Allstate Auto Insurance: Is It Worth The Hype?

Allstate is one of the largest insurance companies in the U.S., offering auto, home, renters, life, and business insurance, among other coverage options. The company has a large network of agents throughout the country and provides coverage in all states. Allstate offers various discounts and has generally well-regarded customer service, but its rates are often higher than those of its competitors. Customer reviews are mixed, with some praising the company's service and others complaining about issues with claims handling and unexpected premium increases. Overall, Allstate is a good option for drivers who want service from a local insurance agent and are willing to pay a higher price for their coverage.

Allstate's customer service

Allstate has an extensive network of local agents spread throughout the country, and customers can also interact with the company through its mobile app and website. The company offers various discounts and features, and it has a complaint index of 0.92 according to the NAIC, which is slightly lower than the national average.

In a survey conducted by NerdWallet, Allstate received an overall satisfaction score of 76 out of 100, which is slightly below the average score of 78 among the 11 insurers included in the survey. WalletHub's editors give Allstate a rating of 2.9/5, while the average user rating on the site is 2.8/5.

Allstate's pricing

Allstate's auto insurance costs are based on several factors, including the driver's age, gender, driving record, credit score, and location. The company offers a range of coverage options, from low to high, and provides several discounts to help reduce the cost of insurance.

The cost of Allstate auto insurance can vary significantly depending on the driver's profile. For example, the average annual rate for a single 25-year-old male is $2,097, while a 25-year-old female would pay around $2,012. The rates also differ based on the level of coverage, with low, medium, and high coverage options.

Allstate offers several ways to save on auto insurance rates. The company provides a safe-driving bonus for every six months of accident-free driving and a deductible rewards program that reduces the collision deductible by $100 for each year of safe driving. Additionally, Allstate offers a range of discounts, including those for multiple policies, good students, anti-lock brakes, early signing, and safe driving.

While Allstate provides various options for coverage and discounts, its rates are generally higher than the national average. According to U.S. News, Allstate's sample annual rate of $3,374 is the highest among the providers they analysed. Similarly, NerdWallet reports that Allstate's average annual rate for full coverage insurance is $2,665, which is over $680 more than the national average. WalletHub also ranks Allstate in the third quartile in terms of pricing, indicating that its premiums are slightly higher than those of its top competitors.

Allstate's coverage options

Allstate offers a wide range of coverage options to its customers. The company provides the standard auto coverage choices, as well as some optional features that can be added for an additional cost. These include:

• Accident forgiveness: Your rates won't increase due to an accident, even if it's your fault.
• Safe driving bonus: For every six months of accident-free driving, you receive money back.
• Deductible rewards: For each year with no driving violations, you earn $100 off your collision deductible, up to $500.
• New car replacement: If you total a new car within the first two model years, you get a check for a new car, not just the depreciated value of your old car.
• Roadside assistance: Customers can buy this as a one-off cost, an add-on to their policy, or through an Allstate Roadside subscription.
• Rideshare insurance: This covers you while driving for a ridesharing company, even between rides.
• Gap insurance: This covers the difference between the amount you owe on your car loan and the value of your vehicle if it's declared a total loss.

Allstate also offers some specialty auto insurance options, including:

• Ride for Hire: Coverage for rideshare drivers.
• Milewise: A pay-per-mile insurance policy.
• Mexico auto: Auto insurance for driving in Mexico.
• Classic car: Insurance for classic cars.

In addition to these coverage options, Allstate provides several discounts, such as multipolicy, good student, anti-lock brakes, anti-theft device, early signing, and safe driver discounts.

Allstate's discounts

Allstate offers a wide range of discounts for its auto insurance customers. The company does not disclose exact discount amounts publicly, but customers can check with the customer service department or their Allstate agent to see how much they could save. Here is a list of Allstate's auto insurance discounts:

Driving History Discounts:

• Safe driving club: Earn a safe driving bonus every six months you drive without accidents, plus get $100 off your collision deductible for each year without accidents (up to $500 total).
• Safe driver: Allstate offers discounts for customers who meet their requirements for a safe driver.
• Accident-free: Allstate offers a discount for every six months of accident-free driving.

Car Safety Discounts:

• Anti-lock brakes: Save if your car has anti-lock brakes.
• Anti-theft device: Save if your car has an anti-theft device installed.
• Passive restraint: Save if your car is equipped with a passive restraint system, such as automatic seatbelts.
• New car safety: Save if you are the first owner of a new car from this year or last year.

Loyalty Discounts:

• Multi-policy: Save when you bundle auto insurance with a home, life, or renters policy.
• Early signing: Save if you purchase your policy at least a week before its start date.

Payment Discounts:

• EZ pay plan: Save when you pay your premium via automatic withdrawal.
• FullPay: Save when you pay for your entire policy at once.
• Responsible payer: Save if you did not receive a cancellation notice due to non-payment during the last 12 months.

In addition to these discounts, Allstate offers other ways to save money on auto insurance. For example, customers can choose Allstate Milewise, a pay-per-mile program that calculates your price based on how much you drive. This program can save low-mileage drivers an average of 72% annually.

Allstate also offers Allstate Drivewise, a smartphone app that monitors your driving and provides safe driving discounts.

Allstate's claims handling

In terms of customer satisfaction with claims handling, Allstate received an average score of 76 out of 100 in a NerdWallet survey. Additionally, 37% of Allstate customers who responded to a U.S. News survey said they were completely satisfied with the ease of filing a claim, while 37% were completely satisfied with the status updates they received. However, a higher number of respondents (51%) said they were completely satisfied with how their claim was resolved.

Allstate ranked 8th out of 24 companies in the J.D. Power 2023 U.S. Auto Insurance Claims Satisfaction Study, scoring 882 out of 1000, which is slightly higher than the national average of 878.

Overall, while Allstate's claims handling has received some positive feedback, there are also customers who have expressed dissatisfaction with the process.

Frequently asked questions