Car insurance is a legal requirement in most states. However, not all insurance companies are created equal. The best provider for every driver depends on factors like your personal situation, coverage needs and preferences. Erie, Auto-Owners and Travelers are some of the best car insurance companies.
In this guide, we’ll look at some of the best car insurance companies and their average annual rates.
- To choose the best car insurance company, consider your lifestyle, budget, coverage needs and policy preferences.
- Regional insurance companies tend to have better customer service than national carriers but have higher average rates.
- Comparing quotes from multiple insurance companies will help you find the cheapest policy for your situation.
- Regardless of the insurer, teens and young adults typically have the most expensive car insurance premiums.
Top 15 car insurance companies
To find the best car insurance companies, we reviewed some of the largest insurers based on features like coverage options, cost, discounts, financial strength and customer satisfaction.
Below, you can see which car insurance companies are the best for you and their average annual premium.
| Rank | Company | Overall Ranking | Annual Full Coverage Rates |
|---|---|---|---|
| 1 | Erie | 4.67 | $1,480 |
| 2 | Auto-Owners | 4.65 | $1,553 |
| 3 | Travelers | 4.62 | $1,587 |
| 4 | Nationwide | 4.33 | $1,548 |
| 5 | Auto Club Group (AAA) | 4.29 | $1,616 |
| 6 | State Farm | 4.27 | $1,975 |
| 7 | Geico | 4.20 | $1,763 |
| 8 | Progressive | 4.14 | $1,998 |
| 9 | American Family | 4.01 | $1,698 |
| 10 | Amica | 3.93 | $2,216 |
| 11 | Allstate | 3.78 | $2,509 |
| 12 | Farmers | 3.69 | $2,387 |
| 13 | Mercury | 3.64 | $2,314 |
| 14 | CSAA Insurance Group (AAA) | 3.50 | $2,600 |
| 15 | Auto Club of Southern California (AAA) | 3.30 | $2,301 |
Expert recommendations on choosing the best company
If you’re shopping for auto insurance, there are a few things to remember as you compare companies.
Here are some of the most important factors to consider:
- Coverage needs: Every driver has different insurance coverage needs. For example, if you drive a high-value vehicle, you might want full insurance with endorsements like new car replacement or OEM coverage. A minimum coverage policy might make more sense financially if your car is older and not worth much. Look for car insurance companies that offer the types of coverage you want.
- Budget: The cost of car insurance depends on various factors, including your location, age, credit score, driving record and vehicle type. Additionally, every insurance company charges different rates. To find the most affordable auto insurance for your situation, comparing quotes from multiple insurance companies is a good idea. The first quote you receive might not be the lowest price you can get.
- Lifestyle: Your lifestyle can also help you determine the best car insurance company for you. For instance, if you drive infrequently, look for car insurance companies that offer a low-mileage discount or pay-per-mile car insurance. If you’re in the military, consider a company that provides discounted rates to servicemembers and veterans.
- Preferences: When shopping for car insurance, consider your policy preferences. For example, if you want to manage your policy and file claims online, look for insurers that offer digital features. On the other hand, if you prefer to work with an in-person agent, choose a car insurance company with agents in your area.
Beyond price: What sets the best car insurance companies apart
Every car insurance company has unique pros and cons; the cost of coverage is just one factor that should guide your decision.
