Best Auto Insurance [2023]

Comparing quotes is a great way to locate cheap auto insurance. Still, it’s also vital to consider coverage options, customer service, and financial ratings to find the right company.

Most U.S. states require at least a minimum amount of auto insurance coverage to drive legally, so you should shop around to ensure you find an affordable and stable insurance provider for your needs.

This guide will review everything you need to know about the best auto insurance companies in 2023, including rates, available coverages, financial stability, and customer service. Read on to discover the best auto insurer for you.

The Best Auto Insurance Companies

We’ve ranked the top auto insurance companies based on specific factors that could impact your experience with the provider.

In compiling the picks, we considered average rates by driver profile, coverage options, complaints, collision claim grades from auto body repair professionals, and the company’s website usability. To find the best auto insurance provider for your unique situation, take a look at the best providers for each category below.

Best Auto Insurance Company for Overall Rates: Geico

Geico offers affordable auto insurance rates for drivers of all backgrounds and demographics, making it one of the best for overall rates. Expect to pay $80 monthly for Geico full coverage, 32% lower than the national average. However, rates vary by driving profile and demographics, so you should get a quote to know for sure.

Alongside auto insurance, Geico also offers motorcycle, classic car, RV, ATV, and boat insurance, allowing policyholders the chance to earn a bundling discount. Drivers looking for extra protection could consider optional auto coverages with the company, like emergency road service, rental reimbursement, and mechanical breakdown insurance.

Not only are overall average rates with Geico low, but it also offers affordable coverage to drivers of various demographics who might otherwise incur higher rates.

For example, a 16-year-old male can get a full coverage auto insurance policy with Geico for about $312 monthly, one of the lowest rates of its competitors. Teens are considered high-risk drivers, meaning they get charged higher-than-average rates — Geico offers the coverage they need that won’t break their budget.

Conversely, a 65-year-old driver with a clean record can expect to pay about $78 a month for full coverage with Geico, about 33% lower than the national average for seniors. Older drivers often pay higher rates due to age-related issues like slower reflexes and poor vision, so Geico offers competitive auto insurance rates for seniors too.

If you’re worried Geico will increase your rates after you get in an accident, the company offers accident forgiveness, which keeps your rates from increasing after your first accident. You can add accident forgiveness to your policy by purchasing it or maintaining a clean driving record, depending on the company.

You can also get Mexico auto insurance with Geico if you plan to travel there.

Best Auto Insurance Company for Adding a Teen Driver: Nationwide

Not only is Nationwide one of the best auto insurance providers for teens, but the company also provides discounts catered to students and young drivers, like a good student discount.

Since teen drivers lack driving experience and often engage in distracted driving, insurance companies charge them higher rates to offset their risk. The national average auto insurance rates for teen drivers is $592 monthly. On the other hand, teens pay about $443 a month with Nationwide.

However, these rates are for teens with their own auto insurance policy. Teens can save much more if they’re on their parents’ policy.

Nationwide sells car, classic car, RV, motorcycle, ATV, scooter, golf cart, snowmobile, and boat insurance. You could also get a vanishing deductible with Nationwide if you’re worried about paying an expensive deductible after an accident. Each year you go accident-free, Nationwide takes $100 off your deductible, up to $500.

The company also has accident forgiveness to help drivers avoid higher rates after an at-fault accident. Though you must pay for accident forgiveness, it could help mitigate any higher rates after an accident.

Best Auto Insurance Company for Gap Insurance: Travelers

Travelers offers competitive auto insurance rates to various driver types, including on its gap insurance coverage. On average, you’ll pay around $99 a month for full coverage auto insurance with Travelers.

Gap insurance helps protect your leased or financed vehicle by paying the difference between its actual cash value and the remaining loan or lease balance if it gets totaled in an accident.

For policyholders who enjoy recreation, the company offers boat and yacht insurance. Travelers also sells optional auto insurance coverages like roadside assistance and rental reimbursement.

Check out our Travelers auto insurance review to learn more.

Best Auto Insurance Company for Military and Veterans: USAA

USAA is the best auto insurance company for military and veterans, selling motorcycle, ATV, motorhome, boat, aviation, and classic auto insurance. Expect to pay around $59 a month for USAA full coverage. However, only military members, veterans, and their families are eligible for coverage with USAA.

