Our top picks for the best auto insurance companies for February 2023
Amica Mutual - The best car insurance package
Progressive – Best for customizable installments
State Farm - Best for young drivers
Farmers - Best for essential worker and first responder discounts
Nationwide - Best for flexible policies
GEICO - Best Mobile App
Allstate - Best Usage-Based Insurance Program
USAA - Best for military members
Protect yourself and your car with Amica
Getting a free quote from Amica will allow you to see how much you can save on your car insurance policy. Click your state to get stared.
Best car insurance company reviews
Best car insurance package: Amica Mutual
Why we picked it: Amica Mutual made our list for its Platinum Choice Auto policy, which allows drivers to earn Advantage points rewards and save big on deductibles.
Amica Platinum Choice Auto Policy is a turnkey package that includes the basic coverage most people need, plus unique perks like identity fraud monitoring.
Additionally, it offers deductible-free glass coverage, rental car coverage, and an advantage points program where drivers can earn points to reduce deductibles or prevent price hikes after a claim.
For drivers who prefer to pick and choose, Amica divides its coverage into two categories: things you need and things that are nice to have. You can customize your plan to include these extras, but keep in mind that they can make a big difference to your premium.
These add-ons include: MedPay, which provides additional medical coverage for bills and funeral expenses. Collision to cover accident-related damage and Comprehensive Collision to repair non-accident-related damage, such as fire, natural disaster, or theft.
Two important riders that Amica offers are a credit monitoring service that very few competitors offer (Amica includes in the Platinum plan) and Guaranteed Asset Protection (GAP), which covers the “gap” between what you owe and the depreciated value of your car if totaled.
As for customer satisfaction, Amica has received the highest score in the New England region for 10 consecutive years in the J.D. Power Auto Insurance Customer Satisfaction Study. Amica also has a low complaint rate from the National Association of Insurance Commissioners (NAIC) (rate increases and delays in processing claims are frequent problems) and received a B+ on the 2022 CRASH Report Card, where fitters rank insurance companies based on how they handle policies and take payments. .
Amica car insurance discounts
Compiling documents and insuring multiple vehicles
Paperless payments, advance installment payments and autopay
Good driving habits: Being claims-free for three years and taking a defensive driving course
Young drivers: To complete a training program, students with good grades and full-time students outside of school
The presence of anti-theft devices, passive restraint or electronic stability features
Loyalty discounts after two years of insurance
Legacy discounts for drivers under 30 whose parents have been insured with Amica for at least five years
Amica Auto Insurance Tools
Mobile App: Track claims, request roadside assistance, and pay bills
Car Connect tool to compare prices of new and used cars
Best for Customizable Premiums: Progressive
Why we picked it: We picked Progressive as the best car insurance for customizable premiums because the Name Your Price tool lets drivers choose coverage that fits their budget.
Personalization sets Progressive apart from the rest. Using the Name Your Price tool, customers set a budget and Progressive creates a policy to match it. From there, policyholders can pick and choose coverage limits and deductibles.
For example, you can increase your deductible for collision coverage and save your premium; However, note that if you are involved in an accident, you will have to pay a higher amount before the insurance kicks in.
Among the notable additions, Progressive Offers is GAP coverage. For an extra $14 a month, this coverage pays up to 25% of the difference between the car's value and what you owe. Another valuable addition is coverage for custom equipment that you can use to repair any accessories intended to assist with navigation, GPS, or any other customization you've done to the vehicle.
Progressive also covers some things that few other insurance companies do. One is rideshare coverage, which covers if you work any type of rideshare service (Uber, Lyft, or even food delivery), whether you do it full-time or as a side hustle. Additionally, a Progressive collision policy covers medical care for any injuries your pet sustains during an accident.
In terms of savings, Progressive's Telematics Snapshot program uses driving data such as acceleration, braking and distance and gives drivers a discount for safe driving behavior. It also gives customers the option of joining a deductible savings bank. This program puts $50 into savings every six months that goes unclaimed until you reach your deductible. Then, if you file a claim, your deductible will already be paid.
As for customer satisfaction and complaints, Progressive scored 862 out of 1,000 JD. Powers Auto's claims satisfaction study is 20 points below the industry average and places it second to last on the list, while its NAIC complaints index sits around the national average.