| Company | Direct Premiums Written | Market Share | J.D. Power Rating | NAIC Rating | AM Best Rating | Customer Satisfaction Score | Types of Discounts Offered | Subsidiaries | Claims Handling | Trustworthiness | Plan to Renew | Likely to Recommend | Ease of Service |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Erie | 4,240,246,199 | 1.34% | 845 | 0.61 | A+ | 4.43 | Vehicle Storage | _ | 3.91 | 4.24 | 5.00 | 5.00 | 4.43 |
| Auto-Owners | 4,250,282,927 | 1.34% | 826 | 0.5 | A++ | 3.97 | Payment History | Capital Insurance Group (CIG) and Concord Group Insurance | 4.10 | 3.97 | 4.47 | 4.47 | 4.18 |
| Travelers | 6,578,946,202 | 2.08% | 810 | 0.49 | A++ | 4 | Hybrid/Electric Car | _ | 4.20 | 3.93 | 4.52 | 4.29 | 4.19 |
| Nationwide | 5,413,758,272 | 1.71% | 809 | 0.64 | A | 4.06 | SmartMiles | _ | 3.87 | 3.79 | 4.19 | 4.35 | 4.11 |
| Auto Club Group (AAA) | 2,256,739,042 | 0.71% | 800 | 0.77 | A+ | 3.75 | AAA Membership Discount | _ | 4.14 | 3.91 | 4.38 | 4.53 | 4.00 |
| State Farm | 57,974,270,313 | 18.31% | 823 | 0.7 | A++ | 4.24 | Steer Clear | Dover Bay and HiRoad | 4.37 | 4.05 | 4.58 | 4.58 | 4.29 |
| Geico | 38,965,761,608 | 12.31% | 821 | 0.91 | A++ | 4.07 | Eagle Discount | Subsidiary of Berkshire Hathaway | 4.12 | 3.95 | 4.54 | 4.37 | 4.14 |
| Progressive | 48,255,874,744 | 15.24% | 810 | 0.65 | A+ | 3.91 | Online Quote | American Strategic Insurance (ASI) | 4.01 | 3.96 | 4.58 | 4.56 | 4.12 |
| American Family | 6,790,422,620 | 2.14% | 820 | 1.1 | A | 4.32 | Steer Into Savings | Connect, Homesite, Main Street America, and The General | 4.16 | 4.09 | 4.34 | 4.53 | 4.25 |
| Amica | 1,383,042,128 | 0.44% | 833 | 0.61 | A+ | 3.76 | Legacy | _ | 3.67 | 3.76 | 4.60 | 4.20 | 3.88 |
| Allstate | 32,848,168,906 | 10.37% | 811 | 0.65 | A+ | 4.04 | New Car | Encompass and National General | 4.33 | 3.92 | 4.34 | 4.41 | 4.21 |
| Farmers | 13,221,687,478 | 4.18% | 814 | 0.8 | A | 4.12 | Homeowner | 21st Century, Bristol West, Foremost, MetLife and Toggle | 4.19 | 3.99 | 4.49 | 4.49 | 3.94 |
| Mercury | 2,819,068,632 | 0.89% | 794 | 0.84 | A | 3.95 | Pay in Full | Auto Insurance Specialists (AIS) | 3.70 | 3.89 | 4.74 | 4.21 | 4.11 |
| CSAA Insurance Group (AAA) | 3,817,542,892 | 1.21% | 822 | 0.75 | A | 4.05 | AAA Membership Discount | _ | 4.00 | 3.90 | 4.25 | 4.25 | 3.90 |
| Auto Club of Southern California (AAA) | 4,829,407,595 | 1.53% | 819 | 2.21 | A- | 4.15 | AAA Membership Discount | _ | 4.00 | 4.10 | 4.75 | 4.50 | 4.30 |
Some of the other features that set car insurance companies apart include:
- Customer satisfaction ratings: When comparing car insurance companies, check their overall customer satisfaction and claims satisfaction ratings from J.D. Power. You can also find the company’s NAIC complaint index to see how many complaints it receives in relation to its size.
- Financial strength: Insurance companies with excellent financial strength are financially stable and able to meet policyholder obligations, including paying claims. AM Best is one of the most reputable credit rating agencies that assigns financial strength scores to insurance carriers.
- State availability: Not all car insurance companies offer coverage in every state. Additionally, certain coverage types and discounts may not be available everywhere. Consider what’s offered in your state when comparing car insurance providers.
- Discounts: Most car insurance companies offer discounts to help you get a cheaper rate. However, every insurance provider offers different discounts with varying savings potential. This is something to pay attention to when choosing an insurer.
- Claims handling: Some car insurance companies offer online and mobile claim handling, while others require policyholders to file a claim over the phone.
- Ease of service: Consider what types of customer service the insurance company offers. For example, some insurers offer 24/7 phone support or online live chat. Also, some insurers have agents nationwide, whereas other insurance companies operate online and have no in-person agents or offices.
