MuniYield Michigan Insured (MIY) -- Converted by SEC Publisher, created by BCL Technologies Inc., for SEC Filing

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM N-Q

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED
MANAGEMENT INVESTMENT COMPANY

Investment Company Act file number 811-07080

Name of Fund: BlackRock MuniYield Michigan Insured Fund, Inc. (MIY)

Fund Address: 100 Bellevue Parkway, Wilmington, DE 19809

Name and address of agent for service: Donald C. Burke, Chief Executive Officer, BlackRock MuniYield Michigan
Insured Fund, Inc., 800 Scudders Mill Road, Plainsboro, NJ, 08536. Mailing address: P.O. Box 9011,
Princeton, NJ, 08543-9011

Registrant’s telephone number, including area code: (800) 882-0052, Option 4

Date of fiscal year end: 07/31/2009

Date of reporting period: 08/01/2008 – 10/31/2008

Item 1 – Schedule of Investments

BlackRock MuniYield Michigan Insured Fund, Inc.             
Schedule of Investments October 31, 2008 (Unaudited)    (Percentages shown are based on Net Assets) 
 
            Par     
    Municipal Bonds        (000)           Value 
 
 
 
 
Michigan - 147.3%    Adrian, Michigan, City School District, GO, 5%, 5/01/14 (a)(b)    $ 3,600    $ 3,863,772 
   
 
 
    Birmingham, Michigan, City School District, School Building and Site, GO, 5%,         
    11/01/33 (a)        1,000    911,040 
   
 
 
 
    Central Montcalm, Michigan, Public Schools, GO, 5.90%, 5/01/09 (b)(c)    1,000    1,021,190 
   
 
 
    Delta County, Michigan, Economic Development Corporation, Environmental         
    Improvement Revenue Refunding Bonds (Mead Westvaco-Escanaba), AMT,         
    Series B, 6.45%, 4/15/12 (b)        1,500    1,651,800 
   
 
 
 
    Detroit, Michigan, City School District, GO (School Building and Site         
    Improvement), Refunding, Series A, 5%, 5/01/21 (a)        3,000    2,933,760 
   
 
 
 
    Detroit, Michigan, City School District, GO (School Building and Site         
    Improvement), Series A, 5.375%, 5/01/13 (b)(d)        2,300    2,471,189 
   
 
 
 
    Detroit, Michigan, City School District, GO (School Building and Site         
    Improvement), Series B, 5%, 5/01/28 (d)        3,100    2,870,600 
   
 
 
 
    Detroit, Michigan, Water Supply System Revenue Bonds, Second Lien,         
    Series B, 5%, 7/01/13 (b)(c)        1,550    1,660,949 
   
 
 
 
    Detroit, Michigan, Water Supply System Revenue Bonds, Second Lien,         
    Series B, 5%, 7/01/34 (c)        2,420    2,068,398 
   
 
 
 
    Detroit, Michigan, Water Supply System Revenue Bonds, Senior Lien,         
    Series A, 5.875%, 1/01/10 (b)(d)        1,250    1,313,425 
   
 
 
 
    Detroit, Michigan, Water Supply System Revenue Bonds, Senior Lien,         
    Series A, 5.75%, 7/01/11 (b)        7,250    7,816,152 
   
 
 
 
    Detroit, Michigan, Water Supply System Revenue Bonds, Senior Lien,         
    Series A, 5%, 7/01/13 (a)(b)        3,750    4,018,425 
   
 
 
 
    Detroit, Michigan, Water Supply System Revenue Bonds, Senior Lien,         
    Series A, 5%, 7/01/25 (c)        4,000    3,770,760 
   
 
 
 
    Detroit, Michigan, Water Supply System Revenue Bonds, Senior Lien,         
    Series A, 5%, 7/01/34 (c)        6,900    5,897,499 
   
 
 
 
    Detroit, Michigan, Water Supply System Revenue Bonds, Series B, 5.25%,         
    7/01/13 (b)(c)        11,790    12,760,317 
   
 
 
 
    Detroit, Michigan, Water Supply System, Revenue Refunding Bonds, 6.25%,         
    7/01/12 (d)(e)        1,180    1,253,644 
   
 
 
