Mercury Auto Insurance: Good Option?

Mercury Insurance is a Los Angeles-based insurance company that offers auto insurance in 11 states: Arizona, California, Florida, Georgia, Illinois, Nevada, New Jersey, New York, Oklahoma, Texas, and Virginia. The company has been in operation since 1961 and has over $4 billion in assets. Mercury offers a range of insurance products, including auto, home, renters, business, and umbrella insurance.

Mercury's auto insurance coverage includes collision, comprehensive, liability, medical payments, personal injury protection, and uninsured/underinsured motorist insurance. The company also offers additional coverage options such as roadside assistance and rideshare insurance for drivers who work for companies like Uber or Lyft.

Mercury has received recognition for its customer service and has been awarded the J.D. Power Digital Experience Study Award. It has also earned high ratings from A.M. Best and Fitch. However, some customers have complained about premium increases, denied claims, and poor customer service.

Overall, Mercury Insurance is a good option for drivers looking for basic coverage and the convenience of managing their policy through a well-rated mobile app. The company offers competitive rates and a wide range of discounts. However, it is important to note that Mercury's availability is limited and its rates may be higher than the national average.

Mercury Insurance's customer service and satisfaction ratings

Mercury Insurance has been in the insurance business since 1961/1962, and has millions of customers. The company offers a range of insurance products, including auto, home, renters, condo, business, and umbrella insurance. Mercury Insurance is available in 11 states: Arizona, California, Florida, Georgia, Illinois, Nevada, New Jersey, New York, Oklahoma, Texas, and Virginia.

Customer Service and Satisfaction Ratings

Mercury Insurance has a large customer base in California and is recognised as one of the best insurance companies in the industry. The company has received several awards, including:

• Forbes—2022 Best Insurance Companies
• Forbes—2020 Best Employers for Women
• Forbes—2017-2019 America's Best Mid-Size Employers
• Forbes—Seven-time recipient of America's Most Trustworthy Financial Companies
• J.D. Power U.S. 2021 Insurance Digital Experience Study—#1 in Customer Satisfaction: Digital Insurance Shopping Experience
• Insure.com—2017-2021 Top Insurance Companies in the U.S.

However, Mercury Insurance has also received some negative feedback and low customer satisfaction ratings. According to J.D. Power, Mercury was rated below average in overall customer satisfaction for 2021. The company also received a poor rating for overall customer satisfaction in the J.D. Power 2023 U.S. Auto Insurance Shopping Study, ranking 5th out of 10 companies. In the J.D. Power 2023 U.S. Auto Insurance Claims Satisfaction Study, Mercury ranked 23rd out of 24 companies.

The National Association of Insurance Commissioners (NAIC) gave Mercury Insurance a score of 1.81 out of 2 on their Complaint Index, indicating that the company has nearly twice the number of customer complaints than expected. Customers have complained about issues with insurance claims processing, premium increases, lack of communication, and denied claims.

Despite the negative feedback, Mercury Insurance continues to be a popular choice for customers seeking affordable and quality coverage for their home and auto needs. The company offers a wide range of discounts and has a network of over 8,000 independent local agents across the 11 states it serves.

The types of insurance offered by Mercury

Mercury Insurance offers a range of insurance products, including auto, home, renters, condo, business, and umbrella insurance. Here is a detailed overview of the types of insurance offered by Mercury:

Auto Insurance

Mercury offers various auto insurance coverage options, including:

• Liability Protection: Covers damages to others if you are at fault in an accident, including legal fees.
• Collision Protection: Covers repairs to your vehicle after a collision, regardless of fault.
• Comprehensive Coverage: Protects against damage to your vehicle from non-collision incidents, such as vandalism, theft, or natural disasters.
• Medical Payments Coverage: Supplemental coverage for medical expenses arising from an accident.
• Personal Injury Protection (PIP): Helps pay for medical costs and other expenses after an accident, regardless of fault.
• Uninsured/Underinsured Motorist Coverage: Pays for bodily injuries caused by uninsured or underinsured drivers.
• Rental Car Coverage: Covers the cost of a rental car while your vehicle is being repaired.
• Roadside Assistance: Optional 24/7 coverage for emergency roadside assistance.
• Ride-Hailing Insurance: Protects drivers working for ride-sharing companies like Uber or Lyft.

Home Insurance

Mercury's home insurance provides standard coverage options, including:

• Dwelling Protection: Covers damage to your home due to fire, lightning, smoke, or other insured events.
• Personal Property Coverage: Offers protection for household items in the event of a covered loss.
• Extended Replacement Cost: Covers rebuild and replacement costs up to 150% of the dwelling's policy limits if your home is damaged.
• Additional Living Expenses: Provides coverage for hotel stays, meals, and other expenses if your home becomes uninhabitable due to a covered loss.
• Personal Liability Protection: Protects you financially if you are held liable for bodily injury or property damage to others.
• Guest Medical Protection: Covers medical expenses for guests who are accidentally injured on your property.

Renters Insurance

Renters insurance from Mercury may pay for repairs or replacements of your possessions in the event of a covered loss. It can also cover legal costs and medical expenses if someone is injured in your rental property.

Business Insurance

Mercury offers business insurance to protect against various risks, including property damage, business income loss, and liability claims. They also provide business auto insurance for vehicles owned or leased by the business.

Umbrella Insurance

Mercury's umbrella coverage provides additional liability protection on top of your existing home or auto insurance policies, offering up to $5 million in extra coverage.