- Coverage: Car insurance companies differ significantly in coverage. While most companies offer minimum and full coverage, certain carriers offer more endorsements than others. If you want to customize your policy with add-ons, look for insurers that offer multiple endorsements.
Choosing between national and regional car insurance carriers
When selecting the best auto insurance company, you should consider the differences between national and regional carriers.
“I look for financial stability, affordable coverage and great customer service when choosing insurance partners,” says Paul Schneider, owner of Schneider Insurance in Florida. “Responsive service and efficient claims handling also matter. Regional companies, in my experience, tend to be more attentive since they rely on customer satisfaction.”
National carriers generally offer lower premiums, more coverage options and more discounts. Many national carriers also have more robust online and mobile features, like online claim handling and payments.
A regional insurer might be a better option if you prefer to work with a dedicated insurance agent or meet with an agent in person.
Below are some top national and regional car insurance companies and their average annual full coverage rates.
| National carriers | Annual rates for full coverage |
|---|---|
| Nationwide | $1,548 |
| Travelers | $1,587 |
| Geico | $1,763 |
| State Farm | $1,975 |
| Progressive | $1,998 |
| Farmers | $2,387 |
| Allstate | $2,509 |
| USAA* | $1,381 |
*USAA is only available to military community members and their families.
| Regional carriers | Annual rates for full coverage |
|---|---|
| Erie | $1,480 |
| Auto-Owners | $1,553 |
| Auto Club Group (AAA) | $1,616 |
| American Family | $1,698 |
| Amica | $2,216 |
| Auto Club of Southern California (AAA) | $2,301 |
| Mercury | $2,314 |
| CSAA Insurance Group (AAA) | $2,600 |
Choose a company tailored to your driving habits and history
When you apply for car insurance, the carrier will consider your driving record to determine your premium. Because of that, it’s a good idea to choose an insurer that caters to your driving history.
For example, if you have an excellent driving record with no recent accidents or traffic violations, look for insurers that offer a safe driver discount. Many national carriers also have a telematics-based safe driver rewards program, which can help you earn a discount for demonstrating safe driving habits.
Driving less than 10,000 miles per year might qualify you for a low-mileage discount or a pay-per-mile insurance policy. Not all companies offer savings for low-mileage drivers, so you might need to research a few different carriers to find one that does. However, if you qualify, low-mileage discounts can help you save money over traditional auto insurance.
If you have a poor driving record or serious violations on your record, like a DUI, you might have trouble finding a company to insure you. In this case, you should consider getting coverage from a company specializing in high-risk auto insurance. These providers cater to drivers with complicated driving histories, poor credit, and other issues that make getting insurance harder.
Finding the best car insurance for every age group
The cost of car insurance can vary significantly depending on your age. In general, teens and young adults pay the highest car insurance rates because they lack experience. Average rates for older adults and seniors tend to be much cheaper.
See rates from various insurers in the table below.
Select your age group and coverage level below to see the list of best car insurance companies and their annual average rates.
| Company | Annual rates | Customer satisfaction rating |
|---|---|---|
- Full coverage: 100/300/100 liability with $500 comprehensive/collision deductible
- Liability only: 50/100/50 liability only
- State minimum: State minimum coverage
Navigate your needs: Ideal insurer for every driver’s journey
Car insurance is personalized for every driver. Before you purchase a policy, it’s essential to consider your unique situation and lifestyle. Below are a few common driver profiles and what to look for when shopping for the best auto insurance.
The new driver
New drivers who are recently licensed typically pay the highest car insurance premiums. Teens lack experience on the road and have the highest accident risk of any age group, according to the CDC.
In the table below, see annual rates for full coverage for teens and young adults.
| Company | Teens (16-19) | Young adults (20-24) |
|---|---|---|
| Allstate | $7,437 | $3,754 |
| American Family | $4,515 | $2,424 |
| Amica Mutual | $6,697 | $3,522 |
| Auto Club of Southern California (AAA) | $7,151 | $3,940 |
| Auto-Owners | $3,842 | $2,498 |
| Auto Club Group (AAA) | $4,872 | $2,757 |
| CSAA Insurance Group (AAA) | $9,399 | $4,059 |
| Erie | $3,737 | $2,369 |
| Farmers | $8,348 | $3,602 |
| Geico | $5,049 | $2,647 |
| Mercury | $7,475 | $3,989 |
| Nationwide | $5,285 | $2,556 |
| Progressive | $7,174 | $3,242 |
| State Farm | $5,368 | $3,179 |
| Travelers | $4,834 | $2,476 |
| USAA* | $4,385 | $2,159 |
*USAA is only available to military community members and their families.
