The Best Car Insurance Companies for 2023
To help you shop for car insurance, MoneyGeek ranked the best car insurance companies on several factors, including J.D. Power customer satisfaction ratings, financial stability ratings from AM Best and affordability. Using these metrics, MoneyGeek found that of the big insurers available to most shoppers, the best car insurance companies for 2022 are GEICO and State Farm. GEICO received the highest marks in our scoring system for 24 out of 50 states, while State Farm ranked as the top company in 10 states.
Those just looking for the most affordable option can compare this list to our rankings of the cheapest car insurance companies.
Top Pick: GEICO (Average MoneyGeek Score: 4.1 / 5)
COMPANY HIGHLIGHTS
GEICO is an excellent choice across the country for those looking to balance service quality and affordability. Customer complaint rates are relatively low, satisfaction is above average and company rates are affordable. You may be able to get even lower rates considering that GEICO offers almost all the major car insurance discounts like bundling, multi-vehicle, safe-driving and anti-theft technology discounts.
GEICO also has nearly all the common add-on coverages offered by other insurance companies, such as roadside assistance, rental car reimbursement and accident forgiveness. And unlike most insurers, it offers mechanical breakdown insurance, a car warranty coverage option that covers car repair problems after your car warranty expires.
However, GEICO might not be the best option for those with a brand new car. The company doesn’t offer new car replacement coverage, which allows those with new models to be fully reimbursed for a brand new car after an accident. Without this, you’ll only be reimbursed for the depreciated value of your vehicle.
Runner-Up: State Farm (Average MoneyGeek Score: 3.9 / 5)
COMPANY HIGHLIGHTS
State Farm is another large, affordable insurer with an excellent customer service reputation. In fact, it has a lower complaint rate than GEICO and may even be a cheaper option depending on where you live. You can save even more on your monthly bill by bundling with State Farm’s home insurance.
State Farm does not offer much in the way of unique coverages: you’ll mostly find standard car insurance coverages and common add-ons such as roadside assistance and rental car expense coverage. Although it offers few unique perks, you’re more likely to get good value with State Farm than most other major insurers. State Farm does offer rideshare insurance — coverage not available from all companies — making it a great choice for those who work for Uber or Lyft.
Like GEICO, State Farm doesn’t offer new car replacement coverage, so it may not be the best option for those with brand new cars who are worried about getting value back if they get into an accident soon after their car purchase.
The Top Car Insurance Company in Your State
Because insurance is regulated at a state level, MoneyGeek ranked the best car insurance in each state based on local pricing and regional J.D. Power scores. Excluding USAA, which is not available to most drivers, GEICO most frequently ranked as the best insurer in a state (24 times). State Farm, which ranked as the best insurer in 10 states, came in second. Erie is also an excellent option if you’re in one of the 12 states it does business.
Click on your state to learn more about the best car insurance company where you live. It’s crucial to compare auto insurance products and quotes based on where you live because insurers may offer different rates, coverages and features across state lines.
THE BEST CAR INSURANCE COMPANIES BY STATE – EXCLUDING USAA
Compare the Best Car Insurance Companies by State
MoneyGeek’s car insurance comparison tool can help you measure which company is the best fit for you where you live. Sort by service quality and affordability and find stats on the average cost per year, customer service rank and standout features in that state.
Car Insurance Comparison Tool
The Best Car Insurance Companies by Driver Profile
Car insurance companies use specific driver characteristics to calculate their rates. Companies may offer coverages that make them better for drivers with particular traits. Credit score, driving history and age are three of the most significant factors used to determine rates.
We’ve provided our recommendations for the best car insurance companies for young drivers, drivers with poor credit and drivers with an accident on their records, all of whom are typically charged higher rates than the average driver.
THE BEST CAR INSURANCE COMPANIES BY DRIVER PROFILE
- Best for Customer Service: Auto-Owners Insurance
- Best for Drivers on a Budget: GEICO
- Best for Young Drivers: Allstate
- Best for Military Members: USAA
- Best for New Cars: Allstate
- Best for High-Risk Drivers: State Farm
- Best for Low Mileage: Metromile
- Best for Unique Coverages: Liberty Mutual
Best Auto Insurance Company for Customer Service: Auto-Owners
If price is not as important for you as ensuring you’re going to get the best possible service when you need to file a claim, MoneyGeek found that Auto-Owners Insurance has the best combination of high satisfaction and low complaints. Using just these factors, Auto-Owners is the best insurer in 10 out of 50 states, more than any other company.
Top Pick: Auto-Owners Insurance (Average MoneyGeek Score: 4.5 / 5)
COMPANY HIGHLIGHTS
Evaluations from J.D. Power indicate Auto-Owners Insurance has high customer satisfaction in the states where it’s available. It also has a low customer complaint rate, as measured by the National Association of Insurance Commissioners. Additionally, Auto-Owners offers new car replacement coverage as an add-on. If you buy this, you won’t have to worry that your new car loses value as soon as you drive it off the lot.
Auto-Owners also ranks well for affordability and offers all the major discounts offered by most other insurers. Overall, it’s an excellent option — the only downside is that it’s available in just 26 states.
Best Auto Insurance Company on a Budget: GEICO
If you’re on a budget and want to purchase the minimum car insurance required in your state with good customer service, MoneyGeek recommends GEICO.
Top Pick: GEICO (Average MoneyGeek Score: 4.2 / 5)
COMPANY HIGHLIGHTS
If you weigh the cost of a minimum coverage policy while still accounting for customer service, GEICO won 29 of 50 states, according to MoneyGeek’s scoring system. A minimum coverage policy with GEICO costs an average of $513 per year while still providing its policyholders with a solid service experience.
Those looking to save even more with GEICO can take advantage of its discounts, especially if you want to save by bundling with home insurance or adding multiple cars to your policy. Drivers with anti-theft and passive restraint safety systems, such as airbags, will save even more. Finally, military members or those part of specific professional organizations or government entities may be available for even more discounts.
Best Auto Insurance Company for Young Drivers: Allstate
If you’re adding a young driver to your policy, there are several high-quality policy options available. Both GEICO and Allstate rank high in MoneyGeek’s scoring system for over 15 states for a policy with a young driver, but we picked Allstate as our winner given that it offers a distant student discount and GEICO doesn’t.
Top Pick: Allstate (Average MoneyGeek Score: 3.7 / 5)
COMPANY HIGHLIGHTS
Adding teens or students to a car insurance policy can be extremely expensive. MoneyGeek found that Allstate strikes a blend of affordability and quality, with average premiums and a low rate of complaints.
Allstate is an excellent option if you’re letting your teen drive your new car. If you add new car replacement coverage, you can replace your vehicle with a completely new model after an accident, as long as the model is two years old or less. And, if you add accident forgiveness, you won’t have to worry about your insurance rates increasing after your teen’s first accident.
