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Best Car Insurance Companies

The best car insurance company isn’t necessarily the cheapest. It’s tempting to shop for a new insurance policy based on price alone, but you need a company that will be there for you when it comes time to make a claim. After all, you don’t want to choose the cheapest car insurance quote only to find that it doesn’t provide the protection you need. 

Our Best Car Insurance Companies ranking uses pricing data and real customer feedback to help you find the best car insurance policy for you. 

USAA


USAA is our first choice for the best car insurance in the nation. It regularly tops J.D. Power auto insurance studies as one of the best providers in terms of customer satisfaction and value. The company is well known for its high customer ratings and affordable coverage options, including accident forgiveness. However, it has strict eligibility requirements and not everyone qualifies for coverage.

USAA auto insurance is only available to military members, veterans and their families, which greatly restricts who can purchase coverage. If you are eligible for a USAA insurance policy, it’s one of the best options available. Beyond the standard types of car insurance, USAA offers the following optional coverage:

  • Roadside assistance
  • Rental car reimbursement
  • Accident forgiveness
  • Glass coverage
  • Guaranteed asset protection (GAP insurance)
  • Car replacement assistance (CRA)
  • Rideshare insurance

USAA received an A++ financial strength rating from AM Best and an A+ rating from the Better Business Bureau (BBB). The auto insurer made up 6.01% of the market share in 2021, according to the NAIC. Though it’s not the largest auto insurer, USAA still has reputable financial strength. In 2021, the company wrote $15.73 billion in private passenger auto insurance premiums.

While USAA does not have many physical locations, policyholders are still impressed by the company’s customer service. USAA earned the top score in the J.D. Power 2021 U.S. Auto Insurance Study in every U.S. region, though it’s unranked due to its eligibility criteria.

And in our January 2022 car insurance survey, nearly 65% of the 107 respondents who had coverage through USAA said they were very satisfied with USAA insurance, the highest of any provider.

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USAA is known for its affordability as well. It offers the cheapest car insurance on average compared to any other provider we researched. Our rate estimates show good drivers pay about $1,013 per year on average for full coverage car insurance with USAA. The company also offers discounts based on driver safety, multiple policies, safety features such as airbags and more.

USAA earns top marks from all major third-party rating agencies for customer service and financial strength. Coupled with having the lowest average full coverage premium on our list, customers are privy to multiple coverage options, rewards and discounts, including unique circumstances like deployment for active-duty members. While not all drivers may qualify for coverage from USAA, the company is a standout for millions of military families across the country.

Pros and Cons

Pros

  • Exceptional customer support
  • Military-specific resources
  • Wide array of financial services

Cons

  • Only services military families
  • Several customer complaints
  • Must be a member to get insurance coverage

Read our full USAA auto insurance review.

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Geico


If you don’t qualify for USAA insurance coverage, Geico is worth considering as your top choice.The company offers reputable service, a wide selection of coverage and cheap car insurance rates, according to our rate estimates.

Geico is always been a top insurance company in our rankings. Consumers who have filed a claim generally agree that Geico makes the process easy. Most survey respondents also report that they plan to renew their policy, and that they’re likely to recommend Geico to family and friends. However, Geico scored lower than some competitors in terms of value, despite the fact that it offers low rates and good overall customer service.

Geico’s long history as a trusted, household-name auto insurer is reflected in its high Score ratings and is one of the reasons we included it as a top company. Coverage is available for virtually every type of driver, making its car insurance coverage accessible even for consumers with blemished driving histories.

Geico received an A++ (Superior) rating from AM Best, meaning the company has the financial backing to pay customers’ insurance claims. A larger auto insurer like Geico comes with more financial stability compared to a smaller, local company.

