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A Comparative Analysis of Leading Car Insurance Companies

 

A Comparative Analysis of Leading Car Insurance Companies

Here Are the Best Car Insurance Companies in 2024:

Best Insurance Company Overall

Winner: Travelers
Average Annual Full Coverage Rate: $1,681

Best Insurance Company for Affordability

Winner: NJM
Average Annual Full Coverage Rate: $1,424

Best Insurance Company for Accident Forgiveness

Winner: Geico
Average Annual Full Coverage Rate: $1,846

Best Insurance Company for Having Few Customer Complaints

Winner: American Family
Average Annual Full Coverage Rate: $1,791

Best Insurance Company for Financial Strength

Winner: Auto-Owners
Average Annual Full Coverage Rate: $1,477

Best Insurance Company for Discounts

Winner: Amica
Average Annual Full Coverage Rate: $2,481

Best Insurance Company for Customer Satisfaction

Winner: State Farm
Average Annual Full Coverage Rate: $1,976

Best Insurance Company for Military Members

Winner: USAA
Average Annual Full Coverage Rate: $1,432

How We Found the Best Auto Insurance

Our  editorial team considered pricing, discounts, complaint data from the National Association of Insurance Commissioners, and more to determine the best car insurance companies. As we continue to evaluate more insurance companies and receive fresh market data, this collection of best auto insurance companies is likely to change.

Here are the categories we evaluated each car insurance company on, plus the weights we placed on each:

  • Financial Strength (30%): The best auto insurers are financially stable. Financial strength ratings indicate an insurer's ability to pay future claims. This category is based on assessments from independent agencies like AM Best, Moody's, and Fitch.
  • Consumer Complaints (30%): The best car insurance companies have a low number of customer complaints relative to their size and are able to keep their customers happy. This category is based on complaints received by state insurance regulators and reported to the National Association of Insurance Commissioners.
  • Ease of Use (20%): The best auto insurers provide the information people need to make a purchase without any surprises along the way. This category is based on how easy it is to get quotes, file and track claims, learn about coverage and payment options, plus mobile app ratings.
  • Affordability (20%): The best auto insurance companies offer multiple ways to get a lower price, and this category is based on how many discounts a company offers.

Best Car Insurance Companies

Best Company Overall: Travelers

Why it’s the Best: Travelers tops our list as the company with the best overall score in 2024 out of the insurers we ranked. Because our auto insurance ratings reward companies for customer-first features and practices, this category represents an overall solid choice for drivers seeking a well-rounded insurance company.

Travelers Average Annual Rates for a 35-Year-Old Driver with Good Credit:

  • Good Driver: $1,681 (Full Coverage), $520 (Minimum Coverage)
  • Driver with an At-Fault Accident: $2,376 (Full Coverage), $686 (Minimum Coverage)
  • Driver with a Recent DUI: $2,950 (Full Coverage), $884 (Minimum Coverage)
  • Driver with a Recent Speeding Ticket: $2,227 (Full Coverage), $660 (Minimum Coverage)

Best for Your Budget: NJM

Why it’s the Best: New Jersey Manufacturers Insurance, or NJM, is the best car insurance company when it comes to your wallet. According to our analysis, NJM’s average rate for full coverage insurance is $119 per month, the lowest out of our list of the best car insurance companies.

NJM Average Annual Rates for a 35-Year-Old Driver with Good Credit:

  • Good Driver: $1,424 (Full Coverage), $615 (Minimum Coverage)
  • Driver with an At-Fault Accident: $1,545 (Full Coverage), $672 (Minimum Coverage)
  • Driver with a Recent DUI: $1,870 (Full Coverage), $824 (Minimum Coverage)
  • Driver with a Recent Speeding Ticket: $1,870 (Full Coverage), $824 (Minimum Coverage)

Best for Accident Forgiveness: Geico

Why it’s the Best: Geico offers two potential ways to get accident forgiveness so your rates won’t increase and you won’t lose your good driver discount after a crash. You can earn it for free by remaining an accident-free Geico customer for five years, or you can pay for it. Accident forgiveness can be used for any eligible driver on your policy, but it isn’t available in California, Connecticut, and Massachusetts.

Geico Average Annual Rates for a 35-Year-Old Driver with Good Credit:

  • Good Driver: $1,846 (Full Coverage), $491 (Minimum Coverage)
  • Driver with an At-Fault Accident: $3,112 (Full Coverage), $825 (Minimum Coverage)
  • Driver with a Recent DUI: $4,420 (Full Coverage), $1,113 (Minimum Coverage)
  • Driver with a Recent Speeding Ticket: $2,341 (Full Coverage), $619 (Minimum Coverage)

Best for Having Few Customer Complaints: American Family

Why it’s the Best: American Family received far fewer customer complaints for auto insurance than similar-size companies and received the fewest complaints out of the insurers on our 2024 best companies list. The company spotlights its Facebook customer reviews on its main website. It also encourages customers to voice concerns and opinions through multiple customer support channels, including over the phone, email, and site feedback.