 
    Detroit, Michigan, Water Supply System, Revenue Refunding Bonds, Second         
    Lien, Series C, 5%, 7/01/29 (a)        10,570    9,605,805 
   
 
 
 
    Dickinson County, Michigan, Economic Development Corporation,         
    Environmental Improvement Revenue Refunding Bonds (International Paper         
    Company Project), Series A, 5.75%, 6/01/16        3,900    3,436,212 
   
 
 
 
    Dickinson County, Michigan, Healthcare System, Hospital Revenue Refunding         
    Bonds, 5.80%, 11/01/24 (f)        3,100    2,649,663 
   
 
 
 
    Eastern Michigan University, General Revenue Refunding Bonds,         
    6%, 6/01/10 (b)(g)        590    629,388 
 
 
 
 
Portfolio Abbreviations             

To simplify the listings of portfolio holdings in the Schedule of Investments, the names and descriptions of many of the securities have been abbreviated according to the list below.

AMT    Alternative Minimum Tax (subject to)    HDA    Housing Development Authority 
COP    Certificates of Participation    M/F    Multi-Family 
GO    General Obligation Bonds         

1

BlackRock MuniYield Michigan Insured Fund, Inc.             
Schedule of Investments October 31, 2008 (Unaudited)    (Percentages shown are based on Net Assets) 
 
        Par     
                                                         Municipal Bonds        (000)           Value 
 
 
 
                                                         Eastern Michigan University, General Revenue Refunding Bonds,         
                                                         6%, 6/01/20 (g)        $ 435    $ 448,911 
 
 
 
                                                         Eastern Michigan University Revenue Bonds, Series B, 5.60%,         
                                                         6/01/10 (b)(d)        1,500    1,574,730 
 
 
 
                                                         Eastern Michigan University Revenue Bonds, Series B, 5.625%,         
                                                         6/01/10 (b)(d)        1,310    1,375,762 
 
 
 
                                                         Eaton Rapids, Michigan, Public Schools, School Building and Site, GO, 5.25%,         
                                                         5/01/20 (a)        1,325    1,347,763 
 
 
 
                                                         Eaton Rapids, Michigan, Public Schools, School Building and Site, GO, 5.25%,         
                                                         5/01/21 (a)        1,675    1,692,520 
 
 
 
                                                         Flint, Michigan, Hospital Building Authority, Revenue Refunding Bonds         
                                                         (Hurley Medical Center), Series A, 5.375%, 7/01/20 (f)        615    463,974 
 
 
 
                                                         Flint, Michigan, Hospital Building Authority, Revenue Refunding Bonds         
                                                         (Hurley Medical Center), Series A, 6%, 7/01/20 (f)        1,375    1,104,359 
 
 
 
                                                         Frankenmuth, Michigan, School District, GO, 5.75%, 5/01/10 (b)(d)    1,000    1,050,790 
 
 
                                                         Gibraltar, Michigan, School District, GO (School Building and Site),         
                                                         5%, 5/01/14 (b)(d)        2,940    3,155,414 
 
 
 
                                                         Gibraltar, Michigan, School District, GO (School Building and Site),         
                                                         5%, 5/01/28 (d)        710    667,861 
 
 
 
                                                         Grand Blanc, Michigan, Community Schools, GO, 5.625%, 5/01/20 (c)(d)    1,100    1,113,134 
 
 
                                                         Grand Rapids, Michigan, Building Authority Revenue Bonds, Series A, 5.50%,         
                                                         10/01/12 (b)(g)        1,035    1,125,521 
 
 
 
                                                         Grand Valley State University, Michigan, Revenue Bonds, 5.50%,         
                                                         2/01/18 (c)(d)        2,070    2,080,495 
 
 
 
                                                         Greater Detroit Resource Recovery Authority, Michigan, Revenue Refunding         
                                                         Bonds, Series A, 6.25%, 12/13/08 (g)        11,250    11,303,212 
 
 
 
                                                         Gull Lake, Michigan, Community School District, School Building and Site,         
                                                         GO, 5%, 5/01/14 (a)(b)        5,625    6,037,144 
 
 
 
                                                         Harper Woods, Michigan, City School District, School Building and Site, GO,         
                                                         Refunding, 5%, 5/01/14 (b)(d)        4,345    4,663,358 
 
 
 
