Best Car Insurance

If you’re looking for car insurance, you’ll have a lot of options and likely find a wide range of rates for the same coverage. Many auto insurance companies claim to be able to save you money, but which has the best rates as well as top service?
Based on typical car insurance rates, levels of complaints, and grades for accident claims from auto body repair professionals provided by CRASH Network, we examined insurers to determine the best car insurance companies.
The best car insurance company isn’t always the cheapest. It’s tempting to browse for a new insurance policy only on pricing, but you need a company that will be there for you when the time comes to file a claim. After all, you don’t want to select the cheapest car insurance quote just to discover that it doesn’t give the necessary coverage.

Our Best Car Insurance Companies for 2022 use real customer reviews and pricing data to help you pick the best car insurance policy for you.

The best car insurance company isn’t always the most affordable. It’s tempting to browse for a new insurance policy only on pricing, but you need a company that will be there for you when the time comes to file a claim. After all, you don’t want to select the cheapest car insurance quote just to discover that it doesn’t give the necessary coverage.

Our Best Car Insurance Companies for 2022

To select the best car insurance companies, Businessyield’s editorial team evaluated pricing, discounts, complaint statistics from the National Association of Insurance Commissioners, and other factors. Our “ease of use” category includes characteristics such as website transparency and how simple it is to register a claim. This ranking of the best auto insurance companies is likely to vary as we continue to assess more insurance providers and get new market data.

Top 10 Car Insurance Companies in 2022

  • USAA: The best overall car insurance company.
  • State Farm: The best all-around car insurance company.
  • Clearcover: The best for digital presence
  • Geico: The best option for high-risk drivers.
  • Travelers: The best option for low-cost drivers
  • Erie: The best choice for comprehensive coverage.
  • Auto-owners: The best for discounts.
  • Amica: The best for claim satisfaction.
  • Nationwide: The best for Personalized coverage.
  • Progressive: The best for digital policy management.
  • Allstate: The best option for high-value vehicles.

USAA: The Best Overall Car Insurance Company.

Why this company made our list: USAA easily makes our list of the best car insurance companies for October 2021, with the highest Businessyield Score of the auto insurers Businessyield reviewed, national availability for active-duty military, veterans, and their families, and top-tier customer service. USAA, which is only available to current or former military members and their families, is a top performer in J.D. Power customer satisfaction surveys, has excellent financial strength as rated by AM Best, S&P, and Moody’s. It still manages to provide some of the industry’s lowest-priced auto insurance quotes.

Why USAA is the best overall car insurance provider: USAA receives top rankings for customer service and financial strength from all major third-party agencies. In addition to having the lowest average full coverage rate on our list, military and veteran families have access to a variety of coverage alternatives, prizes, and discounts, as well as special circumstances like deployment for active-duty members. While not all drivers may be eligible for USAA coverage, the company stands out for millions of military families across the country.

Policyholders looking for military-related coverage may benefit from this.

Annual full coverage car insurance rates on average

Clean record
One speeding ticketOne accidentAverage credit
National average$1,674$2,062$2,311$1,865

State Farm: Best Overall Car Insurance Company.

Why we chose this company: State Farm’s scope and reputation as the largest national auto insurer by market share readily lends itself to becoming one of the best car insurance companies for drivers in any state. Its strong local agent network demonstrates its customer-first approach to providing consumers with a wide range of personal and commercial insurance products.

Why State Farm is the best car insurance company overall: State Farm has the highest Bankrate Score among all carriers offered to all drivers nationwide. The company has over 19,000 certified insurance professionals available in locations around the United States who can provide help to consumers who desire expert insight while discussing their policy. Digital management solutions, like a highly-rated mobile app where you can file auto claims and contact your agent, allow for an on-the-go strategy.

Who this may be best for: policyholders looking for top-rated insurance coverage from local agents.

