- Compare 10 of the best car insurance providers and their scores in different categories.
- See our top six car insurance recommendations and their pros and cons.
- Read six tips to help you find the best car insurance for you.
Affiliate disclosure: Automoblog and its partners may be compensated when you purchase the products below.
Finding the best car insurance can be a long and frustrating process. All the companies you’ve researched claim to provide the best services at the lowest prices. And you have probably seen all the ads on TV for different companies, all saying they have the best coverage and the highest discounts. But who actually provides the best car insurance on the market?
To help you answer that question, we have done extensive research on the top 32 companies to see how they compare. We’ve narrowed our selection down to our top 10. Our scoring is based on factors such as: availability, customer service, affordability, coverage, industry standing, and online experience.
Keep reading to see a breakdown of our top six choices, and use the form below to get a quote.
| Company | Superlative (if awarded) | Overall Score (%) | Coverage Score (%) | Coverage Score (%) |
|---|---|---|---|---|
| GEICO | Best Overall | 87 | 80 | 80 |
| USAA | Best for Military Families | 87 | 95 | 90 |
| AAA | Best Membership Perks | 85 | 90 | 80 |
| Progressive | Best for New Drivers | 83 | 70 | 80 |
| Liberty Mutual | Best Financial Strength | 83 | 70 | 90 |
| State Farm | — | 82 | 70 | 80 |
| The Hartford | — | 81 | 70 | 90 |
| Allstate | — | 80 | 70 | 80 |
| Nationwide | — | 80 | 70 | 90 |
| Farmers | — | 78 | 70 | 80 |
GEICO: Best Overall
We choose GEICO as our top pick because of their high scores across all our categories. With low premiums and a long list of discounts, GEICO is an excellent choice for anyone on a tight budget. The insurance coverage is also well suited for young drivers, military members, and those who prioritize safe driving habits.
GEICO also makes it easy to sign up by offering all of their services online, whether you are applying for a policy or going through the claims process. Based on our research, GEICO is one of the best car insurance providers on the market.
Years in Business: 84 years (since 1936)
Market Share: 13.44 percent (based on the 2018 NAIC Report)
Availability: All 50 states
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USAA: Best for Military Families
USAA enjoys an outstanding reputation and for good reason. In J.D. Power’s 2019 report of customer satisfaction, they were rated as “among the best” and had the highest scores. From AM Best, they received the highest possible rating of “Superior,” indicating financial stability and thereby making it one of the best car insurance companies.
While USAA would be the best choice for most people, the provider comes with a major limitation. To be insured through USAA, you must have either served in the U.S. Military or be a family member of someone who has served.
Years in Business: 97 years (since 1922)
Market Share: 5.88 percent
Availability: All 50 states, but limited to military members and families
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AAA: Best Membership Perks
Most of us associate AAA with roadside assistance, but they offer much more – including car insurance. The company stands out because of its unrivaled benefits to its members, including discounts on insurance, automotive, bicycle, and locksmith services, as well as select retail, dining, rental cars, etc.
While the company has over 60 million members, note that its services are regionally focused and therefore not available in all zip codes. Another thing to keep in mind is even though the company offers a wide range of discounts, you have to be a member of AAA, which requires you to pay an annual fee to qualify for their insurance and other benefits.
Years in Business: 118 years (since 1902)
Market Share: 1.38 percent
Availability: All 50 states, though coverage is regionally focused
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Progressive: Best Online Experience
Everyone knows Flo, the fictional salesperson from Progressive, but did you know Progressive has a history of being a step ahead of competitors, including being the first to allow people to purchase insurance plans online in the 1990s?
Since then, they have only improved their online experience by adding features, such as Progressive’s Name Your Price® tool that allows you to start with your desired payment and view the best insurance plans.
Progressive also sets itself apart by being more affordable for drivers who have a DUI/DWI on their record. While many auto insurance companies double or even triple payments, Progressive merely increases the premium an average of 6 percent.
But while it may be the best choice for drivers with a history, it should be noted that the average Progressive customer pays $1,500 to $2,000 per year, more than the 2019 national average of $1,470.
Years in Business: 83 years (since 1937)
Market Share: 10.99 percent
Availability: All 50 states
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Liberty Mutual: Best for New Drivers
Liberty Mutual is one of the top insurance companies in the U.S. and sells property and casualty, health, and life insurance policies. Though the company started over 100 years ago in the U.S., it has a large international presence and now operates in 17 countries.