                                                         Harper Woods, Michigan, City School District, School Building and Site, GO,         
                                                         Refunding, 5%, 5/01/34 (d)        430    389,791 
 
 
 
                                                         Hartland, Michigan, Consolidated School District, GO, 6%, 5/01/10 (b)(d)    6,825    7,196,689 
 
 
                                                         Jenison, Michigan, Public Schools, School Building and Site, GO,         
                                                         5.50%, 5/01/19 (c)(d)        1,575    1,598,987 
 
 
 
                                                         Kent, Michigan, Hospital Finance Authority, Hospital Revenue Refunding         
                                                         Bonds (Butterworth Hospital), Series A, 7.25%, 1/15/13 (c)    3,365    3,621,379 
 
 
                                                         Kent, Michigan, Hospital Finance Authority Revenue Bonds (Spectrum         
                                                         Health), Series A, 5.50%, 7/15/11 (b)(c)        3,000    3,222,840 
 
 
 
                                                         Lansing, Michigan, Building Authority, GO, Series A,             
                                                         5.375%, 6/01/13 (b)(c)        1,510    1,645,568 
 
 
 
                                                         Michigan Higher Education Facilities Authority, Limited Obligation Revenue         
                                                         Bonds (Hillsdale College Project), 5%, 3/01/35        1,875    1,528,481 
 
 
 
                                                         Michigan Higher Education Facilities Authority, Limited Obligation Revenue         
                                                         Refunding Bonds (College for Creative Studies), 5.85%,             
                                                         6/01/12 (b)        1,235    1,338,826 
 
 
 

2

BlackRock MuniYield Michigan Insured Fund, Inc.             
Schedule of Investments October 31, 2008 (Unaudited)    (Percentages shown are based on Net Assets) 
 
        Par     
                                                         Municipal Bonds        (000)           Value 
 
 
 
                                                         Michigan Higher Education Facilities Authority, Limited Obligation Revenue         
                                                         Refunding Bonds (College for Creative Studies), 5.90%,             
                                                         6/01/12 (b)        $ 1,145    $ 1,243,184 
 
 
 
                                                         Michigan Higher Education Facilities Authority, Limited Obligation Revenue         
                                                         Refunding Bonds (Hope College), Series A, 5.90%, 4/01/32    2,250    1,851,165 
 
 
                                                         Michigan Higher Education Student Loan Authority, Student Loan Revenue         
                                                         Bonds, AMT, Series XVII-B, 5.40%, 6/01/18 (g)        2,500    2,292,100 
 
 
 
                                                         Michigan Higher Education Student Loan Authority, Student Loan Revenue         
                                                         Bonds, AMT, Series XVII-Q, 5%, 3/01/31 (g)        3,000    2,208,330 
 
 
 
                                                         Michigan Municipal Bond Authority Revenue Bonds (Local Government Loan         
                                                         Program), Group A, 5.50%, 11/01/20 (g)        1,065    1,068,589 
 
 
 
                                                         Michigan State Building Authority, Revenue Refunding Bonds (Facilities         
                                                         Program), Series I, 5.50%, 10/15/10 (a)        7,250    7,575,308 
 
 
 
                                                         Michigan State Building Authority, Revenue Refunding Bonds (Facilities         
                                                         Program), Series I, 5.50%, 10/15/11 (a)        15,030    15,825,839 
 
 
 
                                                         Michigan State Building Authority, Revenue Refunding Bonds (Facilities         
                                                         Program), Series I, 5.50%, 10/15/18 (c)        2,500    2,607,050 
 
 
 
                                                         Michigan State Building Authority, Revenue Refunding Bonds (Facilities         
                                                         Program), Series II, 5%, 10/15/29 (c)        3,500    3,246,845 
 
 
 
                                                         Michigan State, COP, 5.40%, 6/01/22 (e)(g)(h)        3,000    1,445,160 
 
 
 
                                                         Michigan State, HDA, Limited Obligation M/F Housing Revenue Bonds         
                                                         (Deaconess Towers Apartments), AMT, 5.25%, 2/20/48 (i)    1,000    741,120 
 
 
                                                         Michigan State, HDA, Limited Obligation M/F Housing Revenue Bonds         
                                                         (Williams Pavilion Apartments), AMT, 4.75%, 4/20/37 (i)    4,050    2,730,024 
 