Progressive auto insurance discounts
Link your auto insurance policy with home, renters, or life insurance
Insuring several vehicles
Choose automated and paperless payments
Maintain continuous coverage with Progressive
Teen Driver Discounts: Full-time students with good grades and students away from home
Progressive car insurance tools
Find coverage options within your budget using the Name Your Rate tool
Car insurance calculator based on your private and personal data
Get personalized rates with Snapshot, a usage-based insurance program (not available in California or North Carolina)
Mobile app: View your driving status, see recent trips and learn ways to improve your driving
Best for Young Drivers: State Farm
Why we chose it: We chose State Farm as the best car insurance for young drivers because it rewards student teen drivers with a GPA of 3.0 or higher with a savings of up to 25%.
Teen drivers are the most expensive to insure, but State Farm sets itself apart from other insurance companies by offering teen drivers significant discounts that can offset the higher premiums. Through the Good Student Discount Program, policyholders can save up to 25% if their teen driver maintains a GPA of 3.0 or higher until they turn 25. Drivers under the age of 21 can also get a discount for taking a driver training course.
In addition, the “Student Away at School” discount helps customers save by covering only the student while he or she is home for vacations and vacations.
State Farm is known for its network of nearly 19,000 agents in all 50 states. This makes it ideal for people who prefer a more personalized service, and who prefer to have a dedicated agent they can go to with questions.
For its policies, State Farm offers rental car coverage and travel expense coverage when you're in an accident within 50 miles of home. Others cover roadside assistance if your car breaks down (say, you get a flat tire, need a jump, or lock your keys inside the car), while State Farm's travel expense coverage extends its roadside assistance if you're in an accident and covers Comprehensive and accident insurance. This pays up to $500 per loss for expenses such as hotel and food, as well as a car rental while your car is in the shop.
One of State Farm's notable offerings is its Drive Safe and Save Telematics program, which monitors and provides feedback on speed, braking and other driving parameters. State Farm gives you a discount just for signing up and once you start using the app, you can get up to 30% off for safe driving habits.
In J.D. Power's 2021 Auto Insurance Customer Satisfaction Report, State Farm ranked No. 1 among auto insurers in the Southwest region and ranked No. 2 in Texas, New York, New England and the Northwest region. State Farm improved its NAIC Customer Complaint Index and lowered its score from 0.71 to 0.67.
State Farm Car Insurance Discounts
Bundling with renters, homeowners or life insurance policies
Insuring several vehicles
Drive Safe & Save Telematics rewards you for good driving habits
Defensive driving courses (in select states)
Car safety features (seat belt, airbags in older cars)
State Farm Auto Insurance Tools
Mobile App: Pay bills, submit claims, request roadside assistance, view ID cards, and link your bank account
Reserve the car through Enterprise or Hertz
A guide to reliable auto repair shops
Best for Essential Worker and First Responder Discounts: Farmers
Why we picked it: Farmers is our pick for best auto insurance for essential workers for the range of discounts it offers specifically for teachers, health care workers, and other first responders.
Although Farmer's rates are not the lowest on the market, they make up for these rates by offering policies and discounts that many other insurance companies do not offer. One example is the affinity discount, which gives healthcare professionals and members of certain organizations as well as active, reserve or honorably discharged military personnel.
Another notable discount is the Senior Drivers Discount for people over the age of 55 (or 65, depending on the state) who receive state-approved safe driver training. This is important because older drivers, such as teen drivers, pay higher premiums because they are considered riskier to insure.
For classic car enthusiasts, Farmers offers classic car and group insurance. With this coverage, you can protect your belongings at the car show, on the road or even abroad. Policyholders can pair this with parts coverage and get up to $750 for repair or replacement parts, at no additional cost.
One of the disadvantages facing farmers is that the rates are slightly higher than average; However, its unique offerings make it a great option for those willing to spend a little more for custom coverage.