Young drivers should focus on getting the most affordable insurance when shopping for auto insurance. Many insurance companies offer discounts aimed at teens, including:
- Driver education discounts: Young drivers can often save money if they complete an approved driver’s education course or defensive driving program.
- Good student discounts: Most insurance companies offer discounts to high school and college students who get good grades or maintain a minimum GPA.
- Telematics programs: Many national insurers offer an app-based telematics program that tracks driving habits, like brake force and acceleration. When teens drive safely, they can usually save between 5% and 40% on their premiums.
The high-risk driver
High-risk drivers, including those with a history of accidents, serious traffic violations or DUI convictions, pay higher insurance rates. According to our rate data, high-risk drivers pay 25% to 50% more for car insurance than drivers with a clean record.
Not only do high-risk drivers pay more expensive rates, but it can also be more difficult for them to find coverage. Because of that, high-risk drivers should consider purchasing insurance from a company specializing in high-risk car insurance. These carriers often have more flexible underwriting requirements and lower rates.
High-risk drivers are those who have any of the following:
- Several speeding tickets or other traffic violations within the past three to five years
- Any recent history of significant injury or costly accidents recorded within the past three to five years
- A prior conviction for driving under the influence
- A low credit score in states that allow credit history to affect rates
- Any recent gaps in auto insurance coverage
See annual rates for full coverage for high-risk drivers in the table below.
| Company | At-fault accident | DUI/DWI first offense |
|---|---|---|
| Allstate | $4,156 | $8,121 |
| American Family | $2,474 | $4,234 |
| Amica Mutual | $2,989 | $11,914 |
| Auto Club of Southern California (AAA) | $3,703 | $8,168 |
| Auto-Owners | $2,113 | $4,218 |
| Auto Club Group (AAA) | $2,550 | $7,799 |
| CSAA Insurance Group (AAA) | $4,091 | $11,188 |
| Erie | $2,032 | $3,939 |
| Farmers | $3,991 | $8,459 |
| Geico | $3,207 | $8,194 |
| Mercury | $4,234 | $6,303 |
| Nationwide | $2,564 | $6,003 |
| Progressive | $3,111 | $4,214 |
| State Farm | $2,427 | $3,896 |
| Travelers | $2,480 | $4,631 |
| USAA* | $2,091 | $4,219 |
*USAA is only available to military community members and their families.
Some of the things that high-risk drivers can look for when choosing an insurance company include:
- Accident forgiveness: Some car insurance companies offer accident forgiveness as an endorsement. It will waive your first at-fault accident so it doesn’t affect your premium when your policy renews.
- Payment plans: If you’re paying an expensive insurance premium, look for insurance companies that offer flexible payment plans that can ease the financial burden.
While shopping around benefits all drivers, it’s vital for high-risk drivers. Comparing quotes from multiple insurance companies can help you find the most affordable policy for your driving record and coverage needs.
The family planner
Family planners are often looking for reliable insurers with excellent customer service, affordable rates and savings opportunities. If you identify with this driver profile, here are some things to look for when comparing insurers:
- Multi-car discounts: If you have multiple vehicles in your household, choose an insurer that offers a multi-car discount, which can help you save money. Some insurers offer a discount of up to 25% for insuring more than one car.
- Good student discounts: Families with licensed teen drivers should take advantage of good student discounts if possible. Smart student discounts can reduce the higher premiums for young drivers.
- Safety features discounts: You can often find generous discounts for vehicles equipped with safety features such as anti-lock brakes, airbags and crash avoidance systems.
- Excellent customer service: Customer service is essential when searching for car insurance. Look for carriers that offer online policy management, online claims, a comprehensive mobile app and live chat.
- Bundling discounts: Bundling your auto policy with another policy – home, condo, renters or life – is a great way to save on your policy.