 
                                                         Michigan State, HDA, Rental Housing Revenue Bonds, AMT, Series A, 5.30%,         
                                                         10/01/37 (c)        200    154,232 
 
 
 
                                                         Michigan State Hospital Finance Authority, Hospital Revenue Bonds         
                                                         (Mid-Michigan Obligation Group), Series A, 5.50%, 4/15/18 (g)    2,530    2,546,268 
 
 
                                                         Michigan State Hospital Finance Authority, Hospital Revenue Refunding         
                                                         Bonds (Crittenton Hospital), Series A, 5.625%, 3/01/27        2,200    1,931,182 
 
 
 
                                                         Michigan State Hospital Finance Authority, Hospital Revenue Refunding         
                                                         Bonds (Oakwood Obligated Group), Series A, 5%, 7/15/25    4,100    3,309,684 
 
 
                                                         Michigan State Hospital Finance Authority, Hospital Revenue Refunding         
                                                         Bonds (Oakwood Obligated Group), Series A, 5%, 7/15/37    630    457,367 
 
 
                                                         Michigan State Hospital Finance Authority, Hospital Revenue Refunding         
                                                         Bonds (Sparrow Obligated Group), 5%, 11/15/31        3,100    2,378,258 
 
 
 
                                                         Michigan State Hospital Finance Authority Revenue Bonds (McLaren Health         
                                                         Care Corporation), Series C, 5%, 8/01/35        1,000    781,470 
 
 
 
                                                         Michigan State Hospital Finance Authority Revenue Bonds (Mid-Michigan         
                                                         Obligor Group), Series A, 5%, 4/15/36        1,750    1,306,883 
 
 
 
                                                         Michigan State Hospital Finance Authority Revenue Bonds (Trinity Health         
                                                         Credit Group), Series A, 6.25%, 12/01/28        930    909,159 
 
 
 
                                                         Michigan State Hospital Finance Authority Revenue Bonds (Trinity Health         
                                                         Credit Group), Series A, 6.50%, 12/01/33        1,000    984,140 
 
 
 
                                                         Michigan State Hospital Finance Authority, Revenue Refunding Bonds         
                                                         (Ascension Health Credit), Series A, 6.25%, 11/15/09 (b)(c)    2,500    2,623,325 
 
 
                                                         Michigan State Hospital Finance Authority, Revenue Refunding Bonds (Henry         
                                                         Ford Health System), Series A, 5.25%, 11/15/46        2,500    1,860,450 
 
 
 

3

BlackRock MuniYield Michigan Insured Fund, Inc.             
Schedule of Investments October 31, 2008 (Unaudited)    (Percentages shown are based on Net Assets) 
 
         Par     
                                                         Municipal Bonds        (000)           Value 
 
 
 
                                                         Michigan State Hospital Finance Authority, Revenue Refunding Bonds         
                                                         (McLaren Health Care Corporation), 5.75%, 5/15/38        $ 4,500    $ 4,016,070 
 
 
 
                                                         Michigan State Hospital Finance Authority, Revenue Refunding Bonds (Saint         
                                                         John Hospital), Series A, 6%, 5/15/13 (e)(g)        3,000    3,087,690 
 
 
 
                                                         Michigan State Hospital Finance Authority, Revenue Refunding Bonds (Trinity         
                                                         Health Credit Group), Series A, 6%, 12/01/20        2,200    2,205,368 
 
 
 
                                                         Michigan State Hospital Finance Authority, Revenue Refunding Bonds (Trinity         
                                                         Health Credit Group), Series A, 6%, 12/01/27 (g)        6,400    6,195,008 
 
 
 
                                                         Michigan State Hospital Finance Authority, Revenue Refunding Bonds (Trinity         
                                                         Health Credit Group), Series C, 5.375%, 12/01/23        1,000    957,600 
 
 
 
                                                         Michigan State Hospital Finance Authority, Revenue Refunding Bonds (Trinity         
                                                         Health Credit Group), Series C, 5.375%, 12/01/30        3,755    3,397,411 
 
 
 
                                                         Michigan State Hospital Finance Authority, Revenue Refunding Bonds (Trinity         
                                                         Health Credit Group), Series D, 5%, 8/15/34        3,100    2,555,144 
 
