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State Farm, GEICO, Allstate, Erie, and USAA are among the top companies according to our research.
Full Coverage Averages
• Annual Premium: $1,697
• Monthly Premium: $141
Read our State Farm review.
✓ Easy claims process
✓ High-quality customer service
X No accident forgiveness
Full Coverage Averages
• Annual Premium: $1,572
• Monthly Premium: $131
Read our GEICO review.
✓ Low premiums
✓ Good rates for bad credit
X Costly rates with DUI
Full Coverage Averages
• Annual Premium: $2,639
• Monthly Premium: $220
Read our Allstate review.
✓ Save up to 25% with bundling
X Higher rates
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(855) 909-2474Request a free quoteLooking for the best auto insurance? Our team of experts researched hundreds of carriers and identified the top 10 auto insurance providers to make your shopping process easier. We assess providers on factors like price, claims servicing, coverage options, and customer satisfaction. For each provider, we use industry research, pricing data, and experience from real-life customers to inform our review.
We ranked State Farm number one overall for its competitive pricing that doesn’t compromise on customer service and claims. GEICO also received top marks as one of the best cheap auto insurance companies. For those looking to bundle home and auto insurance, we recommend Allstate. Providers Erie and USAA – whose availability are limited by region and military affiliation respectively – are also excellent options for those who qualify.
When it comes to car insurance providers, there’s no one-size-fits-all. If you have a spotty driving history, check out the best auto insurance companies for a bad record. Families with young drivers can find the best auto insurance for teens. Ride a motorcycle? See our top insurance picks for motorcycles.
Editor’s note: We updated this article on April 30, 2024, with new info on carriers based on the latest research, pricing data, and market conditions.
Best Overall for Quality and Affordability: State Farm
Cheapest Car Insurance Rates: GEICO
Best for Bundling Home and Auto: Allstate
Best for Military: USAA
Best for Full Coverage: Erie
Best for Families With Young Drivers: Auto-Owners
Best for Mileage-Based Insurance: Nationwide
Best for Customer Satisfaction: Amica
Best for High-Risk Drivers: Progressive
Best for Seniors: AARP
Company | Best for | Average annual premium for full coverage | Average annual premium for minimum coverage | J.D. Power Claims Satisfaction score (industry average is 873 out of 1,000)1 |
States available |
---|---|---|---|---|---|
State Farm | Quality coverage for price | $1,697 | $482 | 891 | 48 and D.C. (no longer selling new policies in MA or RI) |
GEICO | Affordability and availability | $1,572 | $413 | 871 | All and D.C. |
Allstate | Bundling home and auto | $2,639 | $597 | 882 | All and D.C. |
Erie | Full coverage | $1,495 | $483 | 902 (#2 overall) | 12: IL, IN, KY, MD, NY, NC, OH, PA, TN, VA, WV, WI, and D.C. |
USAA | Military | $1,322 | $356 | 900 | All and D.C. |
Auto-Owners | Families with young drivers | $1,643 | $386 | 888 | 26: AL, AZ, AR, CO, FL, GA, ID, IL, IN, IA, KS, KY, MI, MN, MO, NE, NC, ND, OH, PA, SC, SD, TN, UT, VA, and WI |
Nationwide | Mileage-based insurance | $1,805 | $613 | 875 | 46 and D.C. (all except AK, HI, LA, and MA) |
Amica | Customer satisfaction | $2,283 | $854 | 909 (#1 overall) | 49 and D.C. (all except Hawaii) |
Progressive | Bad driving records | $1,891 | $481 | 870 | All and D.C. |
Hartford (AARP) | Seniors | $2,316 | $735 | 877 | All and D.C. |
State Farm offers all of the standard coverage options, as well as a few extras like rideshare insurance — and you can manage your policy with a user-friendly mobile app. An A++ rating for financial stability from AM Best and an above-average score for claims satisfaction from J.D. Power make it a reliable and affordable provider.
One way State Farm is able to keep rates low is by offering a number of auto insurance discounts. Depending on where you live, you might be able to save by:
On average, the cost of auto insurance after an accident increases by about 30 percent for three to five years. State Farm’s rates increase by an average of only 28 percent, making it a good choice for drivers with an at-fault accident on their record.