In the table below, see annual rates for full coverage for adult drivers who bundle auto with a homeowners, condo or renters policy.
| Company | Auto Bundled with Home | Auto Bundled with Condo | Auto Bundled with Renters |
|---|---|---|---|
| Allstate | $2,106 | $2,197 | $2,380 |
| American Family | $1,414 | $1,439 | $1,608 |
| Amica Mutual | $1,922 | $1,997 | $2,001 |
| Auto Club of Southern California (AAA) | $2,007 | $2,121 | $2,143 |
| Auto-Owners | $1,370 | $1,371 | $1,458 |
| Auto Club Group (AAA) | $1,315 | $1,315 | $1,388 |
| CSAA Insurance Group (AAA) | $2,305 | $2,338 | $2,471 |
| Erie | $1,321 | $1,327 | $1,327 |
| Farmers | $1,910 | $1,978 | $2,167 |
| Geico | $1,596 | $1,599 | $1,709 |
| Mercury | $1,918 | $2,033 | $2,260 |
| Nationwide | $1,358 | $1,446 | $1,463 |
| Progressive | $1,742 | $1,742 | $1,882 |
| State Farm | $1,660 | $1,660 | $1,855 |
| Travelers | $1,419 | $1,435 | $1,507 |
| USAA* | $1,319 | $1,334 | $1,312 |
*USAA is only available to military community members and their families.
Find insurers that align with your purchasing preferences
Every insurance company offers different purchasing options. Some insurers allow you to buy coverage online, while others require you to work with an agent, so consider which option you prefer.
Buying online vs. buying through an agent
“Buying car insurance online is the easiest and most convenient option,” says Zach Lazzari, the owner of Cross Border Coverage, an insurer specializing in international car insurance. “If your situation is straightforward and you need a standard policy, buying online is a good route.”
Most of the largest insurance companies allow you to get a quote, apply for coverage and purchase your policy online on the same day. There’s no need to speak with an agent unless you have questions or need help. You can buy coverage anytime, anywhere.
When you purchase car insurance through an agent, it can take slightly longer because you have to speak with an actual human. However, there are benefits to purchasing car insurance through an agent.
“Agents are great for helping you find discounts and to ensure you secure the best coverage for your situation,” Lazzari says.
An agent can also walk you through the application process and answer any questions you have, which can be helpful if you’re purchasing car insurance for the first time.
Here are some companies that sell car insurance directly to consumers online or through captive agents:
- Geico
- Allstate
- Erie
- Progressive
- USAA
- Travelers
- Farmers
- American Family
These companies only offer insurance through insurance agents:
- Auto-Owners
- Farm Bureau
- Grange Insurance
- The Hanover
Learn more in detail about Is it cheaper to buy car insurance online or through an agent
Ease of managing policies: Digital tools and customer service
Many of the best car insurance companies offer a suite of digital tools, including mobile apps and online customer portals, where you can file claims, make payments, get new quotes, add or remove coverage, add new drivers and vehicles and more.
Similarly, customer service is an important element of choosing the best insurance company. Look for insurers that offer 24/7 claim support or live chat. Many national insurers also have 24/7 roadside assistance and towing, which you can request through the mobile app.
Checklist for car insurance shoppers: Make informed decisions now
Choosing the best car insurance company for your situation takes research and consideration.
Use this checklist when comparing providers:
- Determine your insurance needs: Decide what type of insurance you need. While minimum coverage is a legal requirement in almost all states, many drivers can benefit from having a full coverage policy with collision and comprehensive insurance. Also, think about what endorsements you might need, like roadside assistance or rental car reimbursement coverage.
- Evaluate financial stability: Before you purchase car insurance, check the provider’s AM Best rating for financial strength. It’s important to choose a financially stable insurance company, which indicates that it’s able to repay policyholders after a claim and is not at risk of bankruptcy.
- Assess the quality of customer service: Customer service can vary between insurers. Find out what customer service options are available (i.e. live chat and phone support) and consider calling an agent to get a sense of how they treat their customers. You can also read customer reviews and research customer satisfaction ratings from J.D. Power.
- Consider the claims process: No driver expects to file a claim, but you should learn more about the claim process before choosing an insurer. Look for companies with an above-average claims satisfaction rating from J.D. Power and find out how long it typically takes to process and settle claims.
