Fred Loya Auto Insurance Review [2023]

Is Fred Loya Insurance a Good Choice?

Fred Loya Auto Insurance offers auto insurance for high-risk drivers and non-standard drivers in the U.S. Car insurance coverage with Fred Loya is available in Alabama, Arizona, California, Colorado, Georgia, Illinois, Indiana, Missouri, Nevada, New Mexico, Ohio, and Texas. If you live elsewhere, you’ll need to consider other auto insurance companies to meet your needs.

With Fred Loya, high-risk drivers can purchase minimum coverage, and many customers state rates with Fred Loya are cheaper than those with other well-known auto insurance companies. In addition, Fred Loya offers SR-22 filings for policyholders who need SR-22 coverage in their state. If you need an SR-22, you’ll have to pay a small fee, and you may find that your insurance rates increase as a result.

EP Loya Group, an insurance company based in Texas, owns and operates Fred Loya, along with Loya Insurance Company, Young America Insurance, Rodney D. Young Insurance, and National Insurance. Depending on where you live, you may find that Fred Loya operates under one of the other company names.

Fred Loya is known for cheap rates, but the company also offers unique coverage features, like a complimentary rental car service. Fred Loya policies are available in many supermarkets, and the company offers quotes and services in Walmart stores.

Unfortunately, many Fred Loya policyholders say the company’s policies are confusing. Customers say that Fred Loya uses confusing language to introduce policy exclusions without customers’ knowledge. Fred Loya also receives far more than the standard number of customer complaints for a company of its size. These facts make Fred Loya undesirable to potential policyholders who value transparency and customer service.

Customers that appreciate Fred Loya cite the ability to purchase a policy with the company when they couldn’t get coverage with other insurance companies in their area. Still, high-risk drivers have multiple options. So if you’re shopping for coverage as a high-risk driver or want cheap car insurance in your area, find and compare quotes from several insurance companies before you make a final decision.

Does Fred Loya have good ratings and reviews?

According to the National Association of Insurance Commissioners (NAIC), Fred Loya receives far more than the expected number of customer complaints for a company of its size. For many potential policyholders, this is a red flag that they should look elsewhere for auto insurance coverage.

Fred Loya doesn’t have a good reputation regarding customer service. The company often receives complaints about its poor customer service department, how long it takes for payouts, and deceptive language and exclusions in its car insurance policies.

Fred Loya paid significant fines in Texas in 2012 because it didn’t adhere to specific underwriting guidelines for customer discounts. Instead, the company imposed additional requirements on its policyholders’ car insurance contracts to increase their monthly or annual premiums.

Information from the NAIC shows Fred Loya receives 47% more complaints than expected based on its size. In addition, Fred Loya reviews on the Better Business Bureau (BBB) website and Reddit suggest the company needs to improve its customer service, claims handling, and policy language.

What are the pros of a Fred Loya auto insurance policy?

If you choose Fred Loya for your auto insurance needs, you may be happy to know the company has many benefits to its policies. Some of Fred Loya’s most significant benefits include:

• Policy options for high-risk drivers
• Complimentary rental car in certain scenarios
• Cheap monthly or annual rates
• Coverage available in convenient places like grocery stores and shopping centers

High-risk drivers can have difficulty finding proper coverage with certain insurance companies. If you’re a high-risk driver, you may not have as many car insurance options as you’d like. Fred Loya markets its policies to high-risk and non-standard drivers seeking proper coverage. You’ll be able to get a minimum coverage policy with Fred Loya, and your rates may be lower than you’d expect.

Fred Loya offers complimentary rental cars if you have a full coverage policy. In addition, if you have full coverage with Fred Loya, the company will pay for a rental car if your vehicle is in the shop after a covered event. While many insurance companies offer rental car reimbursement, this coverage typically costs extra. Additionally, with Fred Loya, you won’t have to pay out of pocket and wait for your refund.

Fred Loya is known for offering extremely cheap car insurance rates. If you’re looking for the cheapest rates in your area, you may consider Fred Loya. Purchasing a minimum coverage with Fred Loya could help you save hundreds of dollars on your car insurance coverage compared to other well-known insurance companies. Cheap car insurance is especially exciting for high-risk drivers who typically pay more for car insurance coverage.

Fortunately, Fred Loya sells coverage in many convenient spaces. For example, you can purchase Fred Loya car insurance coverage in certain malls, supermarkets, and shopping centers. You can also find Fred Loya coverage options online or call the company to purchase a policy.

What are some of the cons of a Fred Loya auto insurance policy?