Annual full coverage car insurance rates on average

Clean record
One speeding ticketOne accidentAverage credit
State Farm$1,457$1,590$1,657$1,656
National average$1,674$2,062$2,311$1,865

Clearcover: The Best Car Insurance Company for Online Presence

Why we chose this company: Clearcover’s technology-driven auto insurance is reshaping the insurance landscape, making it a strong contender for any driver looking for the best modern auto insurance experience. The digital method of the insurance company enables it to sell relatively affordable policies.

Why Clearcover is the best choice for online presence: Despite the fact that it is now only offered to drivers in 16 states, Clearcover is disrupting the auto insurance business by focusing on technology. The carrier leverages artificial intelligence-based digital solutions to revolutionize how car insurance is quoted, purchased, and serviced. Clearcover’s highly rated mobile app places policy management in the hands of consumers. Clearcover’s streamlined approach allows it to pay most auto claims in less than a week, with some being eligible for same-day processing.

Policyholders looking for a technology-driven insurance experience may find this to be the best option.

Geico: The best car insurance company for high-risk drivers.

Why we chose this company: Geico’s lengthy history as a solid household name auto insurer is reflected in its high Businessyield Score. This is one of the reasons we included it as a top company for dependable car insurance. Coverage is provided for almost every type of driver, making car insurance coverage available to customers with a blemished driving record.

Why Geico is the best option for high-risk drivers: Geico is one of the few top car insurance companies that will issue policies for drivers even if they have had high-risk accidents, such as DUI convictions. While high-risk policies will always be more expensive than ordinary coverage, a high-risk driver may often struggle to obtain available coverage options, particularly from major insurers. For the majority of individuals, Geico is an easily accessible alternative. Drivers with a bad credit-based insurance score are also more likely to find better rates with the insurer, since complete coverage in this credit category costs an average of $1,978 per year, compared to the national average of $3,873 per year for those with poor credit standing.

Who this may be best for: policyholders who are considered high-risk drivers or have poor credit.

Annual full coverage car insurance rates on average

Clean record
One speeding ticketOne accidentAverage credit
National average$1,674$2,062$2,311$1,865

Travelers: The Best Car Insurance Company for Low-income Drivers.

Why we chose this company: Travelers is a reputable insurer with over 150 years of experience in the auto insurance sector. Its strong independent agent network, rich savings options, and established financial track record make it a viable alternative for drivers across the country.

Why Travelers is the best option for low-budget drivers: Travelers’ average full coverage car insurance rates are $349 less than the national average. Affinity group discounts, continuous payment, and the firm’s own usage-based insurance technology, IntelliDrive, which records your driving in real-time and offers discounts for safe behaviors, are among the several car insurance discounts offered by the company. Customers do not rate Travelers’ claims satisfaction as highly as they do other companies evaluated by Businessyield. This may be worth considering when weighing low-cost coverage against your chances of filing claims.

Policyholders looking for economical complete coverage may benefit from this.

Annual full coverage car insurance rates on average

Clean record
One speeding ticketOne accidentAverage credit
National average$1,674$2,062$2,311$1,865

Erie: The best car insurance company for comprehensive coverage.

Why we chose this company: We put Erie on our list since this super-regional insurer is generous with ‘optional’ coverages in its plans and scored competitively across all third-party agencies we researched. Erie also provides discount benefits and reasonable rates to young drivers, who often have the highest rates of any driver age category. According to our analysis of stated annual premiums from Quadrant Information Services, drivers between the ages of 16 and 18 pay more than 43 percent less than the national average. Although coverage is not offered nationally, Erie’s strong Businessyield Score contributes to its position on our list of best car insurance carriers for 2022.

Why Erie is the best choice for comprehensive coverage: Many coverage kinds and features that many competitors only provide as optional add-ons are automatically included in Erie’s full coverage plans. Drivers can take advantage of bundled rideshare insurance, accident forgiveness, and Erie’s Rate Lock feature, which may help keep your premiums consistent over time. Despite being only offered in 12 states, the company offers comprehensive coverage and positive claims experience to drivers in its service areas.

Policyholders looking for comprehensive coverage may benefit from this.