You can also get accident forgiveness with USAA if you’re worried about an accident increasing your rates. To qualify, you must remain accident-free for at least five years. USAA also sells rideshare coverage if you work for a company like Uber or Lyft.

Visit our USAA auto insurance review for more information.

Best Auto Insurance Company for Paying in Full: Auto-Owners

You can save up to 14% if you pay your policy in full with Auto-Owners, making it the best auto insurance company for paying in full. Drivers should expect to pay about $87 monthly for full coverage with Auto-Owners, much lower than the national average.

Clearly, Auto-Owners specializes in auto insurance, but you can also buy insurance for your ATV, off-road vehicle, motorcycle, trailer, boat, motorhome, or RV. Auto-Owners’ optional add-ons include roadside assistance, additional expense coverage, and gap insurance. However, if you get the Personal Automobile Plus Package, you’ll unlock 10 other additional coverages with Auto-Owners, like identity theft protection and cell phone replacement.

The company also offers diminished value coverage, compensating you after an accident if the damage depreciates your car’s value, even after repairs. In addition, some customers could qualify for “collision coverage advantage,” a coverage that waives your deductible if you get in an accident with another vehicle insured by Auto-Owners.

If you want to know more, visit our Auto-Owners auto insurance review.

Best Auto Insurance Company for Drivers With an Accident: State Farm

Drivers with an accident on their record pay high auto insurance rates due to their increased risk. On average, you’ll pay around $173 monthly with an accident on your record. However, State Farm only charges $102 a month, making it the best auto insurance company for drivers with an accident.

State Farm is the largest auto and home insurance company in the United States, offering auto, motorcycle, RV, off-road vehicle, and boat insurance to policyholders. Drivers who own classic cars could benefit from the company’s vintage vehicle coverage.

You can learn more at our State Farm auto insurance review.

Best Auto Insurance Company for Advance-Purchase Discount: Allstate

With Allstate, drivers can save on their auto insurance when they sign their policy one week or more before it takes effect, so it’s one of the best auto insurance companies for an advance-purchase discount. Expect to pay about $160 a month for full coverage with Allstate.

Allstate provides insurance products for cars, motorcycles, classic cars, ATVs, RVs, and boats. Some add-on coverages Allstate drivers have access to are roadside assistance, rental reimbursement, sound system insurance, gap insurance, new car replacement, and diminishing deductible. New car replacement will pay to replace your vehicle with a new one of the same make and model if it gets totaled.

If you get Allstate’s diminishing deductible, you’ll enjoy $100 off your deductible immediately and $100 off each year you remain claim free, up to $500.

Visit our Allstate auto insurance review to learn more.

Best Auto Insurance Company for Budgeting: Erie

If you’re on a budget and looking to keep your auto insurance rates fixed, Erie is the best auto insurance company for budgeting. With ERIE Rate Lock, you won’t incur higher rates after filing a claim unless you modify your policy, though you must pay for the feature. Modifications include adding or removing a driver, changing your residence, or updating coverage amounts.

A full coverage policy with Erie costs about $58 monthly, almost half the national average. The company also sells motorcycle, RV, classic car, snowmobile, ATV, and golf cart insurance. Erie offers various additional coverages, including roadside assistance, transportation expenses, rental car coverage, lease loan protection, rideshare coverage, and new car protection.

You can also get better car protection from Erie, which replaces your vehicle with one two years newer if you get in an accident.

Check out our Erie auto insurance review for more information.

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How much is coverage from the best auto insurance companies?

Often, cost is one of the most important aspects of shopping for an auto insurance company. The national average for full coverage auto insurance is $119 monthly, but rates vary significantly by company, making it important to shop around.

If you’re looking for the best auto insurance company for price, look at the table below to compare insurers by their average rates.

While looking at average rates gives you a good idea of what you might pay with certain companies, rates vary for several reasons, like demographics or driving profile, so get quotes from insurance companies you’re considering to ensure you’re not overpaying for coverage.

Average Auto Insurance Rates by Driving Profile

Your driving profile heavily influences your auto insurance rates. For example, a driver with a DUI or a driver with poor credit will pay higher rates than drivers with a clean record. Check out the average auto insurance rates by the driving profile in the table below.