Car insurance discounts for farmers
Compilation of insurance and insurance documents on several vehicles
Student discounts for good grades and moving away from home
Automated, paperless and on-time payments
Shared family car (not available in California)
Theft deterrent systems, anti-lock brakes, and passive restraint systems
Hybrid/electric vehicles or those powered by other alternative fuels (only in California)
Discounts for military members and other essential service professionals
Auto insurance tools for farmers
Mobile App: Chat with an agent, request roadside assistance, and get a quote
Specialized insurance options such as motorcycle and boat insurance
Best for flexible policies: Nationwide
Why we picked it: We picked Nationwide as our best flexible policy because it offers a free annual policy evaluation where drivers can review their coverage, ask questions, make changes, and apply for discounts.
Nationwide offers a variety of standard and optional coverage to choose from. To help drivers choose the right coverage year after year, Nationwide offers the On Your Side Review, an annual evaluation where customers can ask questions about their policy and evaluate whether discounts and benefits are still working for them.
Nationwide offers two programs that can help you save based on your driving habits. SmartRide is a telematics software that tracks your driving (miles driven, idle time, night driving acceleration, braking) and gives you feedback to improve your driving. You can get a 10% discount by signing up and you can save up to 40% depending on how safe you are driving. The other program is SmartMiles which charges a base rate of $60 and a variable rate of $0.07 per mile paid each month.
Nationwide also offers a "fade" for the opponent. This discount rewards you with $100 off for every accident-free year, up to $500. So, let's say you've been working with Nationwide for four years without incident. If you get into an accident in your fifth year, you'll pay a $100 deductible and still earn a $100 annual bonus next year.
Nationwide boasts the lowest NAIC complaint index on the list with 0.39, but its ranking in the J.D. Power U.S. Customer Satisfaction Study was below average.
Car insurance discounts nationwide
Save $646 on average when you bundle your auto and home insurance
Vehicle safety and anti-theft devices
Automatic and paper invoices
Safe Driver rewards for customers who go five years without major violations or at-fault accidents
Complete a defensive driving course
Good student discounts for drivers ages 16-24 who maintain a minimum B average
Nationwide auto insurance tools
Mobile App: Manage insurance policies, make payments, file and track claims and request roadside assistance
SmartMiles, a pay-per-mile car insurance program for drivers who travel low distances
SmartRide, a usage-based car insurance program for safe drivers
Why we chose it: The GEICO mobile app not only gives you access to digital insurance cards and file claims, it also connects to CARFAX which gives you access to your vehicle history and checks for recoveries.
While the first thing that comes to mind when you think of GEICO is its gecko mascot, where its service stands out the most is its completely digital experience, perfect for those who prefer to be online rather than calling customer service.
Through the GEICO mobile app, policyholders can request roadside assistance, upload photos to get damage estimates as well as submit and manage their claims. It can also serve as a kind of "agent in your pocket" that answers insurance-related questions and helps you stay up to date on your car's history, sending you alerts about recalls or when it's time for maintenance.
GEICO offers all standard types of coverage, such as bodily injury liability, collision, comprehensive medical coverage, and uninsured/underinsured. Its site provides a breakdown of these factors along with information about limits, premiums, and deductibles to help customers create a policy that fits their needs and budget.
It also offers a large number of discounts to help customers lower their prices. It is divided into four areas: vehicle equipment, driving history and habits, driver affiliation, and customer loyalty. For example, an anti-theft system discount can save members up to 23% and a driver who has been accident-free for 5 years can save up to 22%.
GEICO also offers notable discounts for the military - one for being an active or retired member and another if you deploy in an emergency. These can save policyholders 15% and 25% respectively. Of all the companies on our list, GEICO is one of only two that offer such discounts to military personnel.
As for third-party ratings, GEICO scored above average in nearly every region surveyed by the J.D. Power 2022 U.S. Auto Insurance Customer Satisfaction Study, with the exception of Texas, the Mid-Atlantic and Southeast regions.
GEICO auto insurance discounts
Discounts on equipment for new cars, airbags, anti-lock brakes, anti-theft systems and more
Be accident free for five years
Using a seat belt, taking defensive driving or driver education courses and being a good student
Affiliation discounts for military and federal employees
Insuring multiple vehicles and multiple insurance policies
Senior driver discounts for drivers over 50 years old
Geico auto insurance tools
Mobile App: Access ID cards, pay bills, request roadside assistance or customer support 24/7
The DriveEasy Telematics program rewards safe driving behavior
Car insurance coverage calculator
Best Usage-Based Insurance Program: Allstate
Why we picked it: We picked Allstate as the best auto insurance for usage-based programs because of its Drivewise Telematics feature, which helps drivers save by tracking their driving, providing feedback, and rewarding them for being safe on the road.
