The best auto insurance companies in the market not only provide excellent coverage and reasonable rates but also a simple claims procedure, user-friendly technology, and exceptional customer service.
Choosing the right auto insurance company for you can be difficult.
And according to Balancing Everything, in 2022, there were 1,528 auto insurance businesses in the US.
That’s why we have done the legwork for you by finding the best ten auto insurance providers in the market.
We’ll look at business reputation, availability, coverage choices, discounts, and customer service in this article, with a focus on the top 10 providers.
What Is Auto Insurance And Why Is It Important?
Auto insurance is a legal requirement in 48 states, so having some sort of insurance is a must before getting in your car.
Let’s start with the basics. In the event of an accident, the most basic auto insurance plans provide coverage for property damage, personal injury protection, and bodily harm liability coverage.
You may then add other types of coverage from there.
Damage to your vehicle (collision coverage), roadside assistance, automobile accident occurrences with uninsured or underinsured drivers, plus personal injury protection, and medical expenditures incurred as a result of accidents are all examples of these.
If you own a house, some vehicle insurance providers offer comprehensive coverage that includes roadside assistance and can be combined with homeowner’s insurance.
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Best Auto Insurance Companies
Here are the 10 best options based on:
- Best Overall Auto Insurance Company – Geico
- Best Affordable Car Insurance Company – Progressive
- Best All-In-One Auto Insurance Company – Allstate
- Military Families’ Best Auto Insurance – USAA
- Best Reliable Auto Insurance Company – Safeco
- Most User-Friendly Car Insurance Company – Esurance
- Best For Young Drivers – Liberty Mutual
- Best For A Personalized Experience – State Farm
- Best For Unique Coverages – Travelers Insurance
- Best Environmental-Friendly Car Insurance Company – Nationwide
1. Geico — Best Overall Auto Insurance Company
Geico had the highest overall customer satisfaction rating, making it the number one auto insurer in the United States.
This insurance company is also consistently listed among the cheapest auto insurance coverage providers (and a large premium is a large expense), which surely adds to the satisfaction.
Geico’s clever advertisements guarantee that the company remains one of the country’s most well-known auto insurance options.
Its consumers know the company for the excellent service and support it provides and some of the most affordable insurance rates.
Geico’s 97 percent customer satisfaction score, as well as its extensive list of awards, including Kanbay Research Institute’s most desired insurer, speak for itself.
Average Annual Cost Estimate:
$1352
Pros And Cons
Pros
- Highly-rated mobile app
- Numerous discounts available
Cons
- The presence of local agents is limited.
- There is no gap in insurance coverage available.
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2. Progressive — Best Affordable Car Insurance Company
Progressive, a powerhouse in the insurance business with over 18 million clients, manages to attract and retain a large number of satisfied customers by continuing to save them money on their vehicle insurance prices.
Progressive was the first auto insurer to provide safe driver discounts, making it an excellent choice for consumers who have a clean driving record and are looking for the cheapest car insurance.
Even today, clients who switch to Progressive save an estimated $699 per year on their car insurance price.
The Progressive website even includes a handy feature for comparing rates with competitors to find the best deal.
When you bundle your vehicle insurance with your homes or renters insurance, you save an average of 4%.
Average Annual Cost Estimate:
$1397
Pros And Cons
Pros
- There are a variety of premium discounts available.
- Gap insurance available
- Ridesharing insurance is available.
Cons
- The cost varies depending on the method of purchase.
- In certain states, discounts are not available.
3. Allstate — Best All-In-One Auto Insurance Company
Allstate was one of the few vehicle insurance companies to appear on every J.D. Power regional customer satisfaction ranking, and it was ranked first in Florida.
Allstate takes pride in the quality of its claims service and the range of its coverage options.
It provides a slew of vehicle insurance savings that, depending on your circumstances, might make it the most cost-effective auto insurance policy coverage alternative for many people.
Furthermore, Allstate provides a variety of insurances, including car, home, motorcycle, off-road vehicles, renters, term life, and more, and will provide discounts to customers who bundle their insurance.
Average Annual Cost Estimate:
$2430
Pros And Cons
Pros
- Many discounts and benefits
- Large network of agents
- Claims that are simple to file
Cons
- Insurance is only available on a six-month term.
- High rate compared to competitors.