- Compare quotes: The best car insurance company for you is the one that can offer the coverage you need at the best price. Shop around and compare rates from multiple insurance companies to find the cheapest policy for your situation.
- Check for discounts: Find out what car insurance discounts the company offers. Some common discounts include savings for good students, safe drivers, policy bundling, loyal customers and taking a defensive driving course. Many insurers also display the average savings for each discount so you can get a better idea of how certain discounts will affect your premium.
- Understand payment options: Consider what payment options are available, including monthly vs. annual payments and automatic payments. Many insurance companies offer a small discount if you pay your annual premium in full, enroll in autopay and sign up for paperless billing statements.
In conversation with experts
CarInsurance.com editors had a discussion with James Brau, Joel C. Peterson Professor of Finance at Brigham Young University, and Lauren McKenzie, an insurance broker/agent at A Plus Insurance.
See our conversation about car insurance companies below.
How important are customer service and claims processing when choosing the best auto insurance company for you?
James Brau: Probably the most important service is that you can actually reach your insurance company. If you have to stay on hold for a half-hour or work through a 10-minute phone tree after an accident, it can add a ton of frustration. For example, I prefer my agent because whenever I call, either he or his administrator picks up the phone and knows who I am.
Lauren Mckenzie: It is important for customers to research and pick out a reputable insurance company, based on service, not just price. When it comes to filing a claim or dealing with policy concerns/issues, having a reputable, highly-rated insurance company handling your claims or concerns will ensure it is handled in a timely, and proficient manner. Drivers may pick a low-cost insurance company, but find that their claims take longer than usual to complete, or the customer service provided by the company is not the greatest.
What is the value of discounts and savings when choosing an insurance company?
Brau: When comparing policies apples to apples, pricing makes the difference. Research [on] how to get discounts and savings should be done about every six months to ensure your policy is still competitive.
Mckenzie: Discounts will go a long way when trying to save on an auto insurance policy. There are several different discounts that are offered by insurance providers—some have more than others. Some common discounts include bundling, auto-pay, paperless, advanced quote, pay-in-full plans, and some others such as safe driver discounts, accident and claims free discounts. Finding a well-known insurance provider will most likely result in more discounts offered, resulting in a lower overall premium with the discounts applied.
What are the most important considerations when choosing an insurance company?
Brau: Be sure the company is reputable and will pay out if an accident or theft occurs. Make sure they provide the policies and riders you want. Shop around for competitive rates.
Mckenzie: Drivers should look into other factors when searching for an insurance company, not solely just based on price point. Things to look for are coverage options, price, customer service ratings, claims process, financial stability or the company, and discounts offered. There are Insurance rating sites such as J.D. Power, which allows consumers to research all insurance companies to find their weaknesses and strengths when considering a new company.
Why does choosing the right car insurance company matter?
Brau: You always want to be adequately covered and have access to customer service when needed. Usually, when your company is in a stressful situation—a wreck, theft or some other kind of damage—you want a company with great customer service during these times. And, of course, price always matters—get the most for your premium payment.
Mckenzie: Choosing the right car insurance company can save a lot of time and stress—should any claims or issues arise with a policy—if you are insured with a professional, high standard company. Choosing the right company that offers the coverage you need for a competitive price is also important.
Frequently asked questions
Which car insurance companies have the best customer service?
Based on the results from the 2023 J.D. Power U.S. Auto Claims Satisfaction Study, Amica, Erie Insurance and NJM Insurance Company earned the highest marks for overall customer satisfaction.
How often should I review my car insurance policy?
At a minimum, you should review your car insurance policy once a year. If you opt for a six-month auto insurance policy, make sure to review your insurance needs each time your policy comes up for renewal.
How do I know if a car insurance company is financially stable?
You can determine if a car insurance company is financially stable by checking its AM Best rating. A strong AM Best rating indicates the company is financially stable.
Do car insurance companies offer any benefits for long-term customers?
Some auto insurance companies will reward you with a loyalty discount when you stick with the company. Although you might get a discount by sticking with your current insurer, it’s always a good idea to shop around before renewing your policy to ensure you’re paying the cheapest rates.