Annual full coverage car insurance rates on average

Clean record
One speeding ticketOne accidentAverage credit
National average$1,674$2,062$2,311$1,865

Auto-Owners: The Best Car Insurance Company for Discounts

Why we chose this company: Auto-Owners is another super-regional insurer with a good reputation for delivering exceptional auto coverage and the highest J.D. Power claims satisfaction rates of any company on our list of best car insurance companies. Drivers in 26 states can take advantage of its extensive coverage and savings alternatives.
Why Auto-Owners is the best place to get discounts: Auto-Owners has an amazing selection of 12 discounts, which many drivers are likely to qualify for. Drivers can save money by getting a quote before their current policy expires, or by choosing paperless billing and payment options. The company offers three types of student discounts, making it an excellent choice for parents of adolescent drivers or young drivers who need to evaluate their own coverage.

Policyholders looking for discount choices may benefit from this.

Annual full coverage car insurance rates on average

Clean record
One speeding ticketOne accidentAverage credit
National average$1,674$2,062$2,311$1,865

Amica: The Best Car Insurance Company in terms of Claim Satisfaction.

Why we chose this company: According to Businessyield’s review, Amica’s outstanding claims service and customer-centric business approach distinguish it as a standout choice for drivers looking for the best car insurance company.

Why Amica is the best choice for claim satisfaction: Amica is the second-highest rating carrier for claims satisfaction among the major auto insurers assessed by J.D. Power, scoring 32 points more than the industry average. Customers can use the company’s online claim center to easily report a claim, upload supporting documents, and track the claim’s progress with a few simple clicks. Its customer service experts are available to policyholders 24 hours a day, seven days a week.

Who this may be most suitable for: policyholders who place a high value on customer service.

Annual full coverage car insurance rates on average

Clean record
One speeding ticketOne accidentAverage credit
National average$1,674$2,062$2,311$1,865

Nationwide: Best Car Insurance Company in the United States for customized coverage

Why we chose this company: According to Businessyield’s study, Nationwide’s choices for tailoring coverage based on particular needs secure it as a top car insurance company for 2022. Customers are likely to get the answers they need to customize a Nationwide policy to their particular needs. They have countrywide availability and a website full of beneficial insurance information.

Why is Nationwide the best choice for customized coverage? Drivers can customize their Nationwide policy by selecting standard coverage, usage-based insurance, or pay-per-mile. Its telematics products, SmartRide and SmartMiles, can help you get a discount based on safe driving practices or provide a customizable premium based on vehicle usage, respectively. Optional coverage is not as extensive as it is with some of the other vehicle insurance on our list, but customizable alternatives provide essential control over your financial security.

Policyholders looking for customized coverage alternatives may benefit from this.

Annual full coverage car insurance rates on average

Clean record
One speeding ticketOne accidentAverage credit
National average$1,674$2,062$2,311$1,865

Progressive The Best Car Insurance Company for getting a Tailored Rate.

Why we chose this company: Progressive’s useful rate tools and good customer satisfaction assist to secure its place as one of our top car insurance picks. With Progressive Insurance, consumers may save money based on their individual budget and driving habits wherever in the United States, backed by a financially sound company that has high ratings from third-party agencies.

Why Progressive is the best digital policy management platform: Progressive offers various methods for drivers to save time and money by managing their policy online, including the Snapshot app, a telematics program that analyzes driving and offers discounts for safe driving. Even if you are still unsure about which policy is best for you, you can utilize its online Name Your Price feature to customize your buying experience and explore coverage alternatives based on your budget. The Progressive mobile app provides immediate access to coverage reviews, ID cards, bill payment, and claim filings.

Who this could be useful for: Policyholders looking for a more personalized rate experience.

Annual full coverage car insurance rates on average

Clean recordOne speeding ticketOne accidentAverage credit
National average$1,674$2,062$2,311$1,865

Allstate: The Best Car Insurance Company for High-value Vehicles.