4. USAA — Military Families’ Best Auto Insurance
If we just considered customer satisfaction, the United Services Automobile Association would be at the top of our list of the best auto insurance providers.
The USAA’s rating is affected by the fact that its scope is limited than that of most other auto insurers since the company only provides coverage to military members, veterans, and their families.
However, USAA is one of the most cost-effective insurers, with rates even lower than Geico’s. Switching customers save an average of $707 each year.
You may also save up to 10% by bundling your house and vehicle insurance (or renters and auto insurance).
Average Annual Cost Estimate:
$1013
Pros And Cons
Pros
- A variety of financial products are available.
- Consistently excellent customer service
- Numerous additional military resources
Cons
- Only military families are eligible.
- Membership required
5. Safeco — Best Reliable Auto Insurance Company
Safeco, based in Seattle, is a division of Liberty mutual that has been providing auto insurance for over 85 years and has had a nationwide presence for more than two decades.
Safeco works with local agents to provide customers the time and attention they need to have all of their car insurance inquiries answered and policy requests fulfilled.
RightTrack, an app that records your driving behaviors and rewards safe decisions, is one of Safeco’s most exciting features. Braking, acceleration, nighttime driving, and total miles traveled are all tracked by the app.
Customers in most states can use the RightTrack mobile app, although it is not available in Arkansas, Washington, D.C., California, Delaware, North Carolina, or Hawaii.
Average Annual Cost Estimate:
$2500
Pros And Cons
Pros
- Bundling insurance entitles you to a discount.
- Comes with a feature-rich mobile app
- Right Track discount program
Cons
- To get a quote, you’ll need to work with an agent.
- The app is not available in some states.
6. Esurance — Most User-Friendly Car Insurance Company
Esurance, the No. 1 vehicle insurance in California, is growing throughout the country (the company operates in 43 states).
Esurance, a part of Allstate, claims to make switching or registering in auto insurance as simple as possible or “painless,” as the company puts it.
It offers insurance for cars, motorcycles, renters, and homeowners. Esurance also has a policy designed to help Uber and Lyft drivers bridge coverage gaps.
Users agree with the assessment since reviews on the website highlight how quick and simple it is to sign up for auto insurance with this company, either online or via the Esurance app.
Also, for all you introverts out there, you won’t have to speak with an insurance agent to get started.
If you live in a state that permits digital insurance ID cards, the app is beneficial since you always have your most current ID card.
Average Annual Cost Estimate:
$1473
Pros And Cons
Pros
- Savings for drivers who switch insurance
- Ridesharing insurance is available.
- DriveSense discount
Cons
- Not available in all states
- A cancellation fee is charged
7. Liberty Mutual — Best For Young Drivers
For families with young or teenage drivers, Liberty Mutual could be a suitable car insurance alternative.
The insurance provides affordable rates and discounts, with many of them tailored to young drivers.
Rental vehicle reimbursement, 24-hour roadside assistance, new car replacement, auto loan/lease assured asset protection, and other options are available in addition to the normal insurance types.
For policyholders with young drivers, Liberty Mutual is often an inexpensive option. For other types of drivers, however, it may not be the most cost-effective solution.
The auto insurer provides a variety of discounts, including savings for homeowners, military personnel, good students, accident-free drivers, and more.
Average Annual Cost Estimate:
$4450
Pros And Cons
Pros
- There are a variety of coverage options available.
- Powerful digital tools.
- Lots of discounts.
Cons
- For its size, there were more car insurance complaints to state regulators than expected.
8. State Farm — Best For A Personalized Experience
When it comes to choosing the best car insurance in the industry, State Farm is another great option.
State Farm also provides coverage for car rentals and travel expenses and coverage for rideshare drivers, emergency road service, and more.
As the country’s largest vehicle insurance provider, State Farm is no stranger to customer satisfaction – the firm has an A++ rating from AM Best.
State Farm has 16.19 percent of the car insurance market share in 2020, according to the NAIC.
In 2020, State Farm had fewer complaints than the national average, though customer feedback on the Better Business Bureau is mixed.
We picked State Farm as one of the best auto insurance companies in the US in part because of its usage-based and safe-driving discounts for young drivers.
Average Annual Cost Estimate: $1339
Pros And Cons
Pros
- Various policy discounts are available
- Helpful mobile app
- Excellent third-party ratings
Cons
- To get a quote, you must provide personal information.
