Insurance coverage in Michigan is more than twice as expensive as the national average.

Not only is Michigan home to the Detroit Three automakers, it’s also state that sees drivers charged more for auto insurance than any other in the United States, according to a new study.

The average cost of car insurance in Michigan is $2,738 a year: more than double the national average of $1,325. It marked the third year in a row that the Wolverine state took top “honors,” and according Insure.com, which put together this year’s survey, it’s unlikely to change anytime soon.

“The factors that cause Michigan to be the most expensive aren’t likely to change any time soon,” said Penny Gusner, insurance analyst for Insure.com. Michigan has been in the top five for the last six years.

“Michigan’s no-fault requirement, while trying to curb insurance fraud, causes astronomical rates.  It then creates a high percentage of drivers who cannot afford to be insured – raising rates even more so. It’s a dangerous cycle.”

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The remainder of the top five most expensive states included Montana, New Jersey, Louisiana and Oklahoma. Montana captured the No. 2 spot for the second year in a row. New Jersey broke into the top five for the first time ever, the site noted.

Maine repeated as the low-cost champ for the second consecutive years. It was joined by Ohio, Wisconsin, Idaho and New Hampshire as the least costly states to insure a vehicle.  The top three have placed in the top five cheapest states every year since 2010.

“Most of the least expensive states don’t have as large metropolitan areas as the most expensive group. With less congestion comes fewer accidents and less risk for insurers,” Gusner said.

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“It’s one of the most straight-forward aspects lowering car insurance premiums in those states. Ohio has an extremely competitive insurance industry. There are more than 650 issuers competing for business within the state.”

The national average for a full-coverage policy as featured in the Insure.com report came in at $1,325 this year – a slight increase from last year’s average of $1,311. Rates varied from a low of $808 a year in Maine to the aforementioned $2,738 in Michigan.

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Insurance rates are influenced by a number of different factors. Everything from traffic, crime rates, state and local laws, the percentage of uninsured drivers, as well as the number of insurance companies competing in a market can all result in higher, or if you’re lucky, lower insurance premiums in your state.

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