Besides the standard coverage options, Geico offers helpful add-ons such as:

  • Emergency roadside assistance
  • Rental car reimbursement
  • Mechanical breakdown insurance (MBI)
  • Rideshare insurance

Geico also has a strong customer service reputation. According to the J.D. Power Auto Insurance Study, Geico performed better than average in California and the Central and New England regions. The study surveyed customers on their satisfaction with claims, billing, price, policy and more. Additionally, our January 2022 insurance survey that polled 1,000 respondents found nearly 12% chose Geico as their insurance provider.

Regarding cost, Geico’s rates are some of the most affordable we’ve seen. Our rate estimates show that drivers pay about $1,350 per year on average for full coverage car insurance from Geico. These rate estimates apply to 35-year-olds with good credit and driving records. Our estimates put Geico in the top three companies for affordability compared to other national providers.

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On top of that, the insurer offers a number of ways to save money, including a good driver discount (up to 26% off), a good student discount (up to 15% off) and a multi-vehicle discount (up to 25% off).

Why Geico is best for driving incidents: Geico is one of the few top auto insurance companies that will write policies for drivers even after high-risk incidents, such as DUI convictions. While high-risk policies are generally more expensive, a high-risk driver may also have a harder time finding coverage, especially from major car insurance companies. Geico is an easily-accessible option for most people.

Read our full Geico auto insurance review.

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State Farm


As the largest national auto insurer based on market share, State Farm’s reach and reputation highlight the carrier as one of the best car insurance companies for drivers in most states. Its extensive local agent network showcases its customer-first approach to providing a variety of personal and commercial insurance products to consumers.

State Farm is another strong choice when it comes to finding the best auto insurance in the industry. Our January 2022 insurance survey found the insurer is the most popular provider among the 1,000 respondents surveyed, with 13% stating they purchased State Farm insurance coverage.

State Farm makes it easy to file a claim, according to most survey respondents, many of whom plan to renew their policy. State Farm is also the best auto insurance company if you do not have a military affiliation. 

State Farm earned slightly lower marks when we asked if customers were satisfied with the company’s status updates during the claims process. Drivers insured through State Farm reported that the company is a good value overall.

State Farm offers the following types of auto insurance coverage:

  • Collision coverage
  • Comprehensive coverage
  • Liability coverage
  • Car rental and travel expenses coverage
  • Uninsured motor vehicle coverage
  • Medical payments coverage
  • Emergency roadside assistance
  • Rideshare driver coverage

Our cost estimates show good drivers pay an average of about $1,339 annually for full coverage insurance with State Farm. This ranks State Farm among the most affordable national providers.

As the biggest car insurance company in the country, State Farm is no stranger to claims satisfaction — the company has an A++ rating from AM Best. According to the NAIC, State Farm accounted for 15.93% of the auto insurance market share in 2021. State Farm also had fewer complaints than the industry average in 2020, though customer reviews on the BBB are mixed. 

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We chose State Farm as one of the nation’s best car insurance companies in part because of the usage-based and safe driving discounts it offers to young drivers. There are two discount programs available through mobile apps:

  • Drive Safe & Save: State Farm tracks and rewards safe driving habits through the Drive Safe & Save mobile app. By reducing driving behaviors such as quick accelerations, hard braking and speeding, drivers can earn up to 30% off their premiums. This program is not available in California, Massachusetts or Rhode Island.
  • Steer Clear®: Teens and new drivers can receive course training, mentoring, driving practice and a program certification to encourage good driving habits. After successfully completing the program, drivers get a discount on their auto insurance premium.

Other State Farm auto insurance discounts include those for good grades, safe driving, defensive driving, vehicle safety features and driving course completion. The company does not offer a military discount.

State Farm company boasts over 19,000 licensed insurance professionals, available in communities across the U.S., who can offer guidance to those who value expert insight when discussing their policy. Digital management options allow for an on-the-go approach, including a highly-rated mobile app where you can file auto claims and contact your agent.