If you use your vehicle for a rideshare or delivery service like Uber, Lyft, or DoorDash, it’s wise to purchase rideshare coverage. State Farm is one of the best options for rideshare drivers, due to its strong protections and availability. Many major insurers offer rideshare coverage only in a handful of states, but with State Farm, you can add it to your policy everywhere except Alaska, Hawaii, Illinois, Massachusetts, North Carolina, Rhode Island, and South Dakota.
GEICO has some of the cheapest auto insurance prices in the country, especially if you live in New York or New Jersey. Unlike State Farm, which has a wide agent network, GEICO conducts most of its business online. If budget is top of mind for you, consider GEICO as your car insurance provider.
While no single insurance provider will be the cheapest for absolutely everybody, GEICO is a good bet for most drivers. With an average annual cost of $1,572 for full coverage, GEICO is the cheapest large service provider available in all 50 states and D.C. However, expect lower prices in states like Maine and higher prices in states like Louisiana, where car insurance is more expensive in general.
GEICO stands out for offering a number of discounts:
Available GEICO discount | Potential savings |
---|---|
Defensive driving or driver education course | Varies |
Good student | 15% |
Five years accident-free | 22% |
Emergency military deployment | 25% |
Federal employee | 12% |
Military | 15% |
Other affiliation | Varies |
Multi-vehicle | 25% |
Bundling | Varies |
Air bag | 23% |
Anti-lock brakes | 5% |
Anti-theft system | 23% |
Daytime running lights | 3% |
New vehicle (3 years old or newer) | 15% |
Drivers with bad credit pay more for auto insurance, an average of 72 percent more, to about 3,315 annually for full coverage. GEICO’s rates increase to only $2,554 – 30 percent less than the national average – it is a solid choice for those with a low credit score.
For people who own their home, Allstate is a great choice because it offers strong bundling and homeowners discounts. It also stands out as one of the two major insurers on our list to offer pay-per-mile insurance — and is unique for the ability to insure multiple cars on the same policy that are either pay-per-mile or traditional unlimited mileage. Its rates are on the higher side, especially compared to companies like USAA, Erie, or GEICO.
Allstate makes it easy to bundle home and auto policies, whether you’re a homeowner, renter, or condo owner. You’ll save the most if you’re a homeowner — up to 25 percent.
Along with Nationwide, Allstate is one of the only major insurers on our list to offer pay-per-mile insurance, called Milewise. You’ll pay a base daily rate, plus a per-mile rate based on how much you drive. If you take a road trip, Allstate caps daily mileage charges at 250 miles.
Milewise is available in the following states: Arizona, Delaware, Idaho, Illinois, Indiana, Maryland, Minnesota, Missouri, Ohio, Oklahoma, Oregon, Pennsylvania, South Carolina, Virginia, Washington, West Virginia, and Wisconsin.
Heads up: as of 2024, Milewise is no longer available in Florida, Massachusetts, New Jersey, or Texas.
Many providers require students to hold a B average (3.0 GPA) or higher to qualify for a student discount. Not only does Allstate have a lower grade threshold, but it also offers two alternate paths to the discount for young drivers who are not full-time students. Drivers qualify if they are under age 25, unmarried, and fulfill just one of the following criteria:
Between its pay-per-mile option and multiple paths to a student discount, Allstate may be a good choice for college students who take their vehicle to school.
USAA offers financial services like insurance, banking, and investment advice for members and veterans of the U.S. military, pre-commissioned officers, and their spouses and children. If you qualify, USAA is a great choice — offering the cheapest car insurance rates of our top picks along with exceptional customer service. It’s the only provider on our list available exclusively to those affiliated with the U.S. military.
FYI:
USAA membership is completely free.
USAA has various car insurance discounts available, including the following:
These discounts make USAA a great choice whether you’re the parent of a teen driver, deployed overseas, or the child of veteran parents.
Aside from regular cars, USAA also offers insurance for these vehicles:
In many cases, insuring more than one vehicle on a policy will get you a discount.
If you have to go overseas for a permanent change of station (PCS), USAA will not make you cancel your policy. Instead, the company will protect your car while you’re away, offering liability coverage, personal injury protection, and vehicle storage. USAA also offers information about moving abroad and returning to the U.S. for the following countries:
We like Erie for its low prices, solid claims satisfaction ratings, and additional benefits for those who plan to purchase full-coverage auto insurance. Unlike the major providers, which operate in nearly every state, Erie’s main downside is that it’s available in only 12 states and D.C.
