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A Review of the Ten Best Auto Insurance Companies, Advantages & Disadvantages, and Information to Help You Pick the Right Insurance Company

Give yourself peace of mind by choosing the right car insurance company for your unique needs. All too often, car insurance is looked at strictly from the perspective of what company is offering the lowest rates.

While the rate you pay is certainly a major factor to consider, it is just one of many that are used to determine which auto insurance companies are the best in their class.

Factors Used to Determine the Top Ten

Here at AutoInsureSavings, we are committed to simplifying the process of finding a high quality auto insurance company. We’ve taken various factors, such as affordability, responsiveness, and coverage options, and used them to come up with a list of the ten best auto insurance companies.

Advantages & Disadvantages of Each Insurance Company, Plus Financial Strength & Overall Rating

Auto Insurance CompanyAdvantagesDisadvantagesScore out of 100AM Best Financial RatingsOverall Star Rating
USAATop ratings, including overall customer satisfaction.
Superior customer service.
Diverse policy options to meet anyone’s needs.
Only available to U.S. military members, veterans, or their close family members.97.2A++5/5
Erie Insurance GroupHigh ratings for customer service and claims experiences.
Individual agents who care.
Variety of discounts available.
Policies can be expensive if you don’t qualify for discounts.85.4A+4.5/5
MetLifeOffers various types of insurance including car insurance.
Prices are good if you bundle.
Single policies are higher than normal if you don't bundle.87.6A4.5/5
NationwideRates based on usage of vehicle, reducing deductible, accident forgiveness, new car replacement, many discounts available.Customer service has lacked according to some customers.89A+4/5
State FarmLocal offices and agents provide in-person help.
Plenty of discounts available.
Average ratings from J.D. Power.
Excellent with Moody's however.
90.4A++4/5
AllstateMultiple opportunities for discounts for bundling, anti-theft devices, and passive restraint.Can be expensive if you don’t bundle policies.87A+4/5
GEICOLocal offices and agents provide in-person help.
Plenty of discounts available.
Awesome mobile app.
Been know to raise rates unexpectedly.88.1A++4/5
National General (GMAC)Rates based on usage of vehicle, many discounts available.Usually higher auto insurance rates.86.9A- 3.9/5
ProgressivePlenty of available discounts and competitive pricing.Scarce individualized attention from agents.89.6A+3.9/5
EsuranceRates based on usage of vehicle, many discounts available.Not as many discounts as larger insurance firms.83.5A+3.8/5

As you shop for auto insurance, you will be able to get quotes from many of the following companies by using our quote comparison tool at the top of the page. With those quotes, you’ll be able to conveniently comparison shop to get the best value for your money.

Average Rate of Top Insurers from 25 to 55 Years Old

Insurance CompanyAverage Rate for 25 Y/O DriverAverage Rate for 30 Y/O DriverAverage Rate for 35 Y/O DriverAverage Rate for 40 Y/O DriverAverage Rate for 55 Y/O Driver
USAA$1,544$1,305$1,272$976$755
Erie Insurance Group$1,549$1,354$1,293$989$816
MetLife$1,668$1,387$1,312$1,008$822
Nationwide$1,881$1,432$1,421$1,087$849
State Farm$1,899$1,487$1,329$1,124$769
Allstate$1,990$1,548$1,412$1,148$801
GEICO$1,812$1,657$1,458$1,183$812
National General (GMAC)$2,023$1,675$1,468$1,248$799
Progressive$2,043$1,784$1,493$1,259$829
Esurance$2,065$1,797$1,568$1,287$843

Without further ado, the ten best auto insurance companies are as follows:

1. USAA

Features: Accident forgiveness, no-drop promise, 12 month policies, many discounts available

USAA was founded in 1922, and was originally known as the United States Army Automobile Association. Initially, only the 25 founding members were granted coverage, though they have expanded their membership significantly over the past century.

USAA auto insurance compared to average premium

Unlike many other car insurance providers, USAA relies on their reputation to gain customers, as opposed to commercials full of gimmicks. The rates offered by USAA are competitive, but what really makes them stand out as the best auto insurance provider is the overall value of their policies, and the way that they treat their customers.

USAA has top notch customer service, and they are very quick to process claims. As such, they’ve established a reputation of being the most reliable car insurance company.

