We consider coverage, pricing, and customer satisfaction ratings to find the best auto insurance, providers.
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| The 10 Best Auto Insurance Companies |
The 10 Best Auto Insurance Companies of February 2022 (With Commissions)
The best auto insurance companies out there don't just offer great coverage and affordable payments. They also have a simple claim process, user-friendly technology, and excellent customer service.
Choosing the best auto insurance provider for you can be daunting. That's why the Home Media review team has done the heavy lifting for you and selected the top 10 auto insurance companies in the industry. In this article, we review the company's reputation, availability, coverage options, discounts, and customer experience, and outline the top five auto insurance providers.
In this review:
- The best car insurance on the market.
- Our selection of the best car insurance.
- What types of car insurance are there?
- How much does car insurance cost?
The best car insurance on the market
After thoroughly researching the car insurance market, 10 companies stood out as the best car insurance providers. In ranking these insurers, our team considered availability, coverage levels, pricing, and satisfaction scores from experts like J.D. Energy.
We also consider AM Best's financial strength ratings and the number of complaints reported by the National Association of Insurance Commissioners (NAIC). On a 10-point scale, each insurer was rated. Below, we'll take a deeper look at our top five auto insurance options.
Our picks for the best auto insurance
Our top five picks for the best auto insurance are Geico, USAA, Progressive, State Farm, and Liberty Mutual.
1 Geico: Editor's Choice
Average cost: $$
Number of discounts: 16
Usage-based insurance: DriveEasy in 26 states
Geico is our top pick for the best auto insurance in the country. The company offers reliable service, a wide selection of coverage, and affordable car insurance rates, based on our estimated rates.
In addition to standard coverage options, Geico offers useful add-ons such as:
- Emergency roadside assistance.
- Reimbursement of rent.
- Mechanical breakdown insurance (MBI).
- Carpooling insurance.
Geico received an A++ (Superior) rating from AM Best, which means the company has the financial backing to pay customers' insurance claims. A larger auto insurer like Geico offers greater financial stability compared to a smaller, local company.
Geico also has a strong reputation for customer service. According to J.D. Power 2021 USA Auto Insurance StudySM, Geico performed better than average in California and the Central and New England regions.
The study asked customers about their satisfaction with claims, billing, price, policy, and more. Additionally, our January 2022 insurance survey of 1,000 respondents found that nearly 12% chose Geico as their insurance provider.
When it comes to cost, Geico's pricing is among the most affordable we've seen. Our rate estimates show that drivers pay about $1,350 per year on average for comprehensive auto insurance from Geico.
These rate estimates apply to people age 35 and older with good credit and driving history. Our estimates rank Geico in the top three for affordability compared to other national providers.
On top of that, the insurer offers several ways to save money, including a nice driver discount (up to 26% off), a nice student discount (up to 15% off), and a multi-vehicle discount (up to 25% off). reduction). % disabled).
2 USAA: Low military fees
Average cost: $
Number of discounts: 12
Usage-based protection: SafePilotTM in 38 states
The USAA consistently leads JD's auto insurance studies. Power is one of the top auto insurance providers in terms of customer satisfaction and value. The company is known for its high customer ratings and affordable coverage options, including accident forgiveness. However, due to its strict admission requirements, it is not number 1 on our list.
USAA auto insurance is only available to military personnel, veterans, and their families, which severely limits coverage purchases. If you qualify for USAA insurance, this is one of the best options available.
In addition to the standard auto insurance types, USAA offers the following optional coverages:
- Roadside assistance.
- Reimbursement of the rental car.
- Accident Forgiveness.
- Glass lid.
- Guaranteed asset protection (GAP insurance).
- Replacement car assistance (ARC).
- Carpool Insurance.
USAA has received an A++ financial strength rating from AM Best and an A+ rating from the Better Business Bureau (BBB). The auto insurer had a 6.32% market share in 2020, according to NAIC.
While not the largest auto insurer, USAA is still respectably strong financially. In 2020, the company wrote $15.77 billion in auto insurance premiums.
Although USAA doesn't have many physical locations, policyholders are still impressed with the company's customer service. The USAA earned the highest score in the J.D. 2021 Power of all regions in the United States but was not ranked based on their eligibility criteria.
And in our January 2022 auto insurance survey, nearly 65% of 1,000 respondents said they were very satisfied with USAA coverage, the highest of any provider.
USAA is also known for its affordability. It offers the cheapest car insurance on average compared to all other providers we researched.
Our rate estimates show that good drivers pay around $1,013 per year for comprehensive auto insurance with USAA. The company also offers discounts based on driver safety, vehicle safety, multiple policies, and safety features like airbags and more.