Erie offers the lowest rates among our top picks (with the exception of USAA, which is available only to military customers), with the average cost of a full coverage policy coming in at $1,238 annually. The company doesn’t compromise on quality of service, holding a score of 902 out of 1,000 for claims satisfaction from J.D. Power — the second highest behind Amica.
Since 2021, auto insurance rates have been on the rise, increasing by over 20 percent from 2023 to 2024 (the previous year, rates rose by over 15 percent).2
Erie offers a unique feature called Rate Lock, which keeps your premium stable year after year. If you add this feature to your policy, your premium will increase only if you move or change the vehicles or drivers on your policy. If you change your coverages, your policy will reflect only that adjustment.
Rate Lock protects you not only from inflation and market fluctuations, but also from increases due to accidents or speeding tickets. Keep in mind that Rate Lock doesn’t guarantee coverage, meaning Erie can refuse to renew your policy in the event of a serious violation like a DUI.
When you add comprehensive coverage to your Erie policy, you get the following additional benefits:
Erie’s Auto Plus package, available for $35 per year, also includes a range of benefits:
Operating in 26 states, Auto-Owners Insurance stands out for its reasonable rates for teen drivers on a family policy, bundling discount, and policy add-ons.
The cost of adding a teen driver to a policy can be $2,500 to $3,000 annually (and sometimes more), making teens some of the most expensive drivers to insure. On average, adding a teen to an Auto-Owners policy costs $1,841 annually ($153 monthly), making it one of the cheapest providers for families with teens.
The company also offers the following discounts for teen drivers:
Auto-Owners offers a couple of coverage options that benefit customers with new vehicles:
Auto-Owners rates go up by an average of 15 to 25 percent after an accident (compared to the national average of 50 percent). If you have an at-fault accident on your record, it’s worth getting a quote. Additionally, the company will waive your collision deductible if you’re involved in an accident with another vehicle insured by Auto-Owners.
Once you’re accident-free for three years, you can purchase accident forgiveness for your policy.
Nationwide is one of the few major providers to offer a pay-per-mile insurance option in nearly every state, which can help you save money if you don’t drive much. Nationwide also offers special coverages like gap protection, a vanishing deductible, and a total loss deductible waiver.
Pay-per-mile insurance is most likely to benefit people who drive fewer than 8,000 to 10,000 miles per year, for example:
Nationwide offers a plan called SmartMiles, which charges you based on how much you drive. With SmartMiles, you’ll pay a monthly base rate, plus a per-mile rate. For example:
Monthly base rate | $60 |
---|---|
Per-mile cost | $0.07 |
Miles driven per month | 500 |
Monthly cost | $60 + $0.07 x 500 = $95 |
TIP:
If you go on a road trip, Nationwide will cap the daily mileage charge at 250 miles.
Nationwide’s pay-per-mile insurance is more widely available than Allstate’s. Nationwide offers SmartMiles everywhere except Alaska, Hawaii, Louisiana, North Carolina, New York, and Oklahoma.
Most major providers offer a discount for tracking driving behaviors like braking, acceleration, and speed — often known as a telematics discount. Typically, this discount can earn you anywhere from 5 to 10 percent off for signing up and 15 to 30 percent off depending on your driving habits.
Nationwide’s telematics program, called SmartRide, stands out in that you get 10 percent off for signing up and up to 40 percent off for safe driving. This is a higher discount than what you’ll see with many other providers.
Customers should take note that SmartRide is available only with a traditional unlimited mileage policy. SmartMiles customers can earn up to 10 percent for safe driving habits.
Nationwide offers the following perks to its customers:
One of the oldest auto insurance companies in the country, Amica stands out for its exceptional customer service. It holds a score of 909 out of 1,000 from J.D. Power for claims satisfaction — the highest overall — and receives few customer complaints, according to the NAIC.3 Amica is not the cheapest provider on our list, but in exchange for higher rates, you’ll receive an exceptional level of service.
Amica is a mutual insurance company, meaning it is owned by policyholders rather than investors or stockholders. Because of this, Amica offers customers the option of purchasing a traditional policy or a dividend-paying policy.
The company reports that policyholders receive an average of 5 to 20 percent of their annual premium, which you can receive as a check or credit toward your next bill. A dividend-paying policy often costs more upfront but saves you money in the long run.
