Does shopping around work?

Absolutely! Companies writing homeowners insurance in Michigan are competing against each other to provide the lowest possible rates, broadest coverage, and best possible service. Competition works best, however, when homeowners take the time to shop for the rates and coverage that are best for them.

Here are some reasons why shopping for insurance works:

• There are many companies offering a wide variety of rates in every area of the state. Sometimes the best rates and best service may come from a company you are not familiar with today. Taking some time to review Your Guide to Homeowners Insurance will provide you with the information you need to be an informed consumer.
   
• If you are eligible for coverage under the law, and almost every person in Michigan is, every company must insure you.
   
• The economics of insurance are like the economics of any other product or service. Companies offering more expensive coverage will lose customers due to the cost. These companies must either lower their rates or be satisfied with fewer customers. Consumer choice can bring pressure on companies to lower their rates.
   
• Shopping for insurance is not as hard as it seems. The next section gives you tips and the information you need to become a knowledgeable shopper. Shopping for insurance may not be exciting, but it will probably save you money.
   
• Every company must cover your home, wherever it is. Whether you live in Ionia, Inkster, or Iron Mountain, every company writing homeowners insurance has a rate for you, and must provide coverage. You may contact any company or agent selling insurance in Michigan and ask for a quote; you don't have to live in the area in which the agent is located to get a policy from a company he or she represents.