10 largest online auto insurance – There are thousands of auto insurance companies operating in the U.S., but a handful of large firms dominate the market.
Bankrate averaged each company’s average minimum and full coverage premiums, then weighted those scores by how often customers shopped for policies with the company. We also factored in customer satisfaction survey results from companies such as JD Power & Associates, J.D. Powers—recognized experts in automotive repair industries
Bankrate compiled the scores according to a 5.0 scale, so companies could be ranked according to how they performed in each of the individual scoring categories.
The following list shows how the top 10 U.S. auto insurers account for 77% of all coverage written in the United States, as reported by Triple-I:
- State Farm: 16.0%
- Geico: 14.4%
- Progressive: 13.8%
- Allstate: 10.4%
- USAA: 6.0%
- Liberty Mutual: 5.1%
- Farmers: 4.8%
- Nationwide: 2.1%
- American Family: 2.1%
- Travelers: 2.0%
So how do the nation’s largest car insurance companies compare to each other? Each has its advantages, and the best insurer for one person may not be the best for another. We’ve taken a look at some of these key factors to provide you with an idea of whether they might work well as your next provider
State Farm
- Headquarters: Bloomington, Ill.
- Market share: 16%
- Average annual full coverage premium: $1,397
- Average annual minimum coverage premium: $456
- Bankrate Score: 4.7
State Farm is America’s largest car insurer. The company provides comprehensive coverage and banking products to customers through a network of more than 15,000 local agents.
State Farm offers insurance and banking services that may be of interest if you are looking for these types of products.
According to J.D. Power’s customer satisfaction ratings, State Farm is just above average in terms of overall satisfaction but ranks higher than its competitors when it comes to claims service—a crucial component for insurance companies.
The company’s solid financials are reflected in AM Best’s rating of State Farm as A++ (Superior).
Standout feature:
State Farm has more than 19,000 local agents in its network of insurance professionals. These agents can help you with any questions or concerns about your policy.
In addition, State Farm has a usage-based insurance telematics program called Drive Safe and Save that rewards drivers with discounts on their car insurance based on good driving habits. Policyholders can earn up to 30% for participating—just by signing up!
» MORE : Best Cheap Car Insurance of the Year
Geico
- Headquarters: Chevy Chase, Md.
- Market share: 14.4%
- Average annual full coverage premium: $1,297
- Average annual minimum coverage premium: $365
- Bankrate Score: 4.7
Geico is the second-largest auto insurance company in America and insures more than 28 million vehicles. Its slogan, “15 minutes could save you 15% or more on car insurance,” has made an impression with commercials featuring the Geico Gecko.
A recent J.D. Power survey of auto insurance customers showed that Geico scored just above the industry average in customer satisfaction, which suggests that most people are happy with their interactions with Geico’s claims department.
Geico, a wholly owned subsidiary of Berkshire Hathaway Inc., enjoys an A++ (Superior) rating with AM Best—the highest possible score.
Standout feature:
Geico’s app for Android and Apple allows you to view your policy, get quotes, and file claims at any time on the go.
The company offers a variety of discounts, including occupational and professional organization-based discounts as well as savings for federal employee status.
Progressive
- Headquarters: Mayfield Village, Ohio
- Market share: 13.8%
- Average annual full coverage premium: $1,561
- Average annual minimum coverage premium: $542
- Bankrate Score: 4.4
Progressive is one of the largest car insurance companies in the U.S., offering a wide range of coverage options for your vehicle, home and other valuables—all at competitive prices.
You can save money on your car insurance by enrolling in Progressive’s Snapshot program, which tracks your driving behaviour and offers discounted rates based on how safely you drive.
Though Progressive’s J.D. Power customer satisfaction scores are average, and it receives a below-average ranking for claims service, the company is fiscally sound—and maintains an A+ (Superior) financial strength rating from AM Best.
Standout feature:
Progressive was ranked third overall in the J.D. Power U.S Insurance Digital Experience Study by 2022.
The company’s customers have praised its desktop, mobile web and mobile app platform for being user-friendly—so it could be a good fit for people who want to purchase and manage their car insurance policies digitally.
Allstate
- Headquarters: Northbrook, Ill.
- Market share: 10.4%
- Average annual full coverage premium: $2,438
- Average annual minimum coverage premium: $558
- Bankrate Score: 4.0
Through its wide range of coverage options, Allstate has maintained a reputation for providing customers with comprehensive insurance plans at competitive rates.
Allstate’s customer satisfaction varies depending on where you live: in some regions, it scores above average; in others, below.
The AM Best rating agency has given Allstate an A+ (Superior) financial strength rating.
Standout feature:
The Drivewise telematics program from Allstate rewards participants with a discount on their auto insurance premiums if they maintain good driving habits. In addition, the app provides an opportunity to earn points that can be redeemed for car rentals and magazine subscriptions.
USAA
- Headquarters: San Antonio, Texas
- Market share: 6%
- Average annual full coverage premium: $1,209
- Average annual minimum coverage premium: $354
- Bankrate Score: 5.0
The USAA family of companies is exclusively focused on serving the needs of military families. The auto insurance division accounts for more than 20 per cent of revenue, making it one of the largest in the U.S., offering very competitive rates to active-duty service members and veterans—as well as their eligible family members.
