The Best Car Insurance Companies of 2024

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.

State Farm Driving Discounts and Competitive Rates

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:

• Remaining accident- and violation-free
• Maintaining good grades if you’re a student, or keeping your vehicle at home while away at college
• Taking a driver education course if you’re under 21
• Insuring multiple vehicles in your household
• Purchasing another type of policy, like home or renters insurance
• Having a vehicle with an anti-theft device or certain safety features
• Renewing your policy with State Farm for at least three years

Reasonable Rates for Drivers With an At-Fault Accident

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.

Coverage for Rideshare Drivers

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.

Low Premiums for Drivers on a Budget

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.

Save More With GEICO Discounts

GEICO stands out for offering a number of discounts:

Good Rates for Drivers With Bad Credit

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.

Easy to Bundle

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.

Pay-Per-Mile Option

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.

Multiple Paths to a Student Discount

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:

• Full-time student with a B-minus average (2.7 GPA) or higher
• Complete the teenSMART driver education program, available to Allstate customers at a discounted rate of $69.95
• Attend school at least 100 miles away from home and don’t take their car

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.

Extensive Discounts

USAA has various car insurance discounts available, including the following:

• 10 percent off for bundling home and auto
• 10 percent off if your parents also have a USAA car insurance policy
• 3 percent off for setting up automatic payments
• Up to 15 percent off for garaging your car on a military base
• Up to 60 percent off for putting your car in storage if you’re deployed
• Discount for teen drivers who maintain good grades
• Discount for driving fewer miles
• Discount for having two or more vehicles on a policy

These discounts make USAA a great choice whether you’re the parent of a teen driver, deployed overseas, or the child of veteran parents.

Coverage for All Vehicle Types

Aside from regular cars, USAA also offers insurance for these vehicles:

• ATVs
• Classic cars
• Dirt bikes
• Golf carts
• Mopeds
• Motorcycles
• Motor homes
• RVs
• Snowmobiles
• Trucks

In many cases, insuring more than one vehicle on a policy will get you a discount.

Domestic and International Insurance

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:

• Azores
• Belgium
• Cuba
• France
• Germany
• Greece
• Guam
• Italy
• The Netherlands
• Portugal
• Puerto Rico
• South Korea
• Spain
• U.S. Virgin Islands
• United Kingdom 
  

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.

Highly Competitive Prices

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.

Lock in Your Rates

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.

Additional Perks

When you add comprehensive coverage to your Erie policy, you get the following additional benefits:

• Glass repair and wiper blades: If your windshield is replaced, Erie provides glass repair with no deductible and supplies a new set of wiper blades.
• Locksmith service: If you lock your keys in your car, Erie reimburses you for locksmith services up to $75.
• Personal items coverage: Erie offers coverage of up to $350 for personal items like clothing and luggage inside the insured vehicle. Most auto policies do not include coverage for personal items. This option is also available with Erie’s collision insurance.

Erie’s Auto Plus package, available for $35 per year, also includes a range of benefits:

• Extended rental car coverage: Additional days of rental car coverage are provided after an accident.
• Death benefit: In the event a covered accident results in death, Erie provides a death benefit of $10,000 per person.
• Deductible waiver: Erie waives the deductible on your auto policy in certain situations.
• Enhanced coverage limits: Erie provides higher limits for specific coverage aspects, such as locksmith costs and personal items.

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.

Low Premiums for Families With Teens

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:

• Good student discount, up to 20 percent off for drivers under 25 who maintain a B average (3.0) GPA or higher
• Away at school discount, for students who attend university at least 100 miles away and keep their car at home
• GPS monitoring discount, for attaching a GPS device to the vehicle a teen uses most or if the teen has an eligible tracking app on their phone

New-Vehicle Coverage Options

Auto-Owners offers a couple of coverage options that benefit customers with new vehicles:

• Loan or lease gap: Covers the difference between the actual cash value of the vehicle and the amount remaining on the loan or lease in the event of a total loss.
• Diminished value coverage: After an accident, your car may lose value even if it’s fully repaired. This coverage pays for the difference in value when you trade in your car, making it a good option for customers who like to upgrade their vehicle regularly.

Reasonable Rates After an Accident

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.

Nationwide’s SmartMiles Low-Mileage Insurance

Pay-per-mile insurance is most likely to benefit people who drive fewer than 8,000 to 10,000 miles per year, for example:

• Remote workers
• People who commute by public transit or live close to work
• Retirees
• Stay-at-home parents
• People with a second car they don’t use as much

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:

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.

Nationwide Discounts for Safe Driving

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.

Loyal Customer Perks

Nationwide offers the following perks to its customers:

• Up to $400 for car key replacement and lockout services
• Fender bender forgiveness, so a minor accident ($2,000 or less after deductible) doesn’t increase your premium
• Up to $250 in locksmith reimbursement if you’re locked out of your house
• Waived or reimbursed lower deductible if you experience an auto and property loss
• Guaranteed repairs when you take your vehicle to an in-network mechanic
  

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.

Dividend-Paying Policy

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.

Premium Coverage Option

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:

• Glass repair or replacement with no deductible
• Credit monitoring service
• New-car replacement (for vehicles less than one year old with fewer than 15,000 miles)
• Prestige rental reimbursement, with no daily limit and a $5,000 maximum

Even if this premium option isn’t for you, you’ll still receive great protection with Amica’s standard coverage options:

• Bodily injury and property damage liability
• Medical payments and personal injury protection (PIP)
• Uninsured/underinsured motorist
• Collision and comprehensive
• Rental car reimbursement
• Loan/lease (gap) protection
• Roadside assistance
• Glass repair
• Rideshare (in some states)

Amica Discounts

Amica offers the following discounts, which can help you save on your premium:

• Loyalty, when you’ve stayed with any auto insurance (not just Amica) for at least two years — with a higher discount the longer you’ve stayed
• Owning a home, even if you don’t insure it with Amica
• Bundling a home, umbrella, or life insurance policy can save you up to 30 percent.
• Insuring multiple vehicles on the same policy will save you up to 25 percent.
• Driver education, for drivers under age 21 who complete an approved course
• Good student, for drivers under 25 who maintain at least a B average
• Student away at school, for college students who don’t take their car to school
• Legacy, for children under 30 whose parents have held an Amica policy for at least five years
• Accident-free, if you haven’t filed an at-fault claim in three years
• Defensive driver, for drivers who take an approved course (age varies by state)
• Vehicle features, if your car has an anti-theft device, electronic stability control, passive restraints (like airbags), forward-collision warning, or adaptive headlights
• Paid in full, when you pay your entire premium upfront
• Paperless, when you sign up to receive policy documents and bills electronically
• AutoPay, when you set up your premium for automatic payments
  

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.

Good Rates for Drivers With a DUI

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.

Rideshare Coverage

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:

• Bodily injury and property damage liability
• Comprehensive and collision
• Uninsured/underinsured motorist
• Personal injury protection/medical payments
• Roadside assistance and trip interruption
• Rental car reimbursement

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.

Diminishing Deductible

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.

Post-Accident Assistance

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:

• Dog walking
• Food prep
• House cleaning
• Lawn maintenance
• Snow removal
• Transportation

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.

Accident Forgiveness

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.

Easy Claims Process

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.