Nowadays, the best car insurance companies offer telematics and our top pick among them is Allstate Drivewise. This telematics technology provides feedback about your driving behavior and rewards you for safe driving. Customers get a 10% discount once they sign up and can save up to 40% with all bundled discounts.
One of Drivewise's notable safety features is crash detection. As the name says, it detects that you've been in an accident — regardless of whether you're the driver or passenger — and sends you a notification offering to call roadside assistance or 911.
Allstate also stands out when it comes to bundling discounts. Customers can get a 10% discount on auto insurance and 25% on homeowners insurance when they obtain both policies. Unlike other providers, Allstate's home insurance policies include flood protection, making bundling a very attractive alternative.
Plus, unlike many competitors, Allstate offers coverage in Mexico for either your own car or a rental while traveling. This makes it a great choice for customers in Texas and other border states.
Having said that, Allstate's lower customer satisfaction scores in both the 2020 J.D. Power studies (claims satisfaction and auto insurance customer satisfaction) may be cause for concern, especially since these scores did not improve much in the 2022 auto insurance study. ( Note (The 2022 Claims Satisfaction Study has not been published). Customer satisfaction varies depending on a specific location, so our advice would be to research the Allstates service in your area to determine if it is right for you.
Allstate auto insurance discounts
Discounts on vehicle equipment for new cars, anti-lock brakes, and anti-theft devices
Multiple policies
Safe driving
Sign your document seven days before it takes effect
Don't miss any payments for a year
Discount for students with good grades, those who study away from home and complete a driver's education programme
Automated payments, full payments and paperless billing
Allstate auto insurance tools
Mobile app: Access ID cards, pay bills, report claims, request roadside assistance and accident support
Drivewise, a usage-based insurance software
Milewise, a pay-per-mile auto insurance program
Bumper-to-Bumper Basics, a tool for choosing the appropriate coverage limits and deductible
Best for Military Members: USAA
Why we picked it: Our pick for the best auto insurance company for military families and veterans is USAA because it specifically serves these groups and has one of the highest customer satisfaction ratings of all the companies we reviewed.
In J.D. Power's 2022 Auto Customer Satisfaction Study, USAA scored the highest in all states and regions studied except California. (Note that USAA did not earn a rank because, according to J.D. Power, it doesn’t meet the study award criteria.)
Like other companies, USAA offers a variety of discounts with some unique features. These include a car storage discount for those members who store their vehicle at a military installation. In this case, customers get up to 60% off their policy and could save up to 15% on comprehensive coverage for storing their car in a military base or installation. It also offers a low-mileage discount that both stateside and deployed members can benefit from.
Another area where USAA shines is its Safepilot telematics program. By enrolling, members get an automatic 10% discount and then stand to earn up to 30% off for safe driving. However, note that Safepilot works through an app, and the latest reviews for these show a pattern of complaints describing the last update as “buggy” and frustrating to use.
Although well known for customer service, recent reviews logged with the Better Business Bureau point to a possible slump. Customers complained about problems with the claims process and inconsistent customer support.
Although USAA is one of the best providers out there for military members, we recommend you make sure that USAA's other insurance policies are a good fit as well, for there may be other providers that offer a better bundle.
USAA car insurance discounts
Safe driver discount for being accident-free for more than five years
Defensive driving discount for taking an approved course
Driver training discount for completing a basic driver training course
A good student discount for teen drivers with good grades
New car discount for a car less than three years old
Multi-vehicle discount
Vehicle storage discount
Family discount
Length of membership savings
Military installation discount
Automatic payments
USAA Auto Insurance Tools
Mobile App: Manage policy, get car insurance quotes, get automatic ID cards and transfer money
Protect yourself and your car with car insurance.
erie
Erie came in as a top auto insurer in J.D. Power's 2022 Auto Customer Satisfaction Study in the Mid-Atlantic and North Central regions.