 
 
                                                         Michigan State Strategic Fund, Limited Obligation Revenue Refunding Bonds         
                                                         (Detroit Edison Company Pollution Control Project), AMT, Series A, 5.55%,         
                                                         9/01/29 (c)        10,250    8,534,253 
 
 
 
                                                         Michigan State Strategic Fund, Limited Obligation Revenue Refunding Bonds         
                                                         (Detroit Edison Company Pollution Control Project), Series AA, 6.95%,         
                                                         5/01/11 (c)(d)        6,000    6,379,680 
 
 
 
                                                         Monroe County, Michigan, Economic Development Corporation, Limited         
                                                         Obligation Revenue Refunding Bonds (Detroit Edison Co. Project), Series AA,         
                                                         6.95%, 9/01/22 (c)(d)        15,000    16,458,600 
 
 
 
                                                         Montrose Township, Michigan, School District, GO, 6.20%, 5/01/17 (c)    1,000    1,113,750 
 
 
                                                         Muskegon Heights, Michigan, Water System Revenue Bonds, Series A, 5.625%,         
                                                         11/01/10 (b)(c)        1,830    1,943,954 
 
 
 
                                                         Norway Vulcan, Michigan, Area Schools, GO, 5.90%, 5/01/09 (b)(d)    1,100    1,123,419 
 
 
                                                         Oak Park, Michigan, Street Improvement, GO, 5%, 5/01/30 (c)    500    465,130 
 
 
                                                         Orchard View, Michigan, Schools, School Building and Site, GO,         
                                                         5%, 11/01/13 (b)(c)        5,320    5,736,290 
 
 
 
                                                         Pennfield, Michigan, School District, School Building and Site, GO,         
                                                         5%, 5/01/14 (b)(d)        1,370    1,470,380 
 
 
 
                                                         Reed, Michigan, City Public Schools, School Building and Site, GO, 5%,         
                                                         5/01/14 (a)(b)        1,425    1,529,410 
 
 
 
                                                         Saginaw, Michigan, Hospital Finance Authority, Revenue Refunding Bonds         
                                                         (Covenant Medical Center), Series E, 5.625%, 7/01/13 (c)    2,500    2,518,150 
 
 
                                                         Saginaw Valley State University, Michigan, General Revenue Refunding         
                                                         Bonds, 5%, 7/01/24 (c)(d)        2,100    1,894,389 
 
 
 
                                                         Saint Clair County, Michigan, Economic Revenue Refunding Bonds (Detroit         
                                                         Edison Co. Project), Series AA, 6.40%, 8/01/24 (g)        17,800    18,188,752 
 
 
 
                                                         South Haven, Michigan, Public Schools, GO, 5%, 5/01/13 (a)(b)    1,350    1,448,753 
 
 
                                                         Southfield, Michigan, Library Building Authority, GO,             
                                                         5.50%, 5/01/10 (b)(c)        1,300    1,361,269 
 
 
 

4

BlackRock MuniYield Michigan Insured Fund, Inc.             
Schedule of Investments October 31, 2008 (Unaudited)    (Percentages shown are based on Net Assets) 
 
             Par     
    Municipal Bonds        (000)           Value 
 
 
 
 
    Southfield, Michigan, Public Schools, School Building and Site, GO,         
    Series A, 5%, 5/01/14 (a)(b)        $ 3,500    $ 3,722,250 
   
 
 
 
    Sparta, Michigan, Area Schools, School Building and Site, GO,         
    5%, 5/01/14 (b)(d)        1,325    1,422,083 
   
 
 
 
    Thornapple Kellogg School District, Michigan, GO, Refunding,         
    5%, 5/01/32 (c)        2,500    2,293,075 
   
 
 
 
    Waverly, Michigan, Community School, GO, 5.50%, 5/01/10 (b)(d)    1,100    1,148,686 
   
 
 
    Wayne Charter County, Michigan, Airport Revenue Bonds (Detroit         
    Metropolitan Wayne County), AMT, Series A, 5.375%, 12/01/15 (c)    10,660    10,177,209 
   
 
 
    Wayne Charter County, Michigan, Detroit Metropolitan Airport, GO, Airport         
    Hotel, Series A, 5%, 12/01/30 (c)        1,750    1,609,475 
   
