When it comes to vehicle coverage, annual insurance premiums vary widely throughout the Midwest. Detroit’s average rate is triple Chicago’s, but gridiron archrival Green Bay’s is nearly half Chicago’s average.  What drives this rate disparity? The short answer: traffic, thieves, and mechanics. Insurers, says David Friedlen, of Runzheimer International, a consulting firm that tracks business travel costs, “look at how frequently cars are stolen or vandalized, how frequently people are in accidents, and also the cost of repairs. Certainly in more populated areas, there’s more opportunity for people to get into accidents because of congestion.”  

HOW WE COMPARE >> Average Annual Auto Insurance Premiums

Source: Runzheimer International Ltd. Based on 2006 rates for a midsize vehicle with a $500 deductible for comprehensive coverage and a $500 deductible for collision.

>> The methods that insurance carriers use to calculate premiums vary from insurer to insurer. Though many disparate factors go into pricing insurance, companies rate drivers on a wide range of factors: their age, occupation, marital status, even their credit history, in addition to the traditional factors such as driving record, type of vehicle, and where they live. We asked the online insurance market Insurance.com to do some comparison shopping.

Source: Insurance.com. The service compares quotes from multiple top providers, including Progressive Insurance, AIG, Unitrin Direct Insurance, Travelers, Hartford, Electric, Esurance, Safeco, and Kemper. Not included are Allstate, State Farm, and GEICO. 

Comparison criteria based on $250 deductible for both comprehensive and collision coverage for drivers of a 2004 Toyota Camry with no accidents or traffic violations in the past five years and who drive eight miles each way to and from work and 11,000 miles annually.