The best car insurance coverage may include roadside assistance with benefits like coverage for loading a car onto a tow truck.

Best Car Insurance: Our Picks

  • Compare the industry’s best car insurance providers and their scores in different categories.
  • See our top six car insurance recommendations and their pros and cons.
  • Read our tips for finding the best car insurance for you.

Affiliate disclosure: Automoblog and its partners may be compensated when you purchase the products in this article.

Finding the best car insurance company at the end of the year can be stressful. With so much going on, figuring out who offers the best coverage at the best rates can be a real challenge.

Our expert team researched the top auto insurance companies in the industry, assessing each company’s coverage options, car insurance rates, industry ratings, and customer reviews. To help make finding the right provider easy for you, we’ve narrowed down the list to only the best car insurance companies in our study. 

We strongly recommend getting auto insurance quotes from multiple insurers before making a decision on your next car insurance company. Read more to see our recommendations and learn more about what to look for when you compare car insurance providers.

The Best Car Insurance Companies of 2022

After thoroughly reviewing a wide selection of the nation’s premier providers and analyzing the results, our expert team has ranked the top choices for this month. Here are the best car insurance companies for 2022:

Best Car Insurance Superlative Overall Score (%) Coverage Score (%) Average Annual Cost Estimate
GEICO Best Overall 96 95 $1,352
USAA Best for Military Families 96 95 $1,113
State Farm Best for Student Drivers 95 95 $1,339
Progressive Best for High-Risk Drivers 95 95 $1,397
AAA Best Membership Perks 92 90 N/A
Liberty Mutual Best for New Drivers 91 95 N/A
The Hartford 91 95 $2,166
Allstate 90 90 $2,430
Nationwide 89 95 $1,533
Root Auto 89 85 N/A

GEICO: Best Overall

Availability: All 50 states

AM Best Rating: A++

2021 J.D. Power Score: 881/1000

We chose GEICO as our top pick because of its high scores across all categories and availability to most drivers. With low premiums and a long list of discounts, GEICO is an excellent choice for anyone on a tight budget. Car insurance coverage options from GEICO are well suited for young drivers, military members, and those who prioritize safe driving habits. Those looking for high liability coverage limits should also consider a policy with GEICO.

GEICO makes it easy to sign up by offering all of its services online, whether you are applying for a car insurance policy or going through the claims process. Based on our research, GEICO is one of the best car insurance providers on the market.

GEICO Pros and Cons

GEICO Pros GEICO Cons
  • Often offers the cheapest car insurance rates among major providers
  • Huge selection of coverage options
  • Good rates for teens/students and those involved in at-fault accidents
  • Highest-rated mobile app
  • Does not offer guaranteed asset protection (GAP) insurance
  • Average customer service

GEICO Insurance Cost

According to our rate estimates, good drivers can find annual rates of about $1,352 with Geico. This is cheaper than the national average of $1,732 per year. This rate estimate applies to full coverage insurance for 35-year-old drivers with good credit and driving records.

Below, you can see a few more rate estimates for different driving profiles. Notice that Geico is reasonably affordable for most drivers except those who have DUIs.

Driver Profile Geico Annual Cost Estimate
35-year-old with good credit and driving history $1,352
24-year-old with good credit and driving history $1,627
35-year-old with recent car accident $2,427
35-year-old with poor credit $2,077
35-year-old with recent DUI $3,359

Learn more about GEICO’s costs, coverage, and customer ratings in our in-depth GEICO insurance review

USAA: Best for Military Families

Availability: All 50 states, but limited to military members and their families

AM Best Rating: A++

2021 J.D. Power Score: 909/1000

USAA enjoys an outstanding reputation and for good reason. In the J.D. Power 2021 U.S. Auto Claims Satisfaction StudySM, the company had the highest scores. From AM Best, it received the highest possible rating of “Superior,” indicating financial stability and thereby making it one of the best auto insurance companies available today. 

While USAA is tied for the highest overall rating in our industry review, the provider comes with a limitation. To be insured through USAA, you must have either served in the U.S. military or be the spouse or child of someone who has USAA membership.