Fred Loya policyholders get several benefits from a policy. Still, purchasing car insurance coverage with Fred Loya has its own disadvantages. Some of the most significant downsides to purchasing a Fred Loya auto insurance policy include the following:

• A high number of customer complaints and legal issues
• No option to get a quote or file a claim online
• Confusing language and exclusions in policies
• A limited time frame for filing claims

Fred Loya receives far more than the average number of complaints for a company of its size. On average, Fred Loya customers issue five times as many complaints as normal. Fred Loya’s customer service complaints generally revolve around claims handling, taking too long for payouts, and citing exclusions that policyholders were unaware of.

You cannot purchase a car insurance quote or submit Fred Loya claims online. Instead, you must call the Fred Loya customer support number to file a claim or get a quote. Many potential customers see this as a disadvantage as many other insurance companies make online quotes and claims processes simple and effective.

Many Fred Loya customers state that the company includes confusing language and undisclosed exclusions in its car insurance policies. Fred Loya ratings and reviews often state customers are frustrated because they assumed an accident or incident would be covered under their policy when it wasn’t. Fred Loya may not be a good option if you don’t like the idea of a gray area regarding your car insurance policy.

Lastly, customers can only file car insurance claims during certain days and times. Fred Loya doesn’t offer 24/7 assistance or support. Rather, you must call the company from 7 a.m. to 8 p.m. Monday through Friday or from 7 a.m. to 4 p.m. on Saturdays.

Fred Loya Insurance Rates

Car insurance rates vary for several reasons. Many companies consider specific factors when determining a person’s car insurance rates. However, you may find that some companies offer cheaper rates for coverage because of how your specific information gets used.

Some of the most important factors when determining a person’s car insurance rates include the following:

• Age
• Location
• Gender
• Marital status
• Driving history
• Credit score
• Coverage type

As you compare quotes, you’ll likely notice that some companies charge more based on your unique factors while some charge less. As a result, it’s important to get quotes from several companies in your area. Otherwise, you may overpay for your car insurance coverage.

Does Fred Loya offer cheap full coverage auto insurance?

Fred Loya policyholders typically pay around $2,889 annually or $241 per month for a full coverage car insurance policy. Full coverage rates with Fred Loya exceed the national average for coverage. The national average for a full coverage policy in the U.S. is $1,428 annually or $119 per month.

If you’re looking for full coverage, you may consider another company in your area. You can find and compare auto insurance quotes to determine which company offers full coverage at an affordable price. Comparing quotes can help you get the coverage you need on your vehicle without paying too much for car insurance.

Does Fred Loya offer cheap minimum coverage auto insurance?

While the company’s full coverage rates may seem steep, Fred Loya offers minimum coverage to its policyholders for a fraction of the cost. For example, with Fred Loya, you can purchase a minimum coverage car insurance policy for just $449 annually or $37 per month. The national average for a minimum coverage policy is around $540 annually or $45 per month.

Fred Loya may be a good option if you’re looking for minimum coverage. Still, consider the number of customer complaints before committing to Fred Loya as your auto insurance company. In addition, many companies in your area may offer minimum coverage car insurance rates below the national average.

How does Fred Loya coverage compare to the national average for high-risk drivers?

Fred Loya will likely offer you car insurance coverage if you’re a high-risk driver. But, unfortunately, high-risk drivers will pay rates much higher than the national average with Fred Loya.

If you have a speeding ticket on your driving record, you will pay around $2,863 annually or $239 per month for a full coverage car insurance policy with Fred Loya. The national average for someone with a speeding ticket on their driving record is $1,764 annually or $147 per month for full coverage.

Individuals with an at-fault accident on their driving record will pay around $3,430 annually or $286 per month for a full coverage car insurance policy with Fred Loya. The national average for a full coverage policy if you have an at-fault accident on your record is around $2,076 annually or $173 per month. Learn about how long an accident stays on your record.

Lastly, teen drivers will pay significantly higher rates for a full coverage policy with Fred Loya. The average cost of a full coverage policy with Fred Loya for a 16-year-old driver is $7,747 annually or $646 each month. The national average for a full coverage car insurance policy for a teen driver is $7,104 annually or $592 per month.

Before committing to a policy with Fred Loya, shop and compare quotes from several insurance companies in your area.

Fred Loya Insurance Discounts Available

Fred Loya offers specific auto insurance discounts to its policyholders. Some of the company’s most significant discounts include:

• Multi-vehicle discount: If you insure more than one car with Fred Loya, you may get a discount on your coverage. 
• Safety features discount: Save money if your vehicle has certain safety features like air bags and automatic seat belts.
• Anti-theft device discount: Save money on your coverage if your vehicle comes with anti-theft devices. 
• Defensive driving discount: If you complete a defensive driving course, you may qualify for a discount on your car insurance coverage.
• Driver’s education discount: Save money if you take an approved driver’s education course.
• Alcohol and drug awareness discount: Save money on your Fred Loya car insurance coverage if you pass an approved alcohol and drug awareness course. 