Why we chose this company: Allstate, the fourth-largest insurer in terms of market share, has a long-range of beneficial coverage options that make it a standout option for many drivers, but especially those with distinctive automobiles. Allstate’s rewards program provides value by allowing drivers to earn points for hotels, gift cards, and other fantastic advantages.

Why Allstate is the best choice for high-value vehicles: Allstate is one of the few insurers that provides coverage for specialized equipment. The company’s full coverage insurance is more expensive on average when compared to the other carriers on Bankrate’s list, but drivers who have spent money customizing their vehicles with the best sound equipment are likely to require more extensive coverage, which Allstate provides. Classic and antique car collectors can choose Allstate’s classic car insurance to account for the vehicle’s higher intrinsic worth in the event of costly damage.

Policyholders looking for coverage for classic or custom vehicles may benefit from this.

Annual full coverage car insurance rates on average

Clean record
One speeding ticketOne accidentAverage credit
National average$1,674$2,062$2,311$1,865

How to Compare the Best Car Insurance Companies

When comparing multiple car insurance companies, having an apples-to-apples comparison might be beneficial. While an average yearly premium estimate may be a decent first indicator of how a company will compare to others, it does not tell the whole story. Quotes should ideally include the same levels and types of coverage, as well as the same person and vehicle information provided to each company. Depending on your insurance experience preferences, it may also be useful to review trusted third-party ratings, such as J.D. Power customer satisfaction ratings, the NAIC consumer complaint index, and financial strength grades from multiple credit rating agencies, for an additional assessment of a company’s performance. Your insurance agent can assist you in obtaining this type of information on the vehicle insurers in question.

What you should know about Car Insurance

What is Car Insurance, and How does it work?

Auto insurance is a type of financial protection that covers a wide range of vehicle mishaps that may include you, your vehicle, or others and their vehicles. Insurance has a policy term that you and your insurer agree on when you buy it — usually six months or a year. While most states mandate a certain minimum quantity or kind of coverage, industry experts normally recommend obtaining more robust financial protection that matches your budget to secure your funds in the event of a significant loss.

Certain incidences of injury, damage, or responsibility will be covered by auto coverage. Coverage limits can be set to meet your desired level of financial security. Because not all coverage types are available in all states or for all plans, it’s critical to understand your alternatives for financial protection. Furthermore, deductibles are frequently unique to specific coverage kinds, and taking on more financial responsibility on your end – choosing a higher deductible — might lower your premium cost.

Automobile accidents and other types of loss or damage, such as hail storms, floods, and vandalism, can be expensive to cover out of pocket. When you buy car insurance, you add a financial safety net that divides any damage you are liable for after a covered incident between you and your car insurance company.

While your specific level of coverage may vary depending on the insurance you select, submitting a claim might potentially offer you compensation for loss caused by an uninsured motorist, weather catastrophe, theft or vandalism, or a variety of other harmful incidents. Similarly, if you are in a collision with another driver and they are at fault, their auto insurance will pay for your medical bills and property damage (depending upon the state).

What are the Types of Car Insurance Coverage?

Auto insurance providers, such as those listed by Businessyield, often provide the following standard coverage types:

  • Bodily injury liability coverage compensates others for injuries caused by you in an at-fault collision.
  • Property damage liability coverage compensates you for any damage you cause to another person’s car or property (such as a fence, pole, or building) in an at-fault collision.
  • Collision coverage is included in “full coverage” and pays for collision-related damages to your car. If you collide with another car, a tree, a pole, a building, or a pedestrian, your collision coverage will pay for the damage to your vehicle. According to the Triple-I, around 75% of drivers have this optional coverage.
  • Comprehensive coverage, which is included with comprehensive coverage, covers for damage to your car caused by non-collision losses such as theft, vandalism, and storm damage. Comprehensive also covers damage caused by a collision with an animal and shattered windshields. According to Triple-I, around 80% of drivers have this optional coverage.
  • Uninsured/underinsured motorist coverage covers for injuries and property damage caused by a driver who either does not have enough coverage or does not have any coverage at all. According to the most recent Insurance Research Council research, one in every eight U.S. drivers was uninsured in 2019.
  • Personal injury protection, often known as no-fault insurance and available in only a few jurisdictions. It compensates for medical expenses incurred by you and your passengers as a result of an accident, regardless of responsibility. It also takes into consideration non-medical expenses incurred as a result of the injury, such as lost earnings or childcare.
  • MedPay is comparable to PIP insurance coverage in that it solely covers medical expenses. It is mandated in some states, typically those that do not provide PIP.