- Insurance for rideshare drivers is not available in all states.
9. Travelers Insurance — Best For Unique Coverages
Among the many plans offered by Travelers is a car insurance coverage package that you can tailor to your specific requirements.
Rather than upselling customers, Travelers provides a wealth of resources (in the form of blog posts) to educate users before they buy a policy.
As most of the companies on our list, Travelers offers discounts on insurance bundles, so if you can bundle your vehicle, homeowners, or renters insurance, you can save a lot of money.
Average Annual Cost Estimate:
$1617
Pros And Cons
Pros
- There are several discounts available.
- Insures nonbinary drivers
- Options for accident forgiveness and lowering deductibles
Cons
- Not available in some states
10. Nationwide — Best Environmental-Friendly Car Insurance Company
With over 90 years of experience protecting drivers, Nationwide knows a thing or two about keeping customers satisfied.
The company’s visions and values list reveals where the company’s priorities are.
During the COVID-19 pandemic, the company went above and beyond, suspending policy cancellations, forgiving late fees, and extending payment deadlines to help its members stay covered.
It also offered a one-time $50 refund per personal car coverage in response to declining driving trends.
Top ratings from a number of sources (including A.M. Best, S&P, and Moody’s) indicate that it’s working.
Employees benefit from these values as well; Nationwide was ranked No. 53 on Fortune’s most recent list of the “100 Best Companies to Work For.”
Average Annual Cost Estimate:
$1533
Pros And Cons
Pros
- Mobile app with plenty of features
- Online quote generator that is simple to use.
- Comprehensive online learning center
Cons
- Six-month policy terms
- More expensive than the competition
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Comparison
| Company | Best For | Price | Best Feature | Rating |
|---|---|---|---|---|
| Geico | Overall | $1352 | Numerous discounts available | 4.5/5 |
| Progressive | Affordability | $1397 | Gap insurance available | 4.2/5 |
| Allstate | All-In-One | $2430 | Large network of agents | 3.5/5 |
| USAA | Military Families | $1013 | Excellent customer service | 4.4/5 |
| Safeco | Reliability | $2500 | Feature-rich mobile app | 4/5 |
Conclusion
The best car insurance companies in the industry will provide you with a personalized experience and comprehensive coverage that suits your needs.
If you’re looking for an affordable company with great customer service, Geico is worth considering as one of the top 10 auto insurance providers in 2021.
As we’ve mentioned before, it pays to do some research and compare different options when deciding on which insurer to choose.
Don’t forget about discounts or incentives offered by each company! You’ll be glad you did after saving thousands on premiums over time.
FAQs
What kinds of car insurance coverage are there?
There are four main coverage types in the auto insurance industry:
- Liability Coverage: Covers medical expenses for injuries to partygoers of the other vehicle in an accident, as well as property damage
- Collision Coverage: Helps pay for damages to your car from a wreck
- Comprehensive Coverage: Insures your car for damages not caused by a wreck, such as vandalism or a natural disaster
- Uninsured/Underinsured Motorist Coverage: This type of coverage kicks in when the other driver is at fault and doesn’t have insurance or enough insurance to cover your damages
What is the average cost of car insurance?
It depends on where you live and your financial situation.
As a rule of thumb, most people spend around $500 per year for car insurance, but this amount can vary widely depending on the individual.
You can use an online quote tool to get a more specific estimate for your particular situation.
How do I know if I'm getting a good deal on my car insurance?
The best way to know if you’re getting a good deal on your car insurance is to comparison shop.
Get quotes from a variety of different providers to see what kind of rates they offer.
You can also ask your friends and family members for their recommendations.
Remember, just because one company is cheaper than another doesn’t mean it’s the best option for you.
Always read the fine print and make sure you’re fully covered before signing up.
Amit Gupta is the founder of National Planning Cycles, a company that helps startups, individuals, and small businesses with their financial planning. He has a vast amount of experience in the finance sector, having managed Google Play accounts for some of the world’s most successful unicorns. Amit is an expert in his field, and he uses his knowledge to help others achieve their individual goals.
ARTICLE SOURCES
The National Planning Cycles is committed to producing high-quality content that follows industry standards. We do this by using primary sources, such as white papers and government data alongside original reporting from reputable publishers that were appropriate for the accuracy of information while still being unbiased. We have an editorial policy that includes verifiable facts with due credit given where applicable.
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