Discounts can help you save up to 25% on car insurance coverage. If you believe you qualify for one or more discounts with Fred Loya, call and speak with a company representative to learn how much you could save on your monthly or annual premiums.

Fred Loya Insurance Coverage Options

Fred Loya offers the standard coverage types you would expect with any car insurance company. These coverages include:

• Bodily injury liability: Bodily injury liability insurance helps if you cause an accident and one or more people get hurt. Bodily injury liability coverage is mandatory in most states.
• Property damage liability: Property damage liability coverage helps if you cause an accident and damage someone’s vehicle or personal property. Property damage liability coverage is mandatory in most states. 
• Personal injury protection (PIP): Personal injury protection insurance coverage helps with medical bills, lost wages, and funeral costs after a covered event. Certain states require PIP coverage.
• Medical payments (MedPay): MedPay covers medical bills like hospital stays and visits to the doctor after a covered event. Certain states require MedPay insurance.
• Uninsured/underinsured motorist: Uninsured/underinsured motorist coverage helps if you’re in an accident and someone else is at fault but doesn’t carry proper coverage. Your insurance will pay for repairs to your vehicle. Certain states require uninsured/underinsured motorist coverage.
• Collision insurance: Collision auto insurance pays for repairs to your vehicle if you were at fault in an accident and your car gets damaged.
• Comprehensive insurance: Comprehensive insurance would pay for repairs to your vehicle if wild animals, theft, vandalism, or inclement weather damaged your car.

You must carry minimum coverage in your state to drive legally. Depending on where you live, you may need PIP, MedPay, or uninsured/underinsured motorist insurance, alongside property damage and bodily injury liability.

Collision and comprehensive coverage aren’t required, but you may need to carry this insurance if you have a loan or lease on your car. Learn more about the difference between comprehensive and collision auto insurance coverage here.

In addition to the coverage options listed above, Fred Loya offers add-on coverages that policyholders can purchase for additional peace of mind on the road. One of the company’s most popular add-on coverage options is rental reimbursement. With rental reimbursement, you get reimbursed if you need to rent a car while yours is in the shop following a covered event.

Does Fred Loya offer SR-22 coverage?

The subject may be confusing if you’ve heard of SR-22 insurance before. SR-22 isn’t a type of car insurance. Rather, certain drivers may need to file an SR-22 form with their state’s department of motor vehicles to drive legally.

Some insurance companies won’t file an SR-22 form on your behalf because, typically, an SR-22 suggests that you pose more of a risk on the road because of one or more blemishes on your driving record. Some of the main reasons you may need to file an SR-22 form in your state include:

• Driving with a suspended license
• Driving without a license
• Driving under the influence of drugs or alcohol
• Multiple speeding tickets
• Multiple traffic tickets
• More than one at-fault accident
• Failure to pay child support

If you need to file an SR-22 with your state, you should be able to do so with Fred Loya. However, you may find that your car insurance rates increase due to filing an SR-22 with the company, and Fred Loya likely charges a small fee for filing the document. 

Finding and comparing car insurance quotes with several companies in your area is important. If you need an SR-22, check with several insurance companies to see which is willing to file on your behalf while still offering the coverage you need at a price that works with your budget. Doing so will help you find your area’s top SR-22 auto insurance coverage options.

Does Fred Loya use exclusions in car insurance policies?

When purchasing car insurance coverage with Fred Loya, it’s important to read the fine print. Unfortunately, many Fred Loya policies use confusing language and include exclusions many overlook. 

One example of an exclusion with Fred Loya is its full coverage policies. If you purchase full coverage auto insurance — or what the company calls “complete coverage” — you may assume that collision and comprehensive insurance cover your vehicle without any exclusions. However, Fred Loya stipulates in its contracts that its complete coverage only applies if your vehicle is free of any damage.

Before purchasing a policy, you should speak with a Fred Loya representative to discuss potential exclusions. Since Fred Loya doesn’t offer quotes online, you’ll have to purchase auto insurance with the company over the phone or in person at certain stores and shopping centers.

Fred Loya Auto Insurance: The Bottom Line

Fred Loya offers car insurance coverage to high-risk drivers in several U.S. states. While minimum coverage rates with Fred Loya are cheaper than the national average, a full coverage policy costs significantly more than it would with most other well-known insurance companies. 

If you’re a high-risk driver and need to file an SR-22 in your state, Fred Loya could help. You can expect your car insurance rates to increase due to filing an SR-22. While some insurance companies hesitate to offer SR-22 insurance, Fred Loya helps its policyholders apply for proper coverage and prove their financial responsibility in their state.

Fred Loya receives many customer complaints for a company of its size, and many customers say the company uses confusing language and exclusions in its policies. Before you purchase car insurance with Fred Loya, compare quotes from several insurance companies to determine which offers the coverage you want at a price that works with your budget.