USAA consistently ranks high among customer service providers in the J.D. Power surveys, but eligibility restrictions prevent the company from being officially ranked by the firm
Like several other insurers, USAA maintains the highest possible rating for financial strength from AM Best: A++ (Superior).
Standout feature:
USAA’s car insurance offers features that are designed to make being insured as a military service member more convenient. For example, it provides discounts for vehicle storage and lets you set up automatic payments.
If your car is still being regularly driven, you could add USAA roadside assistance to ensure that if there are any problems while you’re on the road—whether it’s with your vehicle or its occupants—someone will come and help.
Liberty Mutual
- Headquarters: Boston, Mass.
- Market share: 5.1%
- Bankrate Score: 3.9
Through Liberty Mutual, you can buy insurance for many aspects of your life. You can purchase auto insurance directly through the company or go through an agent. If you bundle policies together, or if only certain ones are bundled with others (such as homeowners and auto), then they will all be at a discounted rate—a great way to save money!
Liberty Mutual offers car insurance shoppers a variety of ways to save money on their premiums, including its RightTrack program.
As with Allstate, Liberty Mutual’s customer satisfaction ratings vary by region. If you get a quote from this company and live in one of the areas where its scores are low, you may want to consider another provider. AM Best has given Liberty Mutual an A (Excellent) financial strength rating.
Standout feature:
Liberty Mutual’s Better Car Replacement program will replace your totalled vehicle with a model one year newer, and no more than 15,000 miles on it.
Owners who have suffered a total loss can buy this coverage to extend their current vehicle’s warranty.
Farmers
- Headquarters: Los Angeles, Calif.
- Market share: 4.8%
- Average annual full coverage premium: $1,524
- Average annual minimum coverage premium: $550
- Bankrate Score: 3.8
Farmers Insurance includes transportation provider coverage as part of its standard auto policies, so if you drive for a service like Uber or Lyft, there’s no need to buy additional insurance.
You can get the insurance that will replace your car’s original equipment manufacturer parts if they are damaged.
Farmers Insurance Group received good marks in the surveys that J.D. Power conducts for insurance customers, and AM Best—a firm whose business is measuring and rating the financial strength of insurers—gives Farmers an A- (Excellent) rating on its scale of grades from AAA + to D.
Standout feature:
If you have recently purchased a new car, Farmers’ New Car Replacement Coverage is an optional coverage designed to replace your vehicle with a brand new model if it’s totalled in an accident and has less than 24,000 miles on the odometer.
Nationwide
- Headquarters: Columbus, Ohio
- Market share: 2.1%
- Average annual full coverage premium: $1,383
- Average annual minimum coverage premium: $549
- Bankrate Score: 4.4
Nationwide provides a wide range of insurance options to individuals and businesses.
In addition to the essential coverage options like bodily injury and property damage, Nationwide also provides optional add-ons for your auto policy. These include towing services as well as rental car costs in case you’re involved in an accident where your vehicle is deemed a total loss.
Nationwide’s overall satisfaction with auto insurance clients dropped in J.D. Power’s recent survey, but the company still ranked among the least impressive companies for claims service when compared to other major insurers.
Nationwide’s financial strength is rated A+ (Superior) by AM Best.
Standout feature:
Through the Vanishing Deductible program, you can potentially earn a $100 discount on your collision and/or comprehensive deductible for each year that you practice safe driving—a maximum of five years will be considered.
Depending on the types of coverage in your policy, it may cover all or some of your deductible.
American Family
- Headquarters: Madison, Wis.
- Market share percentage: 2.1%
- Average annual full coverage premium: $1,627
- Average annual minimum coverage premium: $592
- Bankrate Score: 4.3
The American Family Insurance Group sells auto, home, life, health and travel insurance. It also offers identity theft protection to its customers.
AmFam excels in customer service, offering a variety of convenient options such as smartphone apps and easy-to-use bill payment.
AmFam’s excellent financial strength rating of A+ (Superior) is awarded by AM Best.
Standout feature:
American Family’s Dreams Restored Program takes the stress out of finding a repair shop by connecting you with partner shops in your area. Bills are sent directly to the insurance company, so you never have to see them—and if for any reason something goes wrong, American Family will fix or replace it for free!
Travelers
- Headquarters: New York City, N.Y.
- Market share percentage: 2.0%
- Average annual full coverage premium: $1,447
- Average annual minimum coverage premium: $1,477
- Bankrate Score: 4.
Travelers offer standard coverage options as well as add-ons, such as rental car insurance and accident forgiveness.
Travelers’ many discounts allow you to save money on your policy by bundling, safe driving, or shopping early for a new one. For example, Travelers’ multi-policy discounts can save up to 13% off of car insurance premiums.
According to the J.D. Power’s Travel Insurance Claims Study, travelers received below-average claims services ratings as well as below-average customer service satisfaction scores in regions where it is available.
Like the other top insurance companies, Travelers has a strong balance sheet and maintains AM Best’s highest financial strength rating—A++ (Superior).
Standout feature:
If you live in one of the states where IntelliDrive is available, you can use its usage-based smartphone app to track your driving habits for 90 days and get a discount on your premiums based on how safely and efficiently you drive.
If your driving habits are not safe, Travelers may increase your premium.