What are the Kinds of Car Insurance Discounts?

Finally, most major vehicle insurers provide the following discounts that may help you reduce your premium:

  • Multi-policy, also known as multi-line or bundling, could gain you a discount on each policy if you insure your insurance with the same company that insures your house or umbrella insurance.
  • If you cover more than one vehicle on the same policy, you may be eligible for a multi-car discount.
  • If you have no losses on your driving record for three to five years, you may be eligible for claims-free coverage.
  • Full-time students under the age of 25 with a certain grade point average or letter grade average are normally eligible for a good student discount.
  • Telematics programs are getting increasingly popular. These usage-based insurance systems use a smartphone app or a plug-in device to track your driving habits. The safer you drive, the more money you could save.

Keep in mind that insurance regulations differ from state to state. This implies that certain types of coverage and savings may not be accessible where you reside.

Why does where you live matter when it comes to car insurance?

Auto insurance rates are determined by a variety of criteria, the most important of which are your city, state, and ZIP code. If you have just relocated, it may be a good idea to research providers to check that your current car insurance company is still the best fit for your needs. This is especially true if you have moved across state boundaries, as auto insurance is not uniform across the country.

What is the Average Cost of Car Insurance?

When answering the typical question “how much is car insurance?”. It’s crucial to understand that rates are heavily influenced by the personal rating criteria and vehicle information drivers offer when requesting a quote. However, when reviewing your quoted rate, you can still utilize the national average as a useful point of reference. Full coverage insurance costs an average of $1,674 per year in the United States. A policy with “full coverage” covers liability, collision coverage, and comprehensive coverage.

Other considerations, aside from your chosen policy type — minimal or full coverage — will have a considerable impact on your final cost. It is critical to note that insurers base car insurance rates on a perceived degree of risk. This may include an evaluation of your driving record, age, gender, marital status, credit-based insurance score, claim history, and the likelihood of claims in your area (not all states permit the use of age, gender, marital status, credit or ZIP code). Insurers will also evaluate the kind and model of your car, as well as its age and safety features. The lower your rate will be, the less danger the combined elements offer for you as an insured motorist. Because each insurer weighs each element differently, obtaining numerous quotes ensures that you get the best option for cost and coverage.

How to Find the Best Car Insurance Companies

Each auto insurer offers a unique set of perks. Knowing your insurance requirements ahead of time might help you quickly narrow down the best car insurance company. You should consider which aspects of an insurance company are most important to you.

Do you want to be guided by a local agent when choosing coverage, or do you prefer a more modern and self-directed experience? If you intend to add a young driver to your insurance, you should look for firms that provide low-cost coverage and a variety of student discounts. Drivers who only drive their car sometimes may benefit from insurance that offers usage-based telematics systems. Regardless of your requirements, there will almost certainly be a few insurers that stand out from the crowd based on your goals.

Best Car Insurance FAQ’s

Which type of car insurance is best?

Getting a comprehensive vehicle insurance policy is usually a good idea because it covers not just someone else’s automobile, as Third-Party car insurance does, but also your own damages to your car and any injuries to the owner-driver.

What are the 4 types of insurance?

Automobile insurance, health insurance, vacation insurance, and home insurance are all examples of general insurance.

What are three types of car insurance?

Liability, comprehensive, and collision insurance are the three types of car insurance that are universally available. Other types of auto insurance coverage, such as personal injury protection and uninsured/underinsured motorist coverage, are still available to drivers, although not in every state.

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