing a newer home in an area close to a first responder station, whether police or fire. Newer homes are less susceptible to damage and proximity to first responders means a reduced risk of significant damage if an accident does occur.

Finally, protect your home from the risk of property crime by investing in smart devices that can keep your home safe. Smart devices like door and window alarms, video surveillance systems and more can reduce the risk of burglary or theft.

Trying to secure home insurance in Motor City? Let Hippo help you cross the finish line. Contact us for a home insurance quote today.