Resources & Methodology
Sources
- J.D. Power “2023 U.S. Auto Claims Satisfaction Study.” Accessed December 2024.
- Insurance Information Institute “How often should I review my policy?” Accessed December 2024.
Methodology
Insure.com in the fall of 2023 surveyed more than 1,750 insurance consumers (1,459 people with auto insurance). Online market research company Slice MR conducted the survey.
Respondents were asked to name their auto insurer and then grade it in the following categories – customer satisfaction, ease of service and policy offerings. The percentage of respondents who said they were satisfied or very satisfied with their insurer is presented in the results.
Respondents were then asked to pick their insurer’s top three attributes out of more than a dozen presented – trustworthiness, claims satisfaction, digital experience, discounts and best for auto/home bundling. The responses for each attribute were totaled and then divided by the number of each company’s customers who responded to that survey question to create a percentage.
Respondents were then asked if they would recommend their auto insurer to someone else and whether they would renew with their company. The percentage who said yes is presented in the results.
Finally, respondents were given the statement “I trust my insurance company” and asked if they strongly agreed, agreed, disagreed or strongly disagreed with the statement. The percentage of those who said they agreed or strongly agreed is presented in the results.
The editors compiled the survey results and then selected – based on the number of survey responses – the top companies for further evaluation.
They then collected AM Best data, which measures financial strength, and National Association of Insurance Commissioners’ complaint data, which ranks a company by the number of customer complaints it receives.
The Insure.com team identified the NAIC company code or codes that were the primary underwriting companies for each carrier and line of business using total annual premiums. The associated NAIC complaint index score was used in the calculations. If more than one underwriting company was identified for a line, the editors used a weighted average of the NAIC complaint index scores.
In addition, we also created star rankings for each company. Respondents were asked to pick their insurer’s top three attributes out of the more than the dozen presented, again including customer satisfaction and policy offerings. The number of responses for each attribute was totaled and then divided by the number of each company’s customers who responded to that survey question to create the star ranking.
The editors also collected insurance rate data from Quadrant Information Services.
With the help of Prof. David Marlett, Ph.D., Managing Director of the Brantley Risk and Insurance Center at Appalachian State University, the editors created a rating system to determine which insurance companies were best in each sector.
For auto insurers, we took the following and gave each a weight.
- Survey: 40% of the total score (10% customer satisfaction, 10% recommended, 10% renewal rate and 10% claims handling)
- Annual premium: 20% of the total score
- AM Best: 25% of the total score
- NAIC: 15% of the total score
Each insurer was awarded from half a star to 5 stars. No insurer in our star ranking received less than half a star and 5 stars was the most any insurer could receive.
Ask the Insurance Expert
Laura Longero
Executive Editor
Laura Longero is an insurance expert and Executive Editor at CarInsurance.com, where she specializes in helping consumers navigate the complexities of the financial and insurance industries. She has 15 years of experience educating people about finance and car insurance. Prior to joining CarInsurance.com, she worked as a reporter and editor at the USA Today Network. Her expertise provides readers with practical guidance, helping them make informed choices about their financial and insurance needs.
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John McCormick
Editorial Director
John is the editorial director for CarInsurance.com, Insurance.com and Insure.com. Before joining QuinStreet, John was a deputy editor at The Wall Street Journal and had been an editor and reporter at a number of other media outlets where he covered insurance, personal finance, and technology.
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Leslie Kasperowicz
Executive Editor
Leslie Kasperowicz is an insurance educator and content creation professional with nearly two decades of experience first directly in the insurance industry at Farmers Insurance and then as a writer, researcher, and educator for insurance shoppers writing for sites like ExpertInsuranceReviews.com and InsuranceHotline.com and managing content, now at CarInsurance.com.
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Nupur Gambhir
Managing Editor
Nupur Gambhir is a content editor and licensed life, health, and disability insurance expert. She has extensive experience bringing brands to life and has built award-nominated campaigns for travel and tech. Her insurance expertise has been featured in Bloomberg News, Forbes Advisor, CNET, Fortune, Slate, Real Simple, Lifehacker, The Financial Gym, and the end-of-life planning service.