Best Auto Insurance: Top-Rated Coverage Options

The best-rated auto insurance companies in 2024 include:

- Nationwide

- USAA

- Travelers

- Erie

- Progressive

- Geico

- Auto-Owners

- Amica

- State Farm

- American Family

- Dairyland

- NJM

Discounts

• Good driver discount: This discount rewards drivers who have a clean driving record, with no accidents or moving violations such as speeding or reckless driving.
• Student discount: Students who are enrolled in high school or college and maintain good grades (usually a B average or higher) may be eligible for a discount.
• Anti-theft device discount: If you have an alarm or tracking device installed in your vehicle, you may be able to save on your insurance.
• Paperless discount: Some companies offer a discount if you opt to receive policy documents electronically instead of through the mail.
• Military discount: Current or former members of the military may be eligible for a discount on their auto insurance.
• Automatic payment discount: Setting up automatic premium payments, either through electronic funds transfer or a debit/credit card, can often result in a discount.
• Loyalty discount: Some insurers offer a discount if you renew your policy with them.
• Low-mileage discount: If you drive fewer miles than the national average, you may be eligible for a discount. This can be determined through an app or other tracking device.
• Bundling or multi-policy discount: Insuring multiple vehicles or bundling your auto insurance with other types of insurance, such as home or renters insurance, can often result in a significant discount.
• Safety equipment discount: If your vehicle has safety features such as airbags or anti-lock brakes, you may be eligible for a discount.
• New vehicle discount: Some companies offer a discount for driving a newer car, usually less than three years old.

These are just a few examples of the types of discounts that may be available. It's important to ask about discounts when you're shopping for a new policy or renewing an existing one, as they can add up to substantial savings over time. Be sure to check with your insurance provider to find out what specific discounts they offer and whether you meet the eligibility requirements.

Customer satisfaction

USAA is frequently rated as the best auto insurance company for customer satisfaction. However, USAA insurance is only available to military personnel and their families.

State Farm is another company that is often ranked highly for customer satisfaction. It is the largest auto insurance company in the US and is available in most states.

Other auto insurance companies that are well-rated for their customer satisfaction include:

• Amica
• Erie Insurance
• The Hartford
• Geico
• Auto-Owners
• Progressive
• Nationwide

Financial strength

When choosing an auto insurance company, one of the most important factors to consider is its financial strength, which indicates the company's ability to pay out your claim. A financially strong insurer is more likely to be stable and reliable, giving you peace of mind that your claims will be honoured. Here are some key reasons why financial strength is crucial when selecting an auto insurance company:

Ability to Generate Revenue and Cash Flow

Stability and Longevity

A company with strong financial health is more likely to withstand economic downturns, market fluctuations, and unexpected events. They are less likely to struggle financially and can provide continuous coverage for their customers.

Investment and Innovation

Companies with robust financial strength are better positioned to invest in new technologies, innovations, and improvements to their products and services. This can lead to enhanced customer satisfaction and a more efficient claims process.

Customer Confidence and Trust

When an insurance company demonstrates strong financial health, it builds trust and confidence among its customers. Policyholders are more assured that the company will be able to honour its commitments and provide stable coverage over the long term.

Regulatory Compliance

In the insurance industry, governments and supervisory authorities closely monitor the financial strength of insurance providers. Strong financial health indicates that a company is meeting its obligations and complying with regulatory requirements, providing an extra layer of assurance for customers.

When considering auto insurance, it is essential to review the financial strength ratings provided by independent agencies like AM Best. These ratings give you an unbiased assessment of an insurer's ability to meet its financial commitments and provide stable, reliable coverage.

In summary, financial strength is a critical factor when choosing an auto insurance company. It ensures the company's stability, longevity, and ability to honour claims. By selecting a financially strong insurer, you can have greater peace of mind and confidence in your coverage.

Coverage options

Liability Coverage

Liability coverage pays for property damage and bodily injury when you are found responsible for a collision. It is required in most of the country, though the amount differs by state.

Collision Coverage

Collision coverage pays for repairs stemming from a collision with an object, like a house or a mailbox, rather than another vehicle.

Comprehensive Coverage

Comprehensive coverage protects you in case of damages caused by a non-vehicular incident, like theft, vandalism or weather-related damage.

Personal Injury Protection

Personal injury protection pays for your medical expenses and lost income after an accident.

Uninsured/Underinsured Motorist Coverage

Uninsured/underinsured motorist coverage kicks in if you are involved in an accident with another driver who has no insurance or insufficient coverage.

In addition to these basic coverage types, there are a number of add-ons available, including:

• Accident forgiveness
• Gap insurance
• New car replacement
• Roadside assistance
• Rental car reimbursement
• Mechanical breakdown insurance
• Emergency roadside service
• Custom parts and equipment value coverage
• Rideshare coverage
• Pet injury coverage

Claims satisfaction

State Farm

State Farm is one of the best-rated auto insurance companies for claims satisfaction. It received a score of 891 on J.D. Power's 2023 U.S. Auto Claims Satisfaction Study. State Farm has one of the largest local agent networks of any insurer, meaning in-person support is available if needed. State Farm also has an Easy Claims Center, which enables customers to file and track an accident claim entirely online.

NJM

NJM Insurance is only available in a few states but received one of the best ratings from J.D. Power, coming in third with 900 out of 1,000 on J.D. Power's 2023 U.S. Auto Claims Satisfaction Study. NJM Insurance also gets rave reviews on Trustpilot, with an exceptional 4.7 stars. NJM offers a discount for full coverage and allows drivers to bundle auto insurance with homeowners or renters insurance.

Amica

Amica earned the highest rating on the J.D. Power 2023 U.S. Auto Claims Satisfaction Study. Amica has a reputation as one of the best car insurance companies for customer service. Amica customers appreciate how easy it is to talk to real humans instead of bots, and Amica has a 4.5-star rating on Trustpilot.

Erie Auto Insurance

Erie Insurance came in a close second behind Amica in J.D. Power's 2023 U.S. Auto Claims Satisfaction Study. Erie earned a 902 out of 1,000 customer satisfaction rating. Erie doesn't just take care of humans after a crash; the insurer also provides up to $500 per pet for veterinary care with a $1,000 per-accident maximum, making it an ideal choice for pet owners.

Country Financial

Country Financial is a smaller, regional insurer that's not available in all states. Per the J.D. Power 2023 Auto Claims Satisfaction Study, Country Financial ranked fourth with a score of 894 out of 1,000.

Frequently asked questions