The price lock feature helps Erie stand out from the rest. This unique feature freezes policyholders' premium year after year - even after a claim is made. We haven't found any other provider that offers this feature.
When it comes to discounts, Erie offers similar offers to others on our list — notable among these are diminishing discounts, first-accident forgiveness, and vehicle storage.
Why Erie didn't make the cut: This provider only operates in 12 states and the District of Columbia.
Mutual freedom
Liberty Mutual didn't make our main list because it has one of the highest complaint ratios with the National Association of Insurance Commissioners (NAIC) of the companies we evaluated. This does not mean that its coverage is weak or incomplete.
Like many other companies, Liberty Mutual offers medical expense payments, uninsured motorist, personal injury protection, liability, collision, and comprehensive coverages. It also provides riders such as roadside assistance, GAP coverage, and rent reimbursement.
Some unique features include coverage for teachers storing valuable supplies in their cars and its lack of limits on the discounts you can get. It also provides a coverage calculator right on its site that you can use to determine the level of protection you want.
Why Liberty Mutual didn't make the cut: Liberty Mutual didn't make our main list because it has one of the highest complaint ratios with the National Association of Insurance Commissioners (NAIC) of the companies we evaluated.
travelers
Travelers can give you a quote in five minutes or less, and you don’t even have to provide a driver’s license number. If you request your car insurance quote while you’re still insured with another company, you might receive a discount of up to 10% once you sign up.
Travelers' coverage options include liability, collision, comprehensive, personal injury protection and medical expenses. It also offers additional coverage options like loan/lease GAP coverage, rental reimbursement, accident forgiveness, new car replacement and roadside assistance. Note that it only offers rideshare coverage for Uber or Lyft drivers in Colorado and Illinois.
Travelers’ didn't make our list because it doesn’t offer car insurance in Alaska, Hawaii, Louisiana, Michigan, South Dakota, North Dakota or West Virginia.
Why Travelers didn’t make the cut: Travelers didn't make our best auto insurance list because it doesn’t offer policies in Alaska, Hawaii, Louisiana, Michigan, South Dakota, North Dakota or West Virginia.
QuoteWizard
If you’d like to compare car insurance quotes from different companies, the QuoteWizard marketplace is a great option. Its site makes it fairly easy to compare quotes and types of coverage from the major companies, saving you the time it would take to contact each individual provider.
Do note that the quotes provided are estimates as there are many factors that affect your premium and average rates, including your vehicle make and model, location and, of course, the type of coverage you want. You’ll also have to check local and state laws to make sure your policy meets the minimum liability requirements.
QuoteWizard didn't make our list because it's a marketplace, not an insurance provider, so its prices don't reflect the price customers will end up paying.
Why QuoteWizard didn't make the cut: QuoteWizard didn't make our list because it's a marketplace, not an insurance provider, so its quotes don't reflect the price customers will end up paying.
Spark Auto Insurance
Spark Auto Insurance is an online marketplace where customers can compare rates and coverage from some of the best insurance companies on the market like Progressive, State Farm, Liberty Mutual, Travelers, and Allstate.
This network of providers offers standard and optional coverage options, such as bodily injury liability, tort liability, collision, comprehensive personal injury, medical payments, and uninsured motorist, among others.
To get a quote, users need to enter basic information such as address, vehicle type, model, and marital status. Spark then returns the result of one or more providers offering a policy to match their particular profile.
Why Spark Auto Insurance Didn't Work: When we tried to get quotes for a hypothetical customer, it only yielded one result.
Car insurance guide
In this section, you'll learn what auto insurance covers, the types of coverage most companies offer, and what can raise (or lower) your monthly premium.
We also include a step-by-step guide on buying car insurance and explain why car insurance is worth your money.
How does car insurance work?
Auto insurance helps you cover losses resulting from theft, collision, and liability involving your vehicle. In simple terms, you pay premiums to the insurance company, and you pay for any losses as stipulated in your policy, which generally includes damage to other vehicles and injury to the people involved.