As you can see, a driver with a DUI pays about $209 monthly for full coverage auto insurance, whereas a driver with a clean record pays only $119. Compare average rates and get quotes to find the best auto insurance company for your needs. Learn about how long a DUI stays on your record.

What factors impact the cost of auto insurance?

Insurance companies consider various factors — both within and outside of human control — that influence your auto insurance rates. If you’re shopping around for the best auto insurance, know that they’ll probably all consider the following factors:

• Driving record
• Age
• Location
• Coverage options
• Deductible amount
• Vehicle model
• Any coverage lapses
• Credit score, except California, Hawaii, Massachusetts, and Michigan

To offset the risk policyholders pose, insurers consider the factors listed above when determining what they’ll pay for coverage. The best way to find out what you’ll pay is to get quotes from multiple companies.

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Required Auto Insurance Coverages

Which states require auto insurance? Almost all U.S. states require at least a minimum amount of liability auto insurance. However, required coverage types and amounts vary by state. Take a look at the table below for a list of the typical auto insurance coverages required by most states.

Since required coverage types and amounts vary, you won’t know what you’ll pay for auto insurance until you get a quote.

Other Add-on Auto Insurance Coverages to Consider

Most insurance companies offer optional add-on auto insurance coverages to maximize protection or prevent paying for expenses out of pocket. Below is a list of additional auto insurance coverages:

• Gap insurance. Gap insurance pays the difference between your car’s market value and remaining loan balance if it gets totaled. Learn about how much gap insurance costs.
• SR-22 insurance. Your state may require you to file an SR-22 certificate if you have a DUI or multiple moving violations. Your insurer may be able to file one on your behalf, but some could drop you as a customer. Learn how to find companies with the top SR-22 auto insurance coverages here.
• Pay-per-mile insurance. Pay-per-mile insurance is great for drivers who travel infrequently. With this coverage, your insurer considers your monthly mileage when setting your rates.
• New car replacement. If you total your new car, this coverage pays to replace it with a new one of the same make and model. However, rules for new car replacement vary by insurer, so speak with a company representative for more details.
• Accident forgiveness. With accident forgiveness, your rates won’t increase after an accident. Some companies also forgive a rate increase following a moving violation. In addition, you might get this coverage for free if you go a certain period without an accident.
• Vanishing deductibles. An auto insurance deductible is the amount a policyholder pays before their insurance kicks in. If you have a vanishing deductible, your deductible decreases a certain amount — usually $100 — for each year you go claim-free.

While add-on coverages increase your policy’s value and enhance your vehicle’s protection, they also cost more, so make sure you’re only paying for the coverage you need.

Complaints Against Auto Insurance Companies

Customers concerned about an insurance company’s customer service and claims handling should look at complaints. The National Association of Insurance Commissioner’s complaint ratio measures a company’s number of complaints relative to its size.

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Best Auto Insurance Discounts by Company

Many auto insurance providers offer auto insurance discounts to eligible policyholders to help them save on their monthly premiums. However, you may not qualify for some discounts, and you might have to specifically request a certain discount. For example, your insurer won’t know you’re a student with good grades that qualifies for a good student discount until you tell them.

It’s important to look around for discounts and ask about eligible discounts when shopping for insurance. Below, you can see what discounts the best auto insurance companies offer to policyholders.

Geico Auto Insurance Discounts

Alongside lower-than-average rates, Geico provides various discount options, particularly if you’re a safe driver. For example, you could qualify for savings if you remain accident-free for a certain period. Take a look at the list of Geico’s auto insurance discounts below to see if you qualify for any.