Other Coverages

In addition to the above, Mercury offers several other types of insurance and add-on coverages:

• Mechanical Breakdown Insurance: Covers certain repair costs for vehicle breakdowns due to engine, transmission, or electrical issues.
• Ride-Hailing Insurance: Extends protection to drivers working for ride-sharing companies.
• Condo Insurance: Protects your condo unit and personal property, and provides liability coverage.

The pros and cons of Mercury Insurance

Mercury Insurance is a well-known insurance company that offers a range of insurance products, including auto, home, renters, and business insurance. Here are some pros and cons of Mercury Insurance to help you decide if it is a good choice for your needs:

Pros:

• Affordable and quality coverage: Mercury Insurance is known for providing affordable coverage without compromising on quality. They offer a wide range of insurance options, including liability protection, comprehensive coverage, collision protection, and more.
• Awards and recognition: Mercury Insurance has received numerous awards and recognition from trusted organizations such as Forbes and J.D. Power, indicating their commitment to customer satisfaction and financial trustworthiness.
• Wide range of discounts: Mercury offers a variety of discounts to its customers, including autopay, good driver, good student, and multi-policy discounts. These discounts can help reduce the cost of insurance premiums.
• Rideshare insurance: Mercury offers rideshare insurance for those who drive for services like Uber or Lyft. This type of insurance covers drivers even when they are waiting for a fare, providing additional protection.
• Mechanical breakdown coverage: Mercury offers mechanical breakdown coverage, which pays for covered repairs after your vehicle's warranty expires. This can be helpful for unexpected repair costs.
• Well-rated mobile app: Mercury's mobile app has received positive reviews from users, making it convenient for customers to manage their policies, access their ID cards, make payments, and contact roadside assistance.

Cons:

• Limited availability: Mercury Insurance is only available in 11 states, which may be a limitation for those living outside of these states.
• Limited customization options: Mercury has limited options for customizing auto policies, which may be a drawback for those looking for more flexibility in their coverage.
• Low customer satisfaction ratings: Mercury has received low customer satisfaction ratings from organizations like J.D. Power and the National Association of Insurance Commissioners (NAIC). This indicates that customers may have had negative experiences with the company.
• Higher rates: Mercury's sample annual rate for auto insurance is higher than the national average, so it may not be the most cost-effective option for some individuals.

Overall, Mercury Insurance offers a range of insurance products and has received recognition for its quality and affordability. However, it is important to consider the limitations, such as availability and customization options, as well as the lower customer satisfaction ratings, when deciding if Mercury Insurance is the right choice for your needs.

Discounts offered by Mercury Insurance

Mercury Insurance offers a wide range of discounts to its customers. The availability of these discounts varies by state, so it is always best to check with a local Mercury agent to see which discounts are available to you.

• Anti-Theft Feature Discount: Mercury rewards drivers who install an anti-theft device in their vehicle, such as a GPS tracking system or car alarm, as it helps reduce and resolve theft claims.
• Auto Pay Discount: Customers who sign up for automatic payments may be eligible for a discount.
• E-Signature Discount: Mercury offers a discount to customers who sign their policy documents electronically, as it saves time and paperwork.
• Good Driver Discount: Mercury rewards policyholders who have gone a specified period without getting into an accident or receiving a ticket.
• Good Student Discount: Studies show that young drivers who perform well academically are less likely to get into accidents. Mercury offers a discount to students with good grades.
• Multi-Car Discount: Customers with multiple vehicles on their Mercury policy are eligible for a discount.
• Multi-Policy Discount: Customers who bundle their home, condo, or renters insurance policy with a Mercury auto policy can save money.
• Pay-in-Full Discount: Mercury provides a discount to customers who pay for their entire auto insurance term upfront.

In addition to the above, Mercury also offers various other discounts, such as:

• Defensive Driver Discount: Available to policyholders who complete a defensive driving course approved by the state.
• Five-Year Accident-Free Discount: Available to policyholders who haven't had any at-fault accidents within the past five years.
• Mature Driver Discount: Offered to those aged 55 and over who have completed a motor vehicle driver improvement course.
• Minor Child Discount: Available to single drivers under the age of 19 who are children of the primary policyholder.
• Annual Two-Pay Discount: Available to policyholders who choose the two-pay bill plan when buying an annual policy.
• Airbag Discount: Applies to vehicles equipped with Airbag Safety Systems.
• Anti-Lock Brakes Discount: Applicable to vehicles with anti-lock brakes.
• Daytime Running Lamps Discount: For vehicles with factory-installed daytime running lamps.
• Electric Vehicle Discount: Applicable to all electric vehicles on a Mercury policy.
• MercuryGO Participation Discount: Available to customers who keep the MercuryGO app active on their phone to monitor driving.

Mercury Insurance's financial stability

Mercury Insurance has an AM Best rating of A (Excellent), indicating strong balance sheet performance and strong operating performance. AM Best's financial strength rating assesses a company's ability to meet its claims obligations, an important measure for an insurance company.

Mercury Insurance has also been recognised by Forbes as one of the best insurance companies in the world in 2023. Forbes' assessment was based on a survey of 30,000 policyholders in 15 countries.

Mercury Insurance has also received the following awards:

• Forbes — 2022 Best Insurance Companies
• Forbes — 2020 Best Employers for Women
• Forbes — 2017-2019 America’s Best Mid-Size Employers
• Forbes — Seven-time receipt of America’s Most Trustworthy Financial Companies
• J.D. Power U.S. 2021 Insurance Digital Experience Study — #1 in Customer Satisfaction: Digital Insurance Shopping Experience
• Insure.com — 2017-2021 Top Insurance Companies in the U.S.

Mercury Insurance also has a large auto insurance customer base in California and operates in 10 other states, offering additional products such as home, renters, and condo insurance.

Frequently asked questions