USAA Pros and Cons

USAA Pros USAA Cons
  • Highest score in J.D. Power’s 2020 Auto Claims Satisfaction Study
  • Consistently cheap car insurance rates
  • Suited for individuals traveling or living abroad
  • Instant service through website or app
  • Excellent claims service
  • Limited to U.S. military members (enlisted, active, honorably separated, or retired), candidates in commissioning programs, and spouses and children of USAA members with an auto or home policy
  • Does not offer GAP insurance, interior vehicle coverage, or new car replacement coverage

USAA Insurance Cost

Our average rate estimates show USAA is generally the most affordable company overall. Good drivers can find annual rates of $1,113 for full coverage insurance with the company. USAA is also affordable for different types of drivers, including those with DUIs according to our rate estimates.

Driver Profile USAA Annual Cost Estimate
35-year-old with good credit and driving history $1,013
24-year-old with good credit and driving history $1,422
35-year-old with recent car accident $1,428
35-year-old with poor credit $1,807
35-year-old with recent DUI $2,209

Learn more about USAA’s car insurance costs, coverage options, and ratings in our in-depth USAA insurance review.

State Farm: Best for Student Drivers

Availability: 48 states (excludes Massachusetts and Rhode Island)

AM Best Rating: A++

2021 J.D. Power Score: 892/1000

State Farm is the largest auto insurance company in the U.S., at least by market share. The insurer accounted for just over 16 percent of the market in 2020, according to the National Association of Insurance Commissioners (NAIC). State Farm also has what is arguably the best financial strength among the auto insurance companies on this list. 

The company also has an immersive online experience for policyholders. To date, State Farm has four mobile apps, including the State Farm App, Drive Safe & Save™, Steer Clear®, and the State Farm Pocket Estimator. Steer Clear is a safe driving program that is a great way for drivers under the age of 25 to save money. 

The company also offers a Good Student Discount which rewards students for maintaining good grades in school. This combination of programs and discounts makes State Farm the best car insurance company for college and high school students.

State Farm Pros and Cons

State Farm Pros State Farm Cons
  • Largest auto insurer in the U.S., currently servicing over 83 million policies
  • Dedicated insurance agents
  • Great options and programs for students
  • Multiple car insurance apps 
  • Wide range of discounts
  • Average customer service and claim handling ratings
  • Mixed reviews
  • Does not offer accident forgiveness

State Farm Insurance Cost

State Farm is another affordable provider compared to the industry average. Good drivers can find full coverage rates of about $1,339 per year with the company. State Farm is also affordable for young drivers, but it can be expensive for those with poor credit.

Driver Profile State Farm Annual Cost Estimate
35-year-old with good credit and driving history $1,339
24-year-old with good credit and driving history $1,765
35-year-old with recent car accident $1,671
35-year-old with poor credit $3,616
35-year-old with recent DUI $1,998

Read our in-depth State Farm insurance review for a more detailed look at the company.

Progressive: Best for High-Risk Drivers

Availability: All 50 states

AM Best Rating: A+

2021 J.D. Power Score: 862/1000

Everyone knows Flo, the fictional salesperson from Progressive, but did you know Progressive has a history of being a step ahead of competitors, including being the first to allow people to purchase insurance plans online in the 1990s? 

Since then, Progressive has only improved its online experience by adding features such as the Name Your Price® tool that allows you to start with your desired payment and view the best car insurance plans based on your budget.

Progressive also sets itself apart by being more affordable for drivers who have a DUI/DWI on record. While many auto insurance companies double or even triple payments, Progressive merely increases the premium an average of six percent.

While it may be the best choice for drivers with a history, it should be noted that the average Progressive customer pays about $1,500 to $2,000 per year, which is more than the national average.

Progressive Pros and Cons

Progressive Pros Progressive Cons
  • Name Your Price® tool offers budget-based insurance shopping
  • More affordable for drivers who have a DUI/DWI
  • Offers free pet injury coverage
  • Great online comparison tools
  • Good range of discounts available
  • Customers pay more than the national average
  • Average J.D. Power scores for customer service

Progressive Insurance Cost

Our estimates show Progressive offers annual full coverage rates of about $1,397 to good drivers, which is cheaper than the national average of $1,732. With Progressive, rates also don’t increase too much whether you are a young driver, have poor credit, or have an accident or DUI on your record.