3 Progressive: Low fares for high-risk drivers
Average cost: $$
Number of discounts: 13
Consumption-Based Insurance: Snapshot® (not available in California and North Carolina) If you're under 21, an elderly driver, or have been issued a DUI/DWI, Progressive may be the best auto insurance option for you.
We've found that Progressive tends to be one of the cheapest national providers for high-risk, non-USAA drivers. Our rate estimates also show that safe drivers pay around $1,397 per year for full coverage with Progressive, which trails just behind Geico and State Farm in terms of affordability.
In addition to standard auto insurance, Progressive offers:
- Roadside assistance.
- Rental Car Reimbursement.
- Loan/lease repayment.
- Value of custom gears and parts.
- Shared-ride coverage.
While Progressive gets mixed reviews on customer service, in which the J.D. Power outperformed him in half the regions.
Our 2022 auto insurance survey found that 74% of Progressive policyholders are satisfied with their coverage. In addition, Progressive offers strong financial stability with an A+ rating from AM Best According to the NAIC, the company wrote more than $33 billion in premiums in 2020.
Our team contacted Progressive to comment on the negative review results but received no response.
Progressive offers auto insurance discounts as well as some tools you can use to lower your rates. Using a mobile app that tracks and records your driving habits, Progressive's Snapshot® program rewards safe driving with reward discounts.
According to Progressive, drivers who use Snapshot save an average of $146 on their policies. In California and North Carolina, however, this program is not available.
Drivers interested in progressive policies should also check out the Name Your Price® tool. Based on your vehicle insurance budget, the insurer customizes several coverage alternatives.
4 State Farm: Most Popular Provider
Average cost: $$
Number of discounts: 13
Consumption-based insurance: Drive Safe & SaveTM (not available in CA, MA, and RI) State Farm is another solid choice when it comes to finding the best auto insurance in the business. Our January 2022 insurance survey found the insurer to be the most popular provider among 1,000 respondents, with 13% saying they purchased coverage from State Farm.
State Farm also provides the following coverage options in addition to the basic options:
- Road emergency service coverage.
- Car rental and travel expenses coverage.
- Rideshare Driver Coverage.
Our cost estimates show that good drivers pay around $1,339 per year for comprehensive insurance from State Farm. This makes State Farm one of the nation's cheapest providers.
As the nation's largest auto insurance company, State Farm is no stranger to claims settlement—the company has an A++ rating from AM Best.
According to the NAIC, State Farm will have 16.19 percent of the vehicle insurance market share in 2020. State Farm received fewer complaints than the industry average in 2020, but customer opinion on the Better Business Bureau was mixed.
We selected State Farm as one of the best auto insurance companies in the country, in part because of the safe driving and pay-as-you-go discounts it offers to young drivers. There are two discount programs available through the mobile apps:
- Drive Good & Save: State Farm's Drive Safe & Save smartphone app tracks and rewards safe driving behaviors. By reducing driving behavior such as rapid acceleration, hard braking, and speeding, drivers can earn up to 30% off their premiums. California, Massachusetts, and Rhode Island do not have this program.
- Goog_2109523880Steer Clear: Teens and new drivers can receive training sessions, tutoring, driving practice, and certifications from the program to encourage good driving habits. Upon successful completion of the program, drivers receive a discount on their car insurance premiums.
Good grades, safe driving, defensive driving, car safety features, and completion of driving lessons are all eligible for State Farm auto insurance reductions. At this time, there is no military discount available.
5 Liberty Mutual: Young driver programs that are beneficial
Average cost: $$
Number of discounts: 17
Usage-based assurance: RightTrack in 42 states
Liberty Mutual can be a good auto insurance option for families with young drivers or teenagers. The insurer offers competitive rates and promotions, many of which are geared at young drivers.
In addition to the standard types of insurance, there are several additional coverage options, including:
- 24-hour roadside assistance.
- Reimbursement of the rental car.
- New car replacement.
- Best car replacement.
- Liberty Mutual Deductible Fund.
- Exchange of original parts.
- Car loan/rental with asset protection guarantee.
Liberty Mutual has an AM Best rating of A for its financial stability and ability to pay insurance claims. However, the insurer's customer service has mixed reviews from Trustpilot and the BBB.
Some customers report communication problems, while others rate the company's complaints process positively. In our 2022 insurance survey, 73% of respondents who said they purchased insurance with Liberty Mutual were satisfied with the provider.
Our team contacted Liberty Mutual to comment on these negative reviews and found that the provider is always keen to address customer complaints and is willing to work with customers to resolve any issues.
