There are many car insurance companies in the US but all of them are not the same. The best car insurance companies give their customers more than just coverage at a reasonable price. They provide a customer-first experience, including a headache-free way to manage policies and make payments. We have compiled the list of some of the best car insurance companies in the US.
To come out with this list, we evaluated large auto insurance companies based on average rates for a variety of drivers, coverage features available, and levels of complaints. Customer complaints data, consumer experience, and the financial strength of these insurance companies were also considered based on the most recent data obtained from the National Association of Insurance Commissioners.
Based on the aforementioned factors, we have put up this article to guide you choose the best insurance company for your car in 2023.
Government Employees Insurance Company(GEICO) is a private American auto insurance company with headquarters in Chevy Chase, Maryland. It is the second largest auto insurer in the United States, after State Farm. Geico has very competitive car insurance rates for many types of drivers, which makes it worth a look if you want cheap auto insurance. Its low level of auto insurance complaints is another reason to consider Geico.
Geico is an excellent choice if you’re looking to balance service quality and affordability. The company has relatively low customer complaint rates and affordable insurance rates. However, it doesn’t offer new car replacement coverage, which allows those with new models to be fully reimbursed for a brand-new car after an accident.
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2. State Farm
State Farm is another large, affordable insurer with an excellent customer service reputation. Like Geico, it has a lower complaint rate and may even be a cheaper option depending on where you live. State Farm doesn’t offer new car replacement coverage, so it may not be the best option for those with brand-new cars.
State Farm’s customer satisfaction ratings are better than average, but the insurance cost is above average. The company offers discounts to drivers in some states for having multiple cars, being a good driver, and taking a defensive driving course. It relies on exclusive agents to sell insurance and only these agents can sell State Farm insurance.
3. Auto Club Group
Auto Club Group is the second-largest of AAA’s 25 clubs. It is a good option for many drivers and offers car insurance in 14 states and Puerto Rico. Customers can also benefit from roadside assistance, along with auto loans and auto buying services. Auto Club Insurance has the best combination of high satisfaction and low complaints.
The Auto Club Group has rideshare insurance and original equipment manufacturer coverage. Before you can get coverage, you’ll need to become a AAA member. However, the perks and discounts might make joining worth it. The company also has an app where you can manage both your car insurance policy and AAA membership.
USAA insurance products, including auto, homeowners, and renters policies, are only available to members of the military community. It caters especially well to young active-duty service members and those working for Uber or Lyft. USAA offers a wide range of benefits such as roadside assistance, rental car reimbursement, and accident forgiveness.
USAA is one of the top auto insurance companies in the US with low customer complaint rates, affordable insurance rates, and satisfactory customer experience. It has pretty affordable rates for motorists with many types of driving records, making it a good company for various driver profiles. Note that you must be a military member, veteran, or military family member to be eligible for USAA insurance.
Allstate Insurance Company is a leading national provider of several types of insurance including auto, home, life, motorcycle, renters, and off-road insurance. The company offers a wide range of discounts for being a safe driver, bundling home and car and anti-theft, and other safety features. Ask an Allstate agent about all available discounts and how much you can save with their coverage.
Allstate has one of the highest rates in the US but may offer a competitive rate for certain drivers. The company has a track record for low auto insurance complaints to state insurance departments. If you purchase new car replacement coverage with an insurer like Allstate, the return on your claim will match that of a brand-new car.
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Nationwide is one of the best insurers in the US and has a motto called “On Your Side” that influences how auto insurance claims are handled. The company recommends getting an annual checkup to ensure policyholders understand their benefits and coverage. Nationwide offers financial services, commercial lines, and personal lines in all 50 states. It has contributed more than $430 million to nonprofit organizations since 2000.
7. Liberty Mutual
Liberty Mutual is one of the largest insurance companies in the U.S. and has operations in 17 countries. The company has eight coverages that are rarely or only occasionally offered by other companies. These include new car replacement, accident forgiveness, gap insurance, diminishing deductible, original equipment manufacturer coverage (OEM), and auto-death indemnity coverage. Moreover, Liberty Mutual offers all the common coverages other insurers do, such as roadside assistance and rental car reimbursement.
With Liberty Mutual, damaged parts are replaced like-for-like with parts from the original manufacturer, meaning you get the highest quality repairs. The company also sells property and casualty, health, and life insurance policies.
It might also interest you to know that Liberty doesn’t have the cheapest rates or the highest customer service scores.
8. American Family
American Family is one of the biggest insurance companies in the U.S. and the largest insurer by market share in Wisconsin. The company has apps to monitor driving, allowing good drivers to earn discounts. Savings can be had for insuring multiple vehicles, completing a defensive driving course, and having a student away at school.
American Family offers a range of discounts to drivers in some states, including for loyalty, completing a defensive driving course, and for students away at school.
American Family Insurance products include term, universal, and whole life insurance; personal and business auto insurance, personal umbrella insurance, home insurance; motorcycle, boat, motor home, snowmobile, and car insurance; farm and ranch liability insurance. The company also offers a reward system for their insureds titled “Dreamkeep Rewards,” which provides small to large rewards for completing various online tasks.
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Erie is one of the best car insurance companies in the US and offers generous coverage and competitive rates. The company’s high Bankrate Score contributes to its position as one of the best in the country. The company provides robust coverage and a strong claims experience. Drivers may benefit from adding rideshare insurance, accident forgiveness, and Rate Lock.
Erie has highly-rated customer service and lower-than-average coverage rates for drivers and teens.
10. Progressive Insurance
Progressive insurance is one of the best auto insurance companies in the US and offers customizable auto and home insurance coverage. In addition, this company also have a user-friendly online tools and resources for customers as well as a robust customer service to clients.
Progressive has middle-of-the-road car insurance rates for drivers with clean driving records when compared to top competitors. Progressive car insurance is cheaper than Allstate and Farmers on average, but more expensive than Geico and State Farm when it comes to good drivers.
Even great drivers will find that rates vary considerably among insurance companies, so shopping around can pay off.