5 ways Midwest drivers can save on car insurance in 2025

If you live in the Midwest, you’ve probably noticed your car insurance bill creeping up in 2025. Harsh winters, shifting state regulations and the unique mix of rural and urban driving risks are all pushing premiums higher. In Illinois, for example, ongoing debates about how ZIP codes and credit scores influence rates are adding more uncertainty. Meanwhile, drivers in Michigan and Wisconsin are facing the same reality. Midwest car insurance rates are climbing, and not always for reasons you can control.

But here’s the good news, you still have options. By knowing how Midwest car insurance rates work and taking a few smart steps, you can keep your coverage strong while trimming your bill. These aren’t just generic money-saving tips, they’re tailored for Midwest drivers.

Why Midwest car insurance rates are so high in 2025

Across the region, car insurance rates are climbing faster than in many other parts of the country. State-level data shows double-digit increases in some areas, and insurers are pointing to a mix of weather, risk and regulation.

• Severe winter weather raises claims and repair costs – Snowstorms and icy roads lead to more accidents and costly fixes, a major factor in winter weather car insurance tips discussions.
• Rural areas face longer towing distances and fewer repair shops – Even a small collision can be expensive when help is far away, impacting rural vs urban car insurance costs.
• Urban areas deal with higher theft and accident rates – Cities like Chicago and Detroit see more claims, which drive premiums up.

If you understand what’s driving Midwest car insurance rates up, you can start tackling the costs more strategically.

Tip #1 – Compare car insurance quotes in the Midwest from multiple providers

With rates rising across the Midwest, it’s more important than ever to be proactive about your car insurance choices. Understanding what’s driving costs up is the first step, but the next is knowing how to respond. Fortunately, there are practical ways to take control and find better value without sacrificing the coverage you need.

When prices are changing quickly, shopping around is your first line of defense. Midwest car insurance rates may vary significantly between companies based on their risk models, so the same driver could see hundreds of dollars’ difference depending on carrier. However, you need to keep in mind that it’s not just about finding the cheapest rate. You need to make sure the coverage matches your needs and Midwest driving realities.

Here’s what you can do:

• Use a quote comparison tool – Filter results by your state and local insurance providers. These tools let you quickly see how rates vary between insurers in your area, helping you spot potential savings and avoid overpaying for similar coverage.
• Check both local and national companies – Regional insurance companies may beat big brands on pricing and service in certain areas.
• Review coverage levels along with premiums – A low monthly rate won’t help if it leaves you underinsured.

The easiest way to save on car insurance in the Midwest is to compare quotes from at least three different insurance companies every renewal period. This means you can find competitive rates while keeping your coverage intact. For personalized help navigating your options, connect with a VIU by HUB advisor who can guide you toward the right coverage at the right price.

Tip #2 – Take advantage of telematics car insurance programs

Midwest telematics cars insurance programs can be a game-changer, especially if you drive carefully in winter for example. Using a plug-in device or a mobile app, your insurance company tracks things like braking, speed and time of day you drive.

What should you do to get the most out of telematics programs?

• Look for Midwest insurance companies offering telematics discounts – Many companies in Illinois, Michigan and Ohio have active programs.
• Understand how your driving data is collected – Most systems use GPS and motion sensors in your phone or a device.
• Earn savings for safe and consistent driving – Drivers can save up to 30% by avoiding hard braking, late-night trips and excessive speeding.
• Review privacy options before signing up – You can opt out, but you may lose the associated discounts.

Midwest telematics car insurance programs reward responsible driving with meaningful discounts. Using a smartphone app or plug-in device, these programs monitor behavior like smooth braking, time of day and mileage, with lower-risk drivers earning savings of up to 30%.

Tip #3 – Review and adjust your coverage annually

Life changes, and so should your car insurance. There could be any number of reasons for your coverage needs to shift. But even if they’ve remained the same, it’s well worth the time it takes to do a quick review to be sure. It’s better to know now than after an accident. What do you need to consider during these reviews?

• Drop collision coverage on older cars – If your vehicle’s market value is low, removing collision coverage can significantly reduce premiums. Be sure to consult your broker or insurance agent when considering this.
• Consider higher deductibles if you can cover the cost – This is one of the best car insurance cost-saving strategies, but it does mean paying more if you file a claim.
• Remove add-ons you no longer need – Skip services you already have elsewhere, like roadside assistance that you also get through a credit card.
• Keep Midwest-specific risks in mind – Towing and rental coverage can be especially important in rural or winter conditions.

Review your auto insurance policy once a year to match your current needs. Adjust deductibles, remove outdated coverage and be sure your limits still protect against Midwest-specific risks like winter collisions.

Tip #4 – Maximize best available car insurance discounts

It’s surprising how many drivers miss out on the best car insurance discounts they qualify for. Even small discounts can add up when combined.

• Claim the safe driver discount – Clean driving records often bring meaningful savings.
• Bundle home and auto coverage – Combining policies can yield big annual discounts.
• Ask about good student discounts – Teen drivers with strong grades may qualify for lower rates.
• Pay in full or set up autopay – This can cut administrative fees and reduce your bill.

Midwest drivers can save significantly by combining discounts, bundling policies, paying upfront and maintaining good credit.

Tip #5 – Prepare for winter to prevent claims

In the Midwest, winter prep isn’t optional, it’s part of keeping your car insurance costs in check. Many claims spike between December and February, so prevention can pay off.

• Install snow tires and ask about discounts – Some insurance companies reward this proactive safety step as part of winter weather car insurance tips.
• Park in a garage when possible – Reduces exposure to ice, snow and storm damage.
• Keep a winter emergency kit in your car – Especially important for rural drivers facing long stretches without help.
• Prevent frozen locks and battery failure – Small measures like lubricating locks and using a battery maintainer or trickle charger can help avoid costly breakdowns in frigid temperatures.

Midwest car insurance rates may be rising, but that doesn’t mean your bill has to. By combining these strategies, you can protect yourself without overspending. Think of reviewing your policy as an annual financial check-up, and you’ll stay ahead of rising costs year after year.