Driver Profile Progressive Annual Cost Estimate
35-year-old with good credit and driving history $1,397
24-year-old with good credit and driving history $2,029
35-year-old with recent car accident $2,471
35-year-old with poor credit $2,514
35-year-old with recent DUI $2,106

AAA: Best Membership Perks

Availability: All 50 states, though coverage is regionally focused 

AM Best Rating: A

2021 J.D. Power Score: N/A

Most of us associate AAA with roadside assistance, but the company offers much more – including car insurance. AAA stands out because of its unrivaled benefits to its members, including discounts on insurance, automotive, bicycle, and locksmith services, as well as select retailers, dining outlets, rental cars, and more.

While the company has over 60 million members, its services are regionally focused and therefore not available in all zip codes. Another thing to keep in mind is even though the company offers a wide range of discounts, you have to be a member of AAA, which requires you to pay an annual fee, to qualify for insurance and other benefits. If you do qualify, AAA is one of the best car insurance companies in the industry.

AAA Pros and Cons

AAA Pros AAA Cons
  • A financial strength rating from AM Best
  • Good range of discounts available, especially for members
  • Local expertise
  • Need to be a member to be eligible for insurance
  • Not available for all zip codes
  • No rideshare insurance

Liberty Mutual: Best for New Drivers

Availability: All 50 states

AM Best Rating: A

2021 J.D. Power Score: 876/1000

Liberty Mutual is one of the best car insurance companies in the U.S. and also sells property and casualty, health, and life insurance policies. Though the company started over 100 years ago in the U.S., it has a large international presence and now operates in 17 countries.

We recommend this auto insurance company particularly for new drivers, as it has the highest new driver discount out of our compared brands. Other car insurance discounts include an online purchase discount, a bundling discount when also purchasing other insurance products, and up to 30-percent off for drivers with a good record.

Liberty Mutual Pros and Cons

Liberty Mutual Pros Liberty Mutual Cons
  • A financial strength rating from AM Best
  • Active in 17 countries
  • High discounts, especially for young drivers
  • Special teacher coverage
  • Claims process ranks below average in customer satisfaction ratings
  • Higher premiums
The best car insurance companies use only the most professional insurance adjusters.

What You Should Know About Car Insurance

How Car Insurance Works

Auto insurance coverage is protection you can buy for you and your vehicle. This insurance covers some or all of the costs related to a car accident or other incidents, such as property damage and medical payments. 

How Much Does Car Insurance Cost?

Our research found that the average rate in the U.S. for full coverage insurance was $1,732 across all providers. But it is very unlikely that you’d pay the same rate. That’s because insurance providers use a number of factors about you and your vehicle to determine your premiums. 

Car Insurance Cost Factors

Here are just a few of the factors that influence the cost of your car insurance premium:

  • Coverage options: If you’re looking for the cheapest rates, you’ll want to find a plan that only satisfies the state minimum coverage requirements. Other types of coverage, such as collision insurance, can insulate you from more risk but add to the cost of your premiums.
  • Coverage amounts: You can also choose the maximum amounts your insurance policy pays out in an accident. Higher coverage limits will result in higher premiums.
  • Deductible: In most cases, you’ll get to choose a deductible, or the amount you pay out of pocket for covered repairs. A lower deductible means less to pay when repairs come, but it also means a higher premium.
  • Add-ons: Add-on options such as roadside assistance and rental car reimbursement may add some extra to your premiums, but they can also come in handy when you’re in a tough spot. 
  • Driving record: Any recent moving violations or at-fault accidents will raise your auto insurance rates. Drivers with a clean driving record get the cheapest rates on car insurance.
  • Age: Seniors and younger drivers will pay more for their auto insurance policy than middle-aged drivers. But it’s teen drivers who pay the highest rates.
  • Credit history: A poor credit score will mean you have to pay more for your car insurance coverage than drivers with a good credit rating. However, state laws have made it illegal for insurance companies to factor credit scores into insurance rates in California, Hawaii, Massachusetts, Michigan, and New Jersey.
  • Location: The state where you live plays an important role in your car insurance premiums. But even within the same state, drivers in different zip codes will still pay different rates. For example, drivers in rural areas tend to pay less for coverage than those in cities.

Car Insurance Discounts

The right auto insurance discount can make a huge dent in your annual premium. These days, the best car insurance companies offer a broad range of discounts to help make coverage more affordable for policyholders in a wide variety of situations. 