• Vehicle equipment discounts: With Geico, up-to-date safety equipment like full front-seat air bags, anti-lock brakes, or an anti-theft system could earn you a discount of up to 40% off your medical payments or personal injury protection insurance.
• Good driver discount: If you go accident-free for five years and maintain a good driving record, you could get up to 26% off most of your coverages with Geico.
• Seat belt use discount: Geico’s seat belt use discount could afford you up to 15% in savings off your medical payments or personal injury protection coverage if you and your passengers wear seat belts.
• Defensive driving discount: You could save on your auto insurance premiums if you complete a Geico-approved defensive driving course. However, availability and eligibility vary by state, so speak with a Geico representative for more information.
• Driver’s education discount: Geico offers a discount if you or a young driver on your auto insurance policy passes a driver’s education course.
• Good student discount: Full-time students between 16 and 24 who maintain a B average or better could qualify for Geico’s good discount.
• Federal employee discount: You could earn up to 8% off your rates if you’re a current or retired federal employee.
• Membership and employee discounts: Geico partners with over 500 alumni associations, fraternities, sororities, and professional organizations, offering discounts to its members.
• Military discount: If you’re active duty, retired, or in the National Guard or Reserves, Geico may discount your rates up to 15%.
• Multi-vehicle discount: Insuring more than one vehicle with Geico earns you a discount on your auto insurance policy.
• Multi-policy discount: Policyholders who have insurance types besides auto could benefit from bundling policies with Geico. You could bundle your auto insurance with homeowners, condo, renters, or mobile home insurance. Though these coverages are available through Geico, the company doesn’t underwrite these other insurance types.

As you can see, Geico offers various discounts to help policyholders save on their monthly premiums. Read on to learn more about discounts at the best auto insurance companies.

Nationwide Auto Insurance Discounts

Nationwide policyholders can potentially save on their auto insurance rates by taking advantage of the company’s discount options, including its pay-per-mile and usage-based auto insurance programs.

• Nationwide SmartRide: Nationwide’s SmartRide service allows you to potentially save up to 40% off your auto insurance if you maintain safe driving habits. You’ll receive 10% off for signing up and the opportunity to save more based on how you drive.
• Nationwide SmartMiles: With Nationwide SmartMiles, your mileage driven determines you auto insurance rates. Each drivers’ rates include a base rate and a per-mile rate, meaning your premiums will vary by month.
• Multi-policy discount: Drivers can save on their home and auto insurance with Nationwide if they bundle them.
• Accident-free and safe driver discounts: You can get a Nationwide discount if you maintain a driving record free of tickets or accidents.
• Defensive driving discount: Completing a state-approved defensive driving course could earn you a discount with Nationwide.
• Good student discount: High school or college students between 16 and 24 can get a discount with Nationwide if they have a “B” average or higher.
• Anti-theft discount: Nationwide offers an anti-theft discount to policyholders who have a vehicle with certain anti-theft devices.
• Easy pay sign-up discount: You’ll get a one-time discount from Nationwide if you set up automatic payments from your bank.
• Paperless discount: Nationwide will discount your rates if you get your bills and insurance documents digitally.

Due to its good student discount and safe driving programs, Nationwide offers various discounts geared to young drivers. Its auto insurance may also be optimal for low-mileage drivers since it offers pay-per-mile and usage-based insurance. Learn more about the top auto insurance providers for teens here.

Travelers Auto Insurance Discounts

Travelers offers its policyholders various ways to save on their auto insurance through discounts. Drivers who like to stay on top of their insurance payments may benefit from the company’s pay-in-full or automatic payments discount.

USAA Auto Insurance Discounts

Loyal USAA auto insurance customers who’ve been with the company for a few years could receive savings for “length of membership.” USAA’s list of auto insurance discounts include the following:

• Safe driver discount: Drivers who’ve had a clean driving record for at least five years could save money with USAA’s safe driver discount.
• Defensive driver discount: You can get a USAA auto insurance discount if you complete an approved defensive driving course.
• Driver training discount: If you’re under 21, you can complete a driver training course and save with USAA.
• Good student discount: High school or college students who have good grades qualify for USAA’s good student discount.
• New vehicle discount: You can get a new vehicle discount with USAA if your car is older than three years.
• Multi-vehicle discount: USAA drivers who insure more than one vehicle qualify for a multi-vehicle discount.
• Annual mileage: If you have low annual mileage, you pose less of a risk to insurance companies, so drivers who don’t drive often qualify for a discount with USAA.
• Vehicle storage: You could save up to 60% on your auto insurance rates if your vehicle is in storage, a significant discount geared toward military members on deployment.
• Family discount: You’ll save on your auto insurance if your parents also have USAA.
• Military installation discount: If your car is garaged on a military base, you could get 15% off your comprehensive coverage.
• Length of membership savings: USAA will discount your auto insurance if you’ve been with the company for several years.

