Michigan Product Liability Insurance Profitability (2023)

A higher loss ratio means carriers paid out more of each premium dollar in claims, which tends to push Michigan product liability rates up and thin the field of carriers competing for the business; a lower one signals a more profitable, more competitive market. A 21.3% underwriting profit means the line stood on its own in Michigan without leaning on investment income. Counting investment income, carriers earned a 35.6% profit on product liability insurance transactions in Michigan in 2023 — NAIC's broadest profitability measure for the line. Either way, these are industry aggregates — your own product liability rate depends on your business, and the only way to see it is to compare filed rates and real quotes.

Michigan's $130M in product liability premiums is the 12th-largest of the 51 states NAIC reports for the line. Across those states, loss ratios span from 147.2% in Pennsylvania — the toughest market for carriers — down to -4.5% in Delaware, the most profitable; Michigan's 35.2% places it 35th of 51. For buyers, a state near the top of that spread usually means firmer product liability pricing and fewer competing carriers, while a state near the bottom tends to run softer and more competitive. By premium, Michigan is about 3.0% of the $4.3B national product liability market, and its loss-ratio rank places it in the more profitable half of states for carrier profitability — context that shapes how aggressively carriers compete for Michigan product liability business.

Getting Product Liability coverage in Michigan

See recent Michigan rate filings on the Michigan rate page, learn how Product Liability works in our Product Liability guide, then compare real quotes for your business.