We recommend this insurance company particularly for new drivers, as it has highest new driver discount out of our compared brands. Other discounts include an online purchase discount, a bundling when also purchasing home insurance, and up to 30 percent for drivers with a good record.
As with most car insurance companies, rates depend on your geographic location. This is especially true for Liberty Mutual’s insurance rates, so make sure to get an accurate quote.
Years in Business: 108 years (since 1912)
Market Share: 4.79 percent
Availability: All 50 states
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State Farm: Best Financial Strength
State Farm is the largest auto insurance company in the U.S., accounting for 17 percent of the market, and granting them the best financial strength of the compared auto insurance companies. But what most people associate with the insurance company is not their size or their financial strength, but their customer service agents. If you apply for State Farm insurance, you will be assigned a local insurance agent, whom you’ll work closely with to customize policies or file a claim.
While we consider this personalized service a good thing, some sites display contradicting reviews, leading to a mere average overall customer service rating.
If you don’t want to worry about working with an agent in person, you can visit State Farm’s website or use one of State Farm’s four apps, including the State Farm App, Drive Safe & Save
, Steer Clear®, and the State Farm Pocket Estimator.
Years in Business: 97 years (since 1922)
Market Share: 17.05 percent
Availability: All 50 states
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How To Find The Best Car Insurance
As you call around and get quotes from providers, consider these tips to help find the best car insurance company for you.
1. The only way to ensure you’re getting the lowest rate possible is to shop around.
Be aware that no single insurer is the low-price leader for everyone, and the best car insurance for you might be different than that of another person. Your premium is dependent on several factors, which is why one insurance company that is cheapest for one driver in one location may be the most expensive option for another driver in a different state. Because of this, we recommend you get quotes from different providers to compare their prices.
You can get a head start by filling out the form at the top of the page.
2. Understand the factors that affect your insurance rates.
As mentioned above, several factors determine your rate, so make sure you know what those factors are. The most common include:
- Your credit score
- Your driving history
- Your zip code or state
- Years of driving experience
- Your age and marital status
- The year, make, and model of your car
- The number of miles you drive each month
- How many cars are part of your insurance policy
3. Always ask about possible discounts.
Many insurance companies will offer discounts, so make sure to ask and see what discounts are available to you. Common discounts include, but are not limited to:
- New drivers
- Federal employee
- Full-time students with a good academic record
- Military personnel, veterans, and family members
- Drivers who have taken driver’s ed or defensive driving courses
- Drivers with multiple cars on the same policy or who use the same provider
- Drivers with clean driving records (i.e., accident free for a certain number of years)
- Drivers who have homeowners or renters insurance with the car insurance provider
- Drivers who pay their annual premium in one payment or choosing automatic payments
- Driver’s with insured vehicles possessing airbags, anti-lock brakes, anti-theft systems, or daytime running lights
4. Set the right deductible.
If you have several years of driving experience and a good driving record, you could consider paying a higher deductible, which would lower your premium. The downside is you risk paying more out of pocket in the event of an accident, which is why we only recommend this gamble for more established drivers. But if you do consider it worth the risk, it could lead to savings of hundreds of dollars a year.
5. Regularly check your credit score since a low score may impact your premium.
Unless you live in California, Hawaii, or Massachusetts, your credit score is used to calculate your premium. A Federal Trade Commission study conducted in 2007 found that credit-based insurance scores can be used as an effective predictor of risk under automobile policies. The study found that, as the credit score decreases, the number of claims consumers file increases, as well as the cost of those individual claims. Because of this, insurance companies charge higher-risk consumers higher premiums and lower-risk consumers lower premiums. While this correlation is not always 100-percent accurate, this standard is still used by insurance companies today.
6. Consider skipping comprehensive and collision coverage for an older car.
Collision coverage is intended to pay for repairs to your car if it is damaged by another car or an object, such as a fence.
Comprehensive coverage pays for repairs for damages caused by things such as weather, animal crashes, floods, fire, vandalism, and car theft.
Though these coverages are generally beneficial, the maximum payout for either of these policies is limited by the value of the car. Because of this, if your car is older or has a lot of miles and therefore has a lower market value, it may not make sense to pay for both of these coverages.
To start comparing quotes, fill out the form at the top of page. It’s also important to consider mechanical breakdown insurance as well, which is different than traditional car insurance or extended warranties.
Original article: 10 Best Car Insurance Companies (2020 Review)
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