Looking for discounts that contribute to the affordability of your car insurance plan? USAA offers many, including the good student discount, safe driver discount, and multi vehicle discount.

2. Erie Insurance Group

Features: Accident forgiveness, lock-in rates, new car replacement, reducing deductible, covers injuries to pets, many discounts available

Having opened for the first time in 1925, Erie Insurance Group has expanded to cover 11 different states in the United States. These states include Pennsylvania, New York, New Jersey, Washington DC, and countless others.

Erie auto insurance compared to average premium

Like USAA, Erie Insurance Group does not rely on commercials to attract new customers. Rather, they look to referrals and those shopping around for the best price.

The customer support staff at Erie Insurance Group is among the best in the industry. They are well known to work with their customers from the very start to ensure that they get a policy that best suits their unique needs. Couple their amazing customer service team with phenomenally low prices, and it’s no surprise that Erie Insurance Group is considered to be one of the best auto insurance companies on the market.

Erie Insurance Group prides on providing its customers with incredible value, which is especially amazing considering the company’s cheap car insurance rates. Features such as accident forgiveness and a lock-in rate make the insurance provider one of the most preferred by drivers in the 11 states the company serves.

3. MetLife

Features: Reducing deductible, new car replacement, 12 month policies, many discounts available

Perhaps the best known of the top 3 best car insurance companies, MetLife was founded in 1863. It has since become one of the biggest giants in the car insurance industry.

Name recognition and affordable rates make MetLife a popular choice among those looking to get new car insurance for their vehicle. The company offers a very strong comprehensive policy that covers not only home and auto, but also RVs, boats, and valuable items.

Metlife auto insurance compared to average premium

While MetLife’s customer service is not quite at the level of USAA and Erie Insurance Group, its claim processing service is one of the best in the car insurance industry. Customers report quick response time and minimal hassle when it comes to having their claim processed.

One of the ways that MetLife helps to keep its customers’ rates down is through the offering of discounts. Customers can get discounts related to their employer, as well as for being a safe driver, or a good student.

4. Nationwide

Features: Rates based on usage of vehicle, reducing deductible, accident forgiveness, new car replacement, many discounts available

Known as the very first car insurance company to offer its customers a discount for completing a driver safety course, Nationwide started in Ohio in the 1920s and has since greatly expanded.

Nationwide auto insurance compared to average premium

Nationwide prides itself on offering top-notch customer service, and reliable claims processing. As such, it should be no surprise that the company’s reputation is one of top reasons why new customers choose them to be their car insurance provider.

While there have been some reported cases of premiums rising each year, Nationwide has garnered a reputation of being particularly helpful, especially when it comes to the claims process.

With such features as a vanishing deductible and accident forgiveness, it is clear that Nationwide puts the customer first.

5. State Farm

Features: Rates based on usage of vehicle, many discounts available

With more than 18,000 agents nationwide, State Farm is one of the biggest auto insurance providers in the industry. Despite its mammoth size, State Farm has a considerably strong reputation based on its claims processing and customer service departments.

State Farm auto insurance compared to average premium

While State Farm lacks the features that are found in the previous 4 insurance companies, the global name recognition of the company is more than enough to attract customers. Furthermore, State Farm offers a number of discounts to its customers, ensuring that they get the best car insurance rates possible.

6. Allstate

Features: Accident forgiveness, reducing deductible, new car replacement, many discounts available

While the obvious features are somewhat lacking when compared to other insurance providers on the list, Allstate has attracted a strong customer base due to their claims processing and customer service staff.

Whether you have a question about your policy, or you’d like to learn more about the types of insurance Allstate offers, Allstate prides itself in making sure that all of your needs are addressed.

One of the perks about getting car insurance with Allstate is the number of discounts that they make available to their customers. From a safe driver discount to passive restraint/air bag discount, there are plenty of ways to save with Allstate.

Allstate auto insurance compared to average premium

Although the customer support staff and the claims processing team are some of the best in the industry, Allstate only comes in at number 6 for the 10 best auto insurance companies due to the fact that it doesn’t provide the same value that you see being offered by other companies.

Just 67% of people say that they would recommend Allstate, which is significantly lower than the percentage of people that would recommend a company like USAA and Erie Insurance Group.

7. GEICO

Features: Accident forgiveness, many discounts available

Aside from Progressive, there is no car insurance company with a greater advertising presence than GEICO. From the gecko and the cavemen to the recently added Maxwell the Pig, they have some of the most recognized commercial personas in the car insurance industry.