 
 
 
    Wayne County, Michigan, Airport Authority Revenue Bonds (Detroit         
    Metropolitan Wayne County Airport), AMT, 5.25%, 12/01/25 (c)    7,525    6,210,985 
   
 
 
    Wayne County, Michigan, Airport Authority Revenue Bonds (Detroit         
    Metropolitan Wayne County Airport), AMT, 5.25%, 12/01/26 (c)    6,300    5,156,172 
   
 
 
    Wayne County, Michigan, Airport Authority Revenue Bonds (Detroit         
    Metropolitan Wayne County Airport), AMT, 5%, 12/01/34 (c)    9,160    6,734,982 
   
 
 
    Wayne County, Michigan, Airport Authority, Revenue Refunding Bonds, AMT,         
    5.75%, 12/01/25 (j)        4,000    3,527,680 
   
 
 
 
    Wayne County, Michigan, Airport Authority, Revenue Refunding Bonds, AMT,         
    5.75%, 12/01/26 (j)        1,000    873,750 
   
 
 
 
    Wayne County, Michigan, Airport Authority, Revenue Refunding Bonds, AMT,         
    5.375%, 12/01/32 (j)        8,700    6,983,751 
   
 
 
 
    West Bloomfield, Michigan, School District, GO, Refunding,         
    5.50%, 5/01/17 (c)(d)        1,710    1,796,423 
   
 
 
 
    West Bloomfield, Michigan, School District, GO, Refunding,         
    5.50%, 5/01/18 (c)(d)        1,225    1,272,751 
   
 
 
 
    Zeeland, Michigan, Public Schools, School Building and Site, GO,         
    5%, 5/01/29 (c)        1,600    1,504,240 
               
                341,442,611 
 
 
 
 
Puerto Rico - 4.5%    Puerto Rico Commonwealth Highway and Transportation Authority, Highway         
    Revenue Refunding Bonds, Series CC, 5.50%, 7/01/31 (j)    4,000    3,744,200 
   
 
 
    Puerto Rico Housing Financing Authority, Capital Funding Program,         
    Subordinate Revenue Refunding Bonds, 5.125%, 12/01/27    2,000    1,869,600 
   
 
 
    Puerto Rico Public Buildings Authority, Government Facilities Revenue         
    Refunding Bonds, Series M-3, 6%, 7/01/27        2,100    2,046,933 
   
 
 
 
    Puerto Rico Sales Tax Financing Corporation, Sales Tax Revenue Refunding         
    Bonds, Series A, 5.20%, 8/01/43 (c)(h)        12,500    1,164,500 
   
 
 
 
    Puerto Rico Sales Tax Financing Corporation, Sales Tax Revenue Refunding         
    Bonds, Series A, 4.99%, 8/01/46 (c)(h)        20,000    1,507,000 
               
                10,332,233 
 
 
 
 
    Total Municipal Bonds - 151.8%            351,774,844 
 
 
 
 

5

BlackRock MuniYield Michigan Insured Fund, Inc.             
Schedule of Investments October 31, 2008 (Unaudited)    (Percentages shown are based on Net Assets) 
 
               Par     
    Municipal Bonds Transferred to Tender Option Bond Trusts (k)     (000)           Value 
 
 
 
Michigan - 12.2%    Lakewood, Michigan, Public Schools, School Building and Site, GO,         
    5%, 5/01/37 (a)        $ 6,775    $ 6,071,706 
   
 
 
 
    Portage, Michigan, Public Schools, School Building and Site, GO,         
    5%, 5/01/31 (a)        4,650    4,289,997 
   
 
 
 
    Saginaw Valley State University, Michigan, Revenue Refunding Bonds,         
    5%, 7/01/31 (a)        7,500    6,916,575 
   
 
 
 
    Wayne State University, Michigan, University Revenue Refunding Bonds,         
    5%, 11/15/35 (a)        12,207    11,022,700 
 
 
 
 
    Total Municipal Bonds Transferred to Tender Option             
    Bond Trusts - 12.2%            28,300,978 
 
 
 
 
    Total Long-Term Investments (Cost - $401,847,194) - 164.0%        380,075,822 
 
 
 
    Short-Term Securities        Shares     
 
 
 
