Michigan Auto Insurance Quotes Upsetting Residents

The high Michigan auto insurance quotes in Detroit and other Michigan cities are driving residents out as more and more people cannot afford the high costs. It’s also causing thousands of residents to commit fraud or drop their insurance altogether. This is according to the article “Car insurance rate setting hits Detroiters unfairly” by Jeff Gerritt on freep.com.

Detroit is the nation’s poorest big city yet residents pay the highest average auto insurance rates in the country. About half of its motorists go without insurance because it’s so expensive. Part of the reason for this problem is what’s called territorial ratings, which allow auto insurance companies to base their prices in part where people reside. Regardless of a person’s driving record, if they live in Detroit they will pay more for auto insurance. Insurers state the reason for doing so is because these areas have been deemed higher risk.

Since many are unable to afford their auto insurance costs, schemes are on the rise. Some drivers buy fake insurance certificates for as little as $50. Some use false suburban addresses when purchasing their policy to obtain a lower quote.

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