For those who want extra peace of mind, Amica offers a Platinum Choice Auto plan. The package includes the following protections, which can also be purchased individually:
Even if this premium option isn’t for you, you’ll still receive great protection with Amica’s standard coverage options:
Amica offers the following discounts, which can help you save on your premium:
If you’re a driver with a bad driving record or high-risk designation, Progressive is a good option because it offers reasonable rates and a discount for demonstrated safe driving behaviors. In particular, Progressive is a good choice for drivers with DUIs. Unlike companies like Allstate, which may drop your policy or raise your rate drastically after a DUI, Progressive accepts drivers with DUIs and its rate increases are comparatively modest.
A DUI will raise your insurance premium more than nearly any other violation. On average, rates rise by about 75 percent after a DUI, though the exact amount depends on factors like your state and your blood alcohol concentration (BAC) at the time of arrest. Progressive’s rates increase by only about 30 percent for drivers with a DUI, to approximately $2,437 annually.
Progressive offers coverage for drivers who work for Lyft, Uber, DoorDash, or similar services. When you add rideshare coverage, Progressive extends the protections on your personal policy to the periods when the app is on and you’re waiting to match with a passenger. These include:
Once you’re transporting a passenger, the rideshare company’s own insurance will kick in, but often with a high deductible. Progressive will reimburse you the difference between the rideshare company’s deductible and the deductible on your personal policy. For example, if the rideshare’s deductible is $2,000 and yours is $500, Progressive will give you $1,500 in the event of a covered incident.
Progressive offers an optional diminishing deductible add-on, which it calls Deductible Savings Bank Coverage. If you purchase it, Progressive lowers your deductible by $50 every six-month policy renewal you go without an accident or a violation ($100 for annual policies).
You can get a diminishing deductible with an auto, RV, motorcycle, or boat policy.
If you’re 50 or older, consider The Hartford, car insurance from the American Association of Retired Persons (AARP). This program is for AARP members only, but you can become a member online easily. Annual costs begin at $12 for the first year and go to $16 per year from the second year on, with discounts if you sign up for multiple years. The car insurance is also affordable, saving members an average of $507 each year, making it worth the membership fees. It’s the only provider on our list that specifically caters to seniors.
If you get into an accident and have medical payments coverage or PIP, your insurance company will cover your medical costs, lost wages, and child care, in some cases. However, AARP goes above and beyond with services we haven’t seen from any other car insurance provider. If you’re hurt in an accident, the RecoverCare program will provide these services:
In other words, you won’t have to depend on your friends and family for your basic household needs. Even if you’re injured, you can maintain your independence — an important factor for many older adults.
The stereotype that older adults have more car accidents isn’t true. In fact, drivers 55 and older are 85 percent less likely to be involved in car crashes compared to the national average. Accident rates are even lower for those 65 and older, according to data from the National Highway Traffic Safety Administration.
Of course, accidents can happen to anyone, but with The Hartford, once you’ve had a clean driving record for five consecutive years, your rates won’t go up after your first accident. If you’re a good driver with a solid record, The Hartford offers accident forgiveness, a great insurance feature that we haven’t seen from many other providers.
No one enjoys making a car insurance claim, but AARP makes it as easy as possible for older adults. If you have a claim, call its phone line (available 24/7) to speak to a human. You’ll describe your claim, submit documentation and photos, and track your claim online. In the meantime, you’ll benefit from AARP’s network of repair shops, glass installers, roadside assistance, and rental car partners.
We take a three-pronged approach to choose the best auto insurance providers:
Here’s how car insurance works:
Car insurance is not only worth it in cases of major accidents, thefts, or damages, but also legally necessary. Almost all states in the U.S. require some form of auto insurance to protect against bodily injury liability and property damages liability. However, beyond the minimum state requirements, you’ll have to decide for yourself how much coverage you need.
How much car insurance you need depends on factors like how much your state requires and how much you can afford to pay out of pocket in the event of an accident.
All states require:
All states except Florida and New Jersey require:
Some states also require medical payments or personal injury protection, uninsured motorist coverage, and underinsured motorist coverage.
To see your state’s requirements, read our auto insurance guide.
