The Best Car Insurance Companies of 2023
The Best Car Insurance Companies of 2023
Not every car insurance company is the same. We asked more than 10,000 drivers about their car insurance experiences, focusing on key areas like customer service, claims handling, and customer loyalty.
We ranked the best car insurance companies of 2023 based on this information to help you find the best one.
Which car insurance company is the best?
Our research shows that USAA is the best car insurance company, but its products are only available to people in the military. If that doesn’t work for you, State Farm, which came in second in our analysis, is the next best choice.
We looked at rate information and feedback from policyholders to find the best car insurance companies. We paid close attention to customer service, claims handling, customer loyalty, and policy renewal. We also asked people who took the survey if they would recommend their current insurance company to a driver looking for a new policy.
This list can help you compare auto insurance companies based on the things that are most important to you. Even though USAA and State Farm are at the top of our list, you may be happier with one of the other eight companies. So, before you buy or renew a policy, it’s a good idea to compare several insurers and their rates.
From what we’ve seen, USAA is the best insurance company. Our survey shows that USAA customers are the most satisfied with their service and are the most likely to renew their policies and recommend USAA to other drivers. USAA also has the lowest rates in our study. Its rates are 35% lower than the average rate in the U.S.
Only people in the military can buy insurance from USAA. This includes policies for autos, homes, and apartments. Because of this, not all drivers will be able to get insurance through this company.
State Farm has above-average scores in all of our subratings, including Claims Handling and Customer Loyalty. This makes it our No. 2 pick. Also, it did well in our ranking of the Cheapest Car Insurance Companies of 2023. It had the lowest average premiums among the companies we looked at for people who couldn’t get a policy from USAA because they didn’t have a perfect driving record.
Farmers Farmers is tied for third place in our overall rating, and it is also tied for first place in many of our other ratings. It is tied for first place in two categories: handling claims and customer service and loyalty. Farmers loses points compared to other insurers in our rating for Most Likely to be Renewed, where its score of 4.0 is lower than the category average of 4.2. It also has one of the highest average annual rates among the companies we looked at.
Since we looked at 2021, Nationwide has moved up two spots and is now tied for the No. 3 spot. Nationwide has the second-highest scores in our subcategories for Customer Loyalty and Most Likely to be Recommended. It also has above-average scores in all the other subcategories. Nationwide also has below-average rates for some drivers, especially those with a good driving record or bad credit.
Geico is tied for third place in our list of the Best Car Insurance Companies of 2023. It got average scores in a number of categories, such as Claims Handling, Customer Service, and Customer Loyalty. It also comes in at number two on our list of the cheapest car insurance companies for 2023, with some of the lowest average rates for teen, senior, and people with bad credit drivers.
Allstate moved up three spots to tie for No. 6 in this year’s Best Car Insurance Companies ranking. The company is also No. 4 in our Most Likely To Be Recommended subrating, but most of our other subratings gave it slightly below-average scores. It has some of the highest rates we looked at, but some drivers, like those with a speeding ticket on their record, may get a good deal from Allstate.
Travelers This year, Travelers also moved up. They moved up two spots and tied for the No. 6 spot. The customer service score for Travelers is lower than that of seven other insurers we looked at. However, it comes in first for Claims Handling and third for Most Likely to Be Renewed. Travelers also gets a higher-than-average score for policy renewal and usually has lower premiums than the national average.
In our list, Progressive comes in at No. 8. Overall, customers are happy with how easy it is to get a policy, but Progressive ranks last in our Best for Customer Loyalty category and has below-average scores in every other subrating in our survey. Customers also say they are less likely to keep their policy with Progressive or recommend the company to other drivers. But people who have a DUI may be able to save money with Progressive. It has some of the lowest rates for those drivers that we looked at.
AAA is a new company on our list of the best car insurance companies. It shares the No. 8 spot with Progressive. In every category we looked at, it got scores that were below average. It does, however, come in at No. 6 on our list of policies that are most likely to be renewed, ahead of Allstate,
Farmers, Progressive, and American Family. The average premiums for AAA are also the highest in our study, but drivers who are thinking about joining AAA should get a quote to see if their own rate is more competitive.
Family in America
This year, American Family fell four spots and now comes in at No. 10. It has the lowest scores in most subcategories, but American Family has a slightly higher score than Progressive in our Best for Customer Loyalty category. Even though their scores are low, American Family does offer competitive rates for some drivers, especially teens, those with bad credit, and those who have been in an accident or had a DUI in the past.