GEICO auto insurance compared to average premium

Despite their strong advertising presence, however, only 10% of their customers say that they chose GEICO because of their commercials. Most chose GEICO based on the low rates offered by the auto insurance company.

Like the companies ranked ahead of them, GEICO has a strong customer support team. The company has also established a reputation of paying out claims fairly quickly.

While their policies are fairly inexpensive when compared to the competition, they do lack features. It is for that reason that many do not consider their policies to have the same value for the money as those from other providers.

Nonetheless, GEICO has one of the largest customer bases in the auto insurance industry. They have more than 18 million customers currently, and that number continues to grow on a daily basis as more people find out about their cheap car insurance rates.

8. National General (GMAC)

Features: Rates based on usage of vehicle, many discounts available

Formerly known as GMAC, National General actually found its roots in the car-sales business. It has since become one of the largest car insurance agencies in the United States. National General services 47 states, as well as Washington DC.

Most of their new customers join National General due to the company’s very competitive pricing. The car insurance company has a strong retention rate, as nearly 90% of those that currently have a National General auto insurance policy state that they will renew when the time comes.

GMAC auto insurance compared to average premium

While the standard car insurance plans from National General tend to lack a bit in terms of features, the company does have a strong reputation for being quick to pay claims. The overall value of their policies is considered to be better than that of GEICO and Allstate. National General also has a well-liked customer service staff that many customers cite as being very friendly and helpful.

Customers can get a number of different discounts from National General to reduce their car insurance rates. These discounts include a safe driver discount, a defensive driver discount, and a passive restraint / air bag discount.

9. Progressive

Features: Rates based on usage of vehicle, covers injuries to pets, accident forgiveness, Offers 12 month policies

Progressive may very well be the most recognized name in the car insurance industry. The company currently takes in more than 14 billion dollars each year in auto insurance premiums, making it one of the biggest car insurance companies out there.

Progressive auto insurance compared to average premium

It was the very first company to offer high risk drivers car insurance, which is now common practice throughout the industry. Despite the company’s enormous size, it still prides itself on providing personalized service following a claim.

It should come as no surprise that, of all the insurance companies, Progressive has the most customers that signed up specifically due to its commercials. The majority of Progressive’s customers, though, signed up for a policy due to the low car insurance rates.

Progressive has highly acclaimed customer service and claims processing teams, which is why 77% of its customers say that they would recommend the provider to another person. New customers also claim that Progressive offered them the lowest rates of any insurance provider. The company’s online services have also received raving reviews.

So what puts Progressive all the way down at number 9 for the list of the ten best auto insurance companies? While the plans are the cheapest around, they tend to lack in overall value. Additionally, the company is known to increase rates when it comes time to renew unless you look to get a re-quote done.

10. Esurance

Features: Rates based on usage of vehicle, many discounts available

The last company on the list for the ten best auto insurance providers is easily the youngest. Esurance was launched in 1999 as an online insurance company. The company saw massive expansion in both its customer base, and also its staff. Esurance was bought by Allstate in 2011, and now serves as an independent entity under the greater Allstate umbrella.

Esurance auto insurance compared to average premium

Esurance has received more newcomers due to low policy prices than any other provider in the past few years. Its customers are clearly satisfied with the service, as 94% say that they plan to renew when their policy is up.

One of the biggest complaints about Esurance is that they tend to hike your rates following a claim.

They are easily one of the most affordable auto insurance companies on the market, provided that you stay accident and infraction-free.

However, if you need to make a claim, you’ll likely have to pay a good amount more when it comes time to renew your policy.

Choosing the Right Insurance Provider for Your Needs

With each of the top ten best auto insurance companies offering low prices and respectable service, it could be tough trying to figure out which company is best for you.

In order to simplify the process, we recommend that you use our quote comparison tool at the top of the page.

After you enter your zip code and answer a few questions, we’ll provide you with quotes from many of these ten companies so you can pick the one that offers you the best rates.

Greg Fowler

Greg Fowler

Managing Member of AutoInsureSavings LLC, Greg enjoys writing articles to help drivers save on anything related to automobiles. Travel and enjoying the outdoors are some of his hobbies. The best way to reach him is at Google+ or Facebook Profile.

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