Once you’ve hit the minimum requirements, you can decide which additional coverages you want. We recommend drivers increase their liability limits to at least $300,000 per accident. Increasing your liability limits typically adds only a few dollars per month to your premium, and this will protect your assets in the event of a serious accident. We also often recommend drivers hold comprehensive and collision coverage, especially if they drive a vehicle that’s 10 years old or newer. And, if you rely on your car daily, rental reimbursement is a low-cost add-on that will save you money and hassle in the event your car is in the shop for repairs.
Depending on your needs, you may also want to purchase additional coverages, such as:
The average cost of car insurance in 2019, the last year federal data was available, was $1,070.47. However, the average car insurance cost differs by state. See below for your state’s average annual cost of auto insurance.4
State | Average cost of auto insurance in 2019 |
---|---|
Alabama | $932.14 |
Alaska | $991.09 |
Arizona | $1,063.93 |
Arkansas | $897.92 |
California | $1,051.79 |
Colorado | $1,174.87 |
Connecticut | $1,237.55 |
D.C. | $1,289.93 |
Delaware | $1,440.58 |
Florida | $1,414.17 |
Georgia | $1,259.49 |
Hawaii | $839.87 |
Idaho | $738.10 |
Illinois | $939.64 |
Indiana | $777.05 |
Iowa | $714.86 |
Kansas | $818.99 |
Kentucky | $935.61 |
Louisiana | $1,557.22 |
Maine | $696.37 |
Maryland | $1,236.61 |
Massachusetts | $1,182.69 |
Michigan | $1,495.94 |
Minnesota | $892.17 |
Mississippi | $975.58 |
Missouri | $929.91 |
Montana | $834.86 |
Nebraska | $807.30 |
Nevada | $1,292.52 |
New Hampshire | $864.35 |
New Jersey | $1,395.53 |
New Mexico | $932.67 |
New York | $1,445.30 |
North Carolina | $741.70 |
North Dakota | $703.73 |
Ohio | $802.72 |
Oklahoma | $908.95 |
Oregon | $990.00 |
Pennsylvania | $992.33 |
Rhode Island | $1,382.64 |
South Carolina | $1,114.90 |
South Dakota | $745.33 |
Tennessee | $863.39 |
Texas | $1,143.85 |
Utah | $954.14 |
Vermont | $785.37 |
Virginia | $861.18 |
Washington | $1,066.84 |
West Virginia | $946.03 |
Wisconsin | $767.42 |
Wyoming | $776.224 |
Many factors that affect the cost of auto insurance are out of our control, such as age, ZIP code, vehicle, and driving history. However, there are several things you can do to save on auto insurance:
The rules of auto insurance differ by state, but most states require property damage and bodily injury liability. Exceptions include Florida and New Jersey, which don’t require bodily injury liability, and New Hampshire and Virginia, which don’t require any auto insurance. Some states also require medical payments, personal injury protection, uninsured motorist, or underinsured motorist coverage.
How car insurance works when you are at fault depends on what state you’re in. In no-fault states, your car insurance may cover the accident or damage through medical payments or personal injury protection. However, if you don’t have collision coverage and you’re not in a no-fault state, then you’ll have to pay for the repairs out of pocket. As of October 2023, these are the no-fault states:
Someone else can drive your car without being on the insurance as long as they have your permission. With permissive use, your insurer will cover any damages that the driver caused, even if they’re not on your insurance policy. However, if someone uses your car regularly, it’s a good idea to add them to a policy, as your insurer may reject the claim if they find out you loan your car regularly and did not disclose the information when you signed up for the policy.
When you can use your car insurance after getting it depends on the effective date of your policy. You can request a specific effective date when you sign up for your policy; it can be on the same day or within 30 days.
Auto Insurers Manage Customer Expectations as Repair Cycle Times Double in Two Years, J.D. Power Finds. J.D. Power. (2023, Oct 26).
https://www.jdpower.com/business/press-releases/2023-us-auto-claims-satisfaction-study
Consumer Price Index News Release. U.S. Bureau of Labor Statistics. (2024, Mar 12).
https://www.bls.gov/news.release/archives/cpi_03122024.htm
Amica Prop & Cas Ins Co National Complaint Index Report. National Association of Insurance Commissioners. (2023).
https://content.naic.org/cis_refined_results.htm?TABLEAU=CIS_COMPLAINTS&COCODE=12287&:refresh
2020/2021 Auto Insurance Database Report. National Association of Insurance Commissioners. (2024, Jan).
https://content.naic.org/sites/default/files/publication-aut-pb-auto-insurance-database.pdf