Here are some of the most common car insurance discounts you’ll find:

  • Multi-policy: Most car insurance providers offer other insurance products too. If you bundle your auto coverage with products like life, renters, or home insurance from the same provider, you can usually get a discount.
  • Multi-car: Insurance companies usually offer lower rates if you insure more than one car under the same policy.
  • Safety features: Daytime running lights, passenger airbags, and other advanced safety features can often net you a discount from your insurance company.
  • Telematics: Most larger providers now offer some form of GPS-enabled monitored driving program. These programs track your driving habits through a mobile app and reward good habits with a discount.
  • Safe driver: Many insurance companies offer a break on your insurance premiums if you go for a specified amount of time without an accident.
  • Good driver: Depending on your insurer, you can sometimes get a discount for completing a state-approved defensive driving course.
  • Paid in full: With some companies, you can lower your insurance premiums by paying for your entire policy up front, rather than month-to-month.
  • Military: Several top insurers offer discounted rates for active service members. Many of these discounts extend to retired and reserved service members, as well as family members of military personnel. 
  • Accident-free: Many insurers reward you for going for an extended period of time without any accidents. The amount of time specified depends on the insurer.

Average Car Insurance Cost by State

As we mentioned above, the state where you live plays a pivotal role in how much you pay for car insurance premiums. Different states have different minimum insurance requirements, different risk factors, different populations, and other cost factors. That’s why you see so much variation from state to state when it comes to car insurance rates.

Here is the average rate for each state (and the District of Columbia), based on a 35-year-old driver with good credit and a clean driving record along with the cheapest provider in each state:

State State Average Cost Estimate Cheapest Car Insurance Provider Average Premium
Alabama $1,448 USAA $809
Alaska $1,287 USAA $893
Arizona $1,625 GEICO $1,099
Arkanksas $1,449 USAA $869
California $2,339 USAA $1,425
Colorado $1,672 USAA $1,070
Connecticut $1,885 GEICO $972
Delaware $1,921 State Farm $1,094
District of Columbia $1,787 USAA $812
Florida $2,894 GEICO $1,565
Georgia $1,548 USAA $1,107
Hawaii $1,238 GEICO $851
Idaho $1,089 USAA $657
Illinois $1,474 Country Financial $1,044
Indiana $1,087 USAA $695
Iowa $1,095 State Farm $740
Kansas $1,364 USAA $776
Kentucky $1,817 GEICO $922
Louisiana $3,828 Farm Bureau $1,482
Maine $995 Auto Owners $535
Maryland $1,941 USAA $845
Massachusetts $2,568 GEICO $1,589
Michigan $4,390 Progressive $1,682
Minnesota $1,487 USAA $942
Mississippi $1,357 USAA $825
Missouri $1,741 USAA $719
Montana $2,214 USAA $813
Nebraska $1,372 Nationwide $929
Nevada $2,332 USAA $1,357
New Hampshire $1,181 Auto Owners $602
New Jersey $2,108 Progressive $1,326
New Mexico $1,356 USAA $874
New York $3,964 Progressive $1,310
North Carolina $1,277 Erie Insurance $927
North Dakota $1,310 USAA $671
Ohio $923 USAA $662
Oklahoma $1,630 USAA $893
Oregon $1,284 State Farm $961
Pennsylvania $1,405 Travelers $786
Rhode Island $1,923 USAA $1,057
South Carolina $1,592 USAA $1,016
South Dakota $1,331 Nationwide $968
Tennessee $1,217 USAA $755
Texas $2,067 Texas Farm Bureau $1,010
Utah $1,446 USAA $872
Vermont $1,013 State Farm $655
Virginia $1,079 USAA $782
Washington $1,271 USAA $760
West Virginia $1,390 USAA $903
Wisconsin $946 USAA $602
Wyoming $1,499 American National $809

Car Insurance Coverage

While each insurer has its own perks and drawbacks, most offer a similar range of standard coverage options. Here’s what you’ll find at nearly every car insurance provider you come across:

  • Bodily injury liability coverage: Pays for medical bills and other related expenses to other drivers in an accident for which you are found at fault.
  • Property damage liability coverage: Covers damages to other drivers’ cars and other personal property resulting from an accident you caused. 
  • Uninsured motorist/underinsured motorist coverage: Covers expenses in the event the at-fault driver lacks the proper insurance to do so.
  • Collision coverage: Pays for damages to your own vehicle resulting from an accident for which you are found at fault. 
  • Comprehensive coverage: Covers damages to your vehicle that aren’t from an accident, such as theft, vandalism, or extreme weather.
  • Personal injury protection (PIP): Pays medical expenses for you and your passengers, regardless of who is found at fault for an accident. It also covers other related expenses like lost wages from missed work. This coverage is also sometimes referred to as “no-fault” insurance.
  • Medical payments (MedPay): Covers medical expenses similar to PIP but does not cover additional expenses such as missed wages.

