Most homes in Michigan were built back in the 1950s. While older homes have a lot of charm and character, they also come with their fair share of headaches—outdated plumbing and electrical systems, aging roofs, and unexpected repair costs.
And even if you live in a newer home, Michigan’s unpredictable weather can still throw surprises your way. Between sudden freezes and strong winds, your home takes a beating—especially if you’re in the Upper Peninsula or the Lake Michigan Snowbelt, where lake-effect snowstorms can be brutal.
The bottom line? Having the right homeowners insurance is a must for every Michigander. But home insurance isn’t the only coverage you should consider—protecting your vehicle is just as important. Michigan’s no-fault auto insurance system can be complex, and if you’re looking for a flexible payment option, pay-as-you-go car insurance could be a great solution. Providers like Young America Insurance offer plans that let you pay based on how much you drive, helping you save money if you’re not frequently on the road.
When it comes to buying a policy—whether for your home or car—shopping around is always a smart move. But let’s be honest—browsing insurance options isn’t exactly a thrilling experience, especially if you don’t know what to look for. To make things easier, here are four key tips to help you get the best coverage for your home and vehicle this year:
1. Get a CLUE Before You Buy
If you’re looking to buy a home, request a Comprehensive Loss Underwriting Exchange (CLUE) report for the property. This report gives you a seven-year history of any claims made on the house, including details like the type of damage, when it happened, and how much was paid out. It’s a great way to uncover potential hidden issues before you commit.
Similarly, for Michigan car insurance, consider checking your driving record and claims history. Some insurers use this data to determine your rates, and knowing your record ahead of time can help you negotiate better premiums.
2. A Low Price Isn’t Always a Good Deal
Sure, everyone loves saving money, but a cheap policy won’t do you any favors if the insurance company can’t pay out claims—especially after a major disaster. Before choosing a provider, do a little research:
- Check company ratings – Are they known for good customer service?
- Look at financial stability – Does the company have the resources to handle claims even during a rough hurricane season or a widespread catastrophe?
- Evaluate car insurance options – If you drive less frequently, pay-as-you-go car insurance might be a more cost-effective solution than a traditional policy.
3. Make Sure Your Coverage Keeps Up with the Times
- Ordinance or Law Coverage – If your home was built years ago, current building codes may be stricter than they were back then. This coverage helps cover the extra costs of bringing your home up to code if you need major repairs or a rebuild.
- Replacement Cost vs. Actual Cash Value – Standard policies often cover the actual cash value of your belongings, which means depreciation is factored in. That’s like getting the “used” price for your stuff instead of what it would cost to replace it. Opt for replacement cost coverage whenever possible—it ensures you’ll get the full cost to replace lost or damaged items.
- Car Insurance Flexibility – If you don’t drive often, a pay-as-you-go plan can be a better fit than a traditional policy, helping you avoid paying for miles you don’t drive.
4. Know What’s Covered (and What’s Not)
Not all disasters are covered under a typical Michigan homeowners insurance policy. For example, flood damage isn’t included, but you can get flood insurance through the National Flood Insurance Program (NFIP). Other common exclusions include damage from neglect, electrical failures, nuclear hazards, and intentional destruction.
For car insurance, not all policies cover every scenario either. If you drive less and opt for a pay-as-you-go policy, make sure you understand how your mileage impacts coverage limits and rates.
At the end of the day, your home and car are two of your biggest investments—so make sure they’re properly protected. Taking the time to find the right homeowners and auto insurance can save you a lot of stress (and money) down the road. Happy house hunting and safe driving, Michigan!