American Family Average Annual Rates for a 35-Year-Old Driver with Good Credit:

  • Good Driver: $1,791 (Full Coverage), $687 (Minimum Coverage)
  • Driver with an At-Fault Accident: $2,642 (Full Coverage), $1,018 (Minimum Coverage)
  • Driver with a Recent DUI: $2,433 (Full Coverage), $889 (Minimum Coverage)
  • Driver with a Recent Speeding Ticket: $2,167 (Full Coverage), $832 (Minimum Coverage)

Auto-Owners Average Annual Rates for a 35-Year-Old Driver with Good Credit:

  • Good Driver: $1,477 (Full Coverage), $374 (Minimum Coverage)
  • Driver with an At-Fault Accident: $2,018 (Full Coverage), $519 (Minimum Coverage)
  • Driver with a Recent DUI: $3,014 (Full Coverage), $867 (Minimum Coverage)
  • Driver with a Recent Speeding Ticket: $1,968 (Full Coverage), $524 (Minimum Coverage)

Best for Discounts: Amica

Why it’s the Best: If you’re looking to save on your auto policy, Amica may be worth a look. The company offers more discounts than most other insurers, including discounts for owning a home, insuring more than one vehicle, taking a defensive driving course, and setting up automatic payments. Just keep in mind that the company with the most discounts will not necessarily be the cheapest.

Amica Average Annual Rates for a 35-Year-Old Driver with Good Credit:

  • Good Driver: $2,481 (Full Coverage), $755 (Minimum Coverage)
  • Driver with an At-Fault Accident: $3,222 (Full Coverage), $1,016 (Minimum Coverage)
  • Driver with a Recent DUI: $9,157 (Full Coverage), $2,566 (Minimum Coverage)
  • Driver with a Recent Speeding Ticket: $3,169 (Full Coverage), $982 (Minimum Coverage)

Best for Customer Satisfaction: State Farm

Why it’s the Best: The largest personal auto insurance company in the country, State Farm ranked No. 1 among eight large insurers in J.D. Power's 2023 U.S. Insurance Shopping Study. The same year, it ranked No. 5 out of 24 companies in J.D. Power’s U.S. Auto Claims Satisfaction Study and first for overall satisfaction in the Southwest.

State Farm Average Annual Rates for a 35-Year-Old Driver with Good Credit:

  • Good Driver: $1,976 (Full Coverage), $471 (Minimum Coverage)
  • Driver with an At-Fault Accident: $2,488 (Full Coverage), $615 (Minimum Coverage)
  • Driver with a Recent DUI: $2,940 (Full Coverage), $800 (Minimum Coverage)
  • Driver with a Recent Speeding Ticket: $2,237 (Full Coverage), $553 (Minimum Coverage)

Best for Military Members: USAA

Why it’s the Best: USAA is the top auto insurance company for military members. Only available to active military, veterans, and their families, the company has relatively low insurance rates and provides other financial solutions for qualifying customers, such as banking and investment products. USAA has high customer satisfaction ratings and offers a discount for storing your car on a military base.

USAA Average Annual Rates for a 35-Year-Old Driver with Good Credit:

  • Good Driver: $1,432 (Full Coverage), $486 (Minimum Coverage)
  • Driver with an At-Fault Accident: $1,968 (Full Coverage), $683 (Minimum Coverage)
  • Driver with a Recent DUI: $3,307 (Full Coverage), $1,143 (Minimum Coverage)
  • Driver with a Recent Speeding Ticket: $1,883 (Full Coverage), $639 (Minimum Coverage)

What is Car Insurance?

Car insurance helps cover the costs of property damage and injuries that result from a car accident, reducing the chances that you’ll have to pay for those damages out of pocket. The main coverages found in a car insurance policy include:

  • Liability Coverage: Includes bodily injury and property damage liability coverage.
  • Medical Payments/Personal Injury Protection: Covers medical expenses for you and your passengers.
  • Uninsured/Underinsured Motorist Coverage: Covers medical expenses if you’re hit by a driver without insurance or without enough insurance.
  • Collision Coverage: Covers damage to your car from an accident regardless of who is at fault.
  • Comprehensive Coverage: Covers car damage from incidents other than accidents, such as theft, vandalism, fire, and weather-related events.

Car insurance can also offer extra protections, such as roadside assistance, gap insurance, and new car replacement coverage.

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