If you’re an active duty service member, a veteran, or their family members, USAA is the best auto insurance provider, offering competitive rates and several ways to save.

Auto-Owners Auto Insurance Discounts

Drivers with Auto-Owners have various savings opportunities with the company’s discounts, particularly high school or college students. Keep an eye out for Auto-Owners’ good student discount and student away at school discount if a driver on your policy attends school.

If you like to pay your bills in advance, look out for the company’s paid-in-full discount to save money for paying your annual premiums in full.

State Farm Auto Insurance Discounts

While State Farm offers some of the lowest rates on average for drivers with an accident, it also provides discounts to individuals who remain accident- or ticket-free. Take a look at State Farm’s list of auto insurance discounts to see if you qualify for savings:

• State Farm Drive Safe & Save: State Farm’s Drive Safe & Save allows policyholders to save up to 30% on auto insurance if they have good driving habits. The company uses a beacon to monitor hard braking, acceleration, speeding, and more. Learn about the best auto insurance companies for people who don’t drive often here.
• Accident-free discount: State Farm will discount your auto insurance if you go three consecutive years without a collision.
• Good student discount: Full-time high school or college students can save up to 25% with State Farm if they have a B average or better.
• Student away at school discount: Drivers under 25 who move away to school can save on their auto insurance with State Farm.
• Safe vehicle discount: If you have a new vehicle with updated safety features, you can save with State Farm. For instance, cars made after 1994 could earn up to 40% off medical-related coverages.
• Anti-theft discount: State Farm offers a discount if your car is equipped with an alarm or other anti-theft device.
• Multi-vehicle discount: Insuring more than one vehicle with State Farm earns you a discount.
• Multi-policy discount: If you bundle your auto insurance with State Farm’s homeowners, renters, condo, or life insurance, you’ll receive a multi-policy discount.
• Loyal customer discount: State Farm has a loyalty discount for policyholders who have insurance on more than car or other insurance types.
• Defensive driving discount: Completing a defensive driving class approved by State Farm will discount your rates by 10% to 15%.
• Driver training discount: Drivers under 21 qualify for savings with State Farm if they finish a driver training course.

State Farm’s competitive rates and various discounts make it an excellent choice for drivers looking to reduce their auto insurance rates.

Allstate Auto Insurance Discounts

Allstate provides various discount options to its policyholders and works great for those who want to pay their premiums in advance. Keep reading to learn more about the company’s discount options.

As you can see, Allstate carries many discounts geared toward customers who like to pay their bills early and on time.

Erie Auto Insurance Discounts

Our analysis named Erie the best auto insurance company for budgeting because of its unique rate-locking program. However, drivers can improve their budget even more with Erie’s various discount options.

Shopping for quotes and discounts is critical to finding the best auto insurance provider for your situation since rates vary by demographics and eligible discounts.

Best Auto Insurance Companies by State

Your auto insurance rates heavily depend on your location since certain areas have heavier traffic or more claims. Take a look at the table below to see the average rates for auto insurance in each state.

Geico is one of the cheapest insures in most states, but you won’t know how much you’ll pay for coverage until you get a quote.

Tips on Finding the Best Auto Insurance Rates

If you’re still looking for more ways to locate the best price for auto insurance, consider the tips listed below:

• Shop around. Obtain quotes from multiple insurance companies to compare and find the most affordable. You could work with an insurance agent or get free quotes online.
• Ask about discounts. When shopping around, ask about any eligible discounts. For example, you could earn savings if you bundle several insurance products or take a defensive driving class.
• Increase your deductible. A deductible is the amount you pay before insurance pays out, so the higher it is, the lower your rates. However, never increase your deductible to an amount you can’t afford to pay out of pocket.
• Consider pay-per-mile insurance. Pay-per-mile policies charge a base rate and a per-mile rate, which considers your monthly mileage. If you don’t use your vehicle a lot, pay-per-mile could be for you.
• Consider usage-based insurance. Usage-based insurance monitors your driving habits, like hard braking, speeding, phone usage, etc., and offers a discount based on how you score.

By following the steps above, you can find the best auto insurance company that fits your budget and unique needs.

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