Additional Coverage Options

The best car insurance companies have lots to offer beyond their standard coverage options. Policy add-ons can help you cover other costs and risks that come with car ownership beyond damages. Here are some of the most common additional coverage options you’ll find with insurance providers:

  • Guaranteed asset protection (GAP coverage): Covers some or all of the difference between the assessed value of your car and the amount you owe on the vehicle if it is totaled in an accident. Lenders and leaseholders sometimes require this coverage.
  • Emergency roadside assistance: Pays for some or all of emergency roadside assistance services like towing, lockouts, fuel and fluid delivery, and more. Some, but not all of these packages offer 24/7 support.
  • Rental car reimbursement: Covers a portion of the cost of a rental car if your car becomes inoperable or sits in the shop following a covered accident. 
  • Rideshare coverage:  Covers drivers in between jobs while working for a ridesharing service such as Uber or Lyft.

Which Types of Insurance Are Required?

While the required amounts and types of coverage vary between them, nearly every state requires some amount of car insurance coverage. Only New Hampshire and Virginia do not require drivers to carry auto insurance.

Most states require drivers to carry at least some form of liability insurance. Others require more complete coverage, like insurance to cover drivers who don’t have sufficient insurance. 

How to Find the Best Car Insurance Company For You

As you can see, there’s a lot that goes into how much you end up paying for car insurance. And that’s part of what makes finding the best car insurance company for your coverage such a challenge. While some auto insurance providers are in general better than others, there’s just no one right answer for anyone.

That’s why we recommend getting auto insurance quotes from several providers who offer the insurance products and benefits that fit your needs. You can use those quotes to see who provides the cheapest car insurance rates. Each of the providers in this list would be a great place to start.

FAQ

What is the number one car insurance company?

State Farm is the largest car insurance company in the country, but our team rated Geico as the best car insurance company overall. This rating is based on the company’s combination of coverage, prices, and reputation with customers and industry professionals.

What is the best car insurance coverage?

While a combination of liability, collision, and comprehensive coverage offers you the most protection, the best car insurance coverage is the set of options that best fits your own individual needs at a price you can afford.

How do car insurance companies pay out claims?

Most of the best car insurance companies offer several ways to pay out claims after a settlement is reached. You can often choose between an eCheck, direct bank deposit, or a physical check.

What types of car insurance are required?

Car insurance requirements vary by state. In most states, you’re required to carry some combination of property damage and bodily injury liability coverage. Some states require drivers to carry personal injury protection coverage. There are only two states—New Hampshire and Virginia—that do not require drivers to carry any form of car insurance.

How can I find the best prices on car insurance coverage?

To find the best price on car insurance, you first need to request quotes from several providers in your area. After comparing these quotes, look for any discounts that may apply. For example, many companies offer a multi-policy discount that lowers your premium if you bundle multiple types of insurance with your auto insurance policy.

Our Methodology

Our expert review team takes satisfaction in providing accurate and unbiased information. We identified the following rating categories based on consumer survey data and conducted extensive research to formulate rankings of the best car insurance providers.

  • Affordability: A variety of factors influence cost, so it can be difficult to compare quotes between providers. Our team considers auto insurance rate estimates generated by Quadrant Information Services and discount opportunities when giving this score.
  • Coverage: Because each consumer has unique needs, it’s essential that a car insurance company offers an array of coverage options. We take into account types of insurance available, maximum coverage limits, and add-on policies.
  • Industry Standing: Our team considers Better Business Bureau (BBB) ratings, financial strength, and years in business when giving this score.
  • Availability: Auto insurers with greater state availability and few eligibility requirements are more likely to meet consumer needs.
  • Customer Service: Reputable car insurance providers operate with a certain degree of care for consumers. We consider complaints filed with the National Association of Insurance Commissioners (NAIC), J.D. Power claims servicing scores, and customer feedback.
  • Online Experience: Insurers with easy-to-use websites and highly rated mobile apps scored best in this category.

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