Liberty Mutual is often an affordable option for policyholders with teenage drivers. However, it may not be the cheapest option for other types of riders. The auto insurer offers a range of discounts, including savings for owners, military personnel, good students, and accident-free drivers.
What types of auto insurance are there?
The majority of vehicle insurers provide six different forms of regular auto insurance. Depending on your state's minimum requirements, certain types of auto insurance policies are required. However, it is always a good idea to purchase full coverage rather than just listing minimum coverage.
- Automobile Liability Insurance: Personal Liability (BI) covers other drivers and passengers if you are at fault in a collision, and Property Damage Liability (PD) covers other cars or property if you are at fault in a collision.
- Comprehensive insurance: Comprehensive insurance protects your vehicle, whatever the defect.
- Comprehensive insurance: Comprehensive insurance covers damage to your vehicle caused by environmental influences, theft, or vandalism.
- Medical Payments (MedPay): MedPay covers all medical expenses for you and your passengers after an accident.
- Personal Injury Protection (PIP): PIP covers medical expenses, lost wages, and death benefits for you and your passengers, regardless of fault.
- Uninsured/Underinsured Motorist Coverage (UM/UIM): This type of coverage protects you if you are involved in a car accident involving a motorist with little or no coverage.
Our January 2022 auto insurance survey found that 67% of 1,000 respondents have comprehensive insurance, which includes a combination of liability, collision, and collision damage waiver.
How much does car insurance cost?
Auto insurance prices depend on many factors, including age, location, credit history, driving habits, and type of vehicle. Based on our estimated rates, 35-year-old drivers with clean driver's licenses and good credit will pay between $1,000 and $2,500 per year for comprehensive auto insurance.
Here are 11 popular insurers and their average annual costs based on our rate estimates:
What affects the cost of car insurance?
The cost of car insurance is affected by a variety of factors, some of which are within the driver's control and others not. When you understand what you can control, you can get the best insurance rate.
Here are the most common factors that affect the cost of car insurance:
- Location – Drivers in larger, more urban areas often face higher car insurance rates. Insurers take into account the increased likelihood of collisions due to the increase in traffic and vehicles per capita in cities.
- Age – Drivers under the age of 25 and older drivers generally have high insurance premiums as these types of drivers are considered to be riskier. New drivers, regardless of age, also have higher car insurance costs.
- Driving History – If you have a culpable accident, traffic violations, or a DUI/DWI on your record, auto insurance will cost more.
- Credit – A good credit tells insurers that a driver is trustworthy and financially responsible, so their auto insurance policy will cost less. Low credit can increase your rates (except in California, Hawaii, or Massachusetts).
- Vehicle type -- Drivers of expensive sports cars often pay more for the best car insurance because repairs after an accident are more expensive.
- Deductible – A lower deductible results in a higher total premium cost.
What is the best way to discover the lowest auto insurance rates?
Getting the best car insurance rates can be difficult, especially with the number of information drivers need to know about policies. We've outlined five key steps below that explain how to find the best car insurance rates for your budget.
1. Get car insurance quotes
Comparing auto insurance rates from several companies is usually a smart idea. The cost of your auto insurance might vary greatly depending on your driving profile and the other criteria outlined above.
Some insurers provide low-cost vehicle insurance for senior citizens, while others provide low-cost auto insurance for new drivers or teens. Check with many vehicle insurers before deciding on pricing. You can compare quotations on your own or with the help of an independent insurance agent.
2. Look for discounts
Companies offer a wide variety of auto insurance discounts, so look around for one that applies to your situation. For example, some providers offer better discounts for students, while others offer discounts for military and professional memberships.
Large providers offer other insurance products such as homeowners, rental, and life insurance, so you'll often find discounts on bundled policies as well.
3. Opt for a higher deductible
Although it may seem boring at first, a higher deductible can significantly lower your overall auto insurance costs.
Ask your insurer what deductible options are available for your insurance plan and discuss how each affects your premium. However, remember that in the event of an accident, you must be able to pay your deductible.
4. Keep your credit score in check
Pay all your bills on time and see if there are other ways to improve your credit score. Paying your bills in full and keeping your balance low will also help improve your credit score.
5. Try telematics insurance
Telematics insurance programs offer discounts based on your driving habits. If you have a short commute and good driving habits, you can save money with a driver safety program or mileage insurance program.
What auto insurance is right for you?
The best car insurance company can vary depending on your needs and the profile of the driver. We recommend Geico as the Editor's Choice provider for most drivers due to its affordability, strong financial position, and positive customer service reviews.