 
    CMA Michigan Municipal Money Fund, 1.24% (l)(m)        5,076,014    5,076,014 
 
 
 
 
    Total Short-Term Securities (Cost - $5,076,014) - 2.2%        5,076,014 
 
 
 
    Total Investments (Cost - $406,923,208*) - 166.2%            385,151,836 
    Other Assets Less Liabilities - 3.3%            7,750,834 
    Liability for Trust Certificates, Including Interest Expense and Fees         
    Payable - (7.1)%            (16,412,454) 
    Preferred Shares, at Redemption Value - (62.4)%            (144,722,591) 
    Net Assets Applicable to Common Shares - 100.0%        $ 231,767,625 

* The cost and unrealized appreciation (depreciation) of investments as of October 31, 2008, as computed for federal income tax purposes, were as follows:

Aggregate cost    $ 389,160,408 
Gross unrealized appreciation    $ 7,249,625 
Gross unrealized depreciation    (27,448,197) 
Net unrealized depreciation    $ (20,198,572) 

(a)      FSA Insured.
 
(b)      U.S. government securities, held in escrow, are used to pay interest on this security as well as to retire the bond in full at the date indicated, typically at a premium to par.
 
(c)      MBIA Insured.
 
(d)      FGIC Insured.
 
(e)      Security is collateralized by Municipal or U.S. Treasury Obligations.
 
(f)      ACA Insured.
 
(g)      AMBAC Insured.
 
(h)      Represents a zero-coupon bond. Rate shown reflects the effective yield at the time of purchase.
 
(i)      GNMA Collateralized.
 
(j)      Assured Guaranty Insured.
 
(k)      Securities represent bonds transferred to a tender option bond trust in exchange for which the Fund acquired residual interest certificates. These securities serve as collateral in a financing transaction.
 
(l)      Investments in companies considered to be an affiliate of the Fund, for purposes of Section 2(a)(3) of the Investment Company Act of 1940, were as follows:
 
    Affiliate    Net Activity    Income 
    CMA Michigan Municipal Money Fund    508,481    $44,541 
(m)    Represents the current yield as of report date.         

6

BlackRock MuniYield Michigan Insured Fund, Inc.

Schedule of Investments October 31, 2008 (Unaudited)

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. For information about the Fund's policy regarding valuation of investments and other significant accounting policies, please refer to the Fund's most recent financial statements as contained in its annual report.

The following table summarizes the inputs used as of October 31, 2008 in determining the fair valuation of the Fund's investments:

Valuation    Investments in 
Inputs    Securities 
 
Level 1    $ 5,076,014 
Level 2    380,075,822 
Level 3    - 
 
Total    $ 385,151,836 
   

7

Item 2 – Controls and Procedures

2(a) – The registrant’s principal executive and principal financial officers or persons performing similar functions
have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under
the Investment Company Act of 1940, as amended (the “1940 Act”)) are effective as of a date within 90
days of the filing of this report based on the evaluation of these controls and procedures required by Rule
30a-3(b) under the 1940 Act and Rule 13a-15(b) under the Securities Exchange Act of 1934, as amended.

2(b) – There were no changes in the registrant’s internal control over financial reporting (as defined in Rule 30a-
3(d) under the 1940 Act) that occurred during the registrant’s last fiscal quarter that have materially
affected, or are reasonably likely to materially affect, the registrant’s internal control over financial
reporting.

Item 3 – Exhibits

Certifications – Attached hereto

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of
1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly
authorized.

BlackRock MuniYield Michigan Insured Fund, Inc.

By: /s/ Donald C. Burke
Donald C. Burke
Chief Executive Officer of
BlackRock MuniYield Michigan Insured Fund, Inc.

Date: December 19, 2008

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of
1940, this report has been signed below by the following persons on behalf of the registrant and in the
capacities and on the dates indicated.

By: /s/ Donald C. Burke
Donald C. Burke
Chief Executive Officer (principal executive officer) of
BlackRock MuniYield Michigan Insured Fund, Inc.

Date: December 19, 2008

By: /s/ Neal J. Andrews
Neal J. Andrews
Chief Financial Officer (principal financial officer) of
BlackRock MuniYield Michigan Insured Fund, Inc.

Date: December 19, 2008