Pros and Cons

Pros

  • Huge local agent network
  • Financially strong

Cons

  • Not available in Massachusetts or Rhode Island
  • Does not offer gap insurance coverage
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Travelers

Travelers is a trusted insurer with over 150 years in the auto insurance industry. Its strong independent agent network, numerous endorsement options, robust savings opportunities and proven financial track record make it a worthwhile option for drivers nationwide.

As you might expect from a low-ranked insurer, Travelers customers did not report high satisfaction in most areas measured by our survey. 

Drivers who file claims with Travelers are not pleased with the way that they are resolved, and many don’t think Travelers offers a good value. Interestingly, Travelers earned a decent score when we asked if people would recommend it to friends or family, but it earned a low rating when we asked if they themselves would renew their policies.

Travelers can be a good auto insurance option for drivers who want extra coverage options. The insurer offers the following in addition to standard types of insurance:

  • Auto loan/lease gap insurance
  • Rental car coverage
  • Roadside assistance
  • New car replacement
  • Accident forgiveness
  • Rideshare coverage
  • Named non-owner insurance
  • Umbrella insurance

Travelers has an AM Best rating of A++ for its financial stability and ability to pay out insurance claims. The insurer’s customer service, however, has mixed reviews. In the J.D. Power Auto Insurance Study, Travelers scored below the segment average in almost every region except New York.

Our team reached out to Travelers for comment on its negative review scores but did not receive a response.

According to our research, Travelers insurance pricing is slightly cheaper than the national average, costing $1,617 per year on average for a full coverage policy. The auto insurer offers a number of discounts, including savings for homeowners, good students and drivers who remain accident-free.

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Why Travelers is best for personalized coverage: Travelers’ average full coverage car insurance rates come in a bit higher than the national average, but that could be because the carrier offers so many ways to customize your coverage to your specific needs.

Options like new car replacement, accident forgiveness, rideshare coverage and gap coverage will add more premium to your policy but will also give you financial protection for a broader range of incidents. Travelers’ claims satisfaction is not as highly ranked by customers compared to other companies Bankrate analyzed, which may be worth considering before you purchase a policy.

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Progressive


Progressive’s handy rate tools and positive customer satisfaction help secure it as one of our best car insurance selections. Consumers can find options to save based on their own budget and driving habits with a Progressive policy anywhere in the U.S., backed by a financially strong company that earns high ratings from third-party agencies.

Travelers can be a good auto insurance option for drivers who want extra coverage options. The insurer offers the following in addition to standard types of insurance:

  • Auto loan/lease gap insurance
  • Rental car coverage
  • Roadside assistance
  • New car replacement
  • Accident forgiveness
  • Rideshare coverage
  • Named non-owner insurance
  • Umbrella insurance

To help policyholders save money, Progressive offers a total of 13 auto insurance discounts, such as continuous insurance, teen driver, and student discounts. If you are a homeowner, you could save on your car insurance policy even if your home is not insured by Progressive. 

Progressive also offers its Snapshot Program, which allows you to pay for insurance based on how much you drive, so you don’t buy more coverage than you need. You simply drive as usual and then receive a customized rate the following year based on your personal driving habits. You can even use the Name Your Price tool to customize your auto insurance coverage based on your budget. 

Progressive delivers strong customer satisfaction based on high scores from J.D. Power and the National Association of Insurance Commissioners. It is also financially strong based on its loss ratio and top scores from AM Best.

Why Progressive is best for digital policy management: Progressive provides several ways for drivers to save time and money by managing their policy online, such as its Snapshot app, which is a telematics program that monitors driving and offers discounts for safe driving.

Even when first deciding what is the right policy for you, you can use its online Name Your Price tool to personalize your buying experience and review coverage options based on your budget. The Progressive mobile app offers instant access to review coverage, ID cards, bill payment and claims submissions.

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Pros and Cons

Pros

  • 24/7 customer support
  • Few customer complaints
  • Multiple insurance discounts

Cons

  • Additional coverage can be pricey
  • Low customer satisfaction ratings
  • May have higher premiums
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