These policies always feature a deductible, that is, an amount you must pay out of pocket before the insurance company covers the rest. It can range from $250 to $2000. Policies with higher deductibles will cost less than those with lower deductibles because you will incur more of the cost of repair or replacement if an accident occurs.
However, car insurance does not usually cover property inside your car. For example, if someone breaks into your car and steals your laptop, the insurance company will pay to replace the window and any other damage done to the car, but not the computer. In order to cover this, you'll need homeowners or renters insurance.
Auto insurance is regulated at the state level, so your policy's minimum liability limits depend on local laws. With the exception of New Hampshire and Virginia, all other states require drivers to purchase car insurance or pay some type of fee if they do not have insurance.
Types of car insurance coverage
There are seven standard components of auto insurance coverage:
Liability insurance includes property damage and bodily injury liability; The latter covers medical expenses for others resulting from an at-fault accident.
Uninsured/underinsured motorist coverage covers medical bills and repairs if you are involved in an accident caused by another driver with little or no insurance.
Comprehensive coverage covers repairs if your vehicle is damaged by something other than another vehicle (including hail, fire, flood, theft, and vandalism).
Collision coverage covers the costs of repairing your car if you are involved in a car accident that is considered your fault.
Medical payments coverage covers medical expenses if you or your passengers are injured in an accident.
Personal injury protection (PIP) , also known as no-fault insurance, covers medical bills, lost wages and funeral costs for you or your passengers in the event of an accident, regardless of who is at fault.
Guaranteed Asset Protection (GAP) , supplements your car insurance when you owe more on the car than its cash value. This will not usually be covered under a regular policy.
Additionally, optional insurance riders can give you additional coverage such as roadside assistance, glass replacement, and rent reimbursement at an additional cost.
What does full coverage car insurance cover?
Full coverage auto insurance refers to a combination of liability, collision, and comprehensive coverage. These coverage options protect drivers financially by compensating them for damage to their vehicle, passenger injuries, and any damage to other vehicles and their passengers.
How much is car insurance?
Auto insurance costs $1,204 on average, according to a recent National Association of Insurance Commissioners (NAIC) auto insurance database report. However, this can vary greatly depending on a wide range of factors. In fact, the NAIC explicitly states that state-to-state comparisons are difficult to make due to the high degree of variation in insurance requirements and other factors.
Common factors that increase premiums
While your driving record and the type of car you drive influence your premium, there are other factors that affect what you pay for car insurance. Broadly speaking, the higher the risk you seem to present for an insurer, the higher the premium will be.
What drives up car insurance premiums?
Here are some of the factors that will determine your premium.
Car usage: If you don’t drive often, there are fewer chances you’ll be involved in an accident. The opposite is also true; the more you drive, the more likely the insurance company has to pay out a claim, which leads to higher premiums.
Place of residence: Where you live influences your car insurance premium. Generally, metropolitan areas like New York City, for instance, have higher vehicle theft and vandalism rates than rural neighborhoods, which means a higher risk.
Age: Drivers under the age of 25 usually pay higher premiums because insurers see inexperience as a contributing factor in accidents. Teenagers, therefore, are considered high-risk drivers and will often have to pay the highest premiums.
Gender: Statistically speaking, women are involved in fewer car accidents than men, resulting in lower premiums.
Marital status: Insurers consider married drivers as safer than single drivers.
Commuting: Insurance companies ask for mileage information, such as how many miles you drive annually, because long commutes increase your risk of getting into an accident. Some companies have specific guidelines for determining if your vehicle is known as a pleasure car (about 7,500 per year or 20 miles per day), and offer lower rates.
Homeowner status: In general, insurance companies consider homeowners to be more financially stable, and therefore less risky, than renters.
Own luxury or sports cars: These cars cost more to repair, have higher vehicle theft rates and an abundance of horsepower, making them more expensive to insure.
Accidents or tickets: Can increase your payments for three years or more.
Credit score: While some states have banned this practice, many states still allow insurance companies to use credit-based insurance scores to rate policies. Statistical data reveals that drivers with poor credit are more likely to file insurance claims.
How to lower your car insurance premium
There are things you can do to lower the cost of your car insurance. You may already know about bundling and deductibles, but there are other things you can do to help offset the high cost of insurance.
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