After a thorough evaluation of over 50 auto insurance providers, here’s a breakdown of the top companies in 2025:
- Travelers: Best Overall Car Insurance Company
- Auto-Owners: Best for Affordability
- State Farm: Best Mobile App Ratings
- American Family: Best for Customer Satisfaction
- USAA: Best for Military Members
These rankings come following extensive research by NerdWallet, focusing on crucial elements like coverage options, discounts, pricing, customer satisfaction, and financial stability.
Key Considerations for Choosing Car Insurance
NerdWallet’s methodology is built on a careful assessment of several factors, all designed to help you find the right car insurance:
- Financial Strength: The best insurers demonstrate a strong financial standing, ensuring they can meet future claims. This is based on ratings from independent agencies like AM Best, Moody’s, and Fitch (30% of overall score).
- Customer Complaints: Companies with fewer complaints relative to their size and a demonstrated ability to retain customer satisfaction perform better in this category. This is determined by complaints received by state insurance regulators and reported to the National Association of Insurance Commissioners (NAIC) (30% of overall score).
- Ease of Use: Companies that streamline the process of getting quotes, managing claims, understanding coverage options, and payment methods, including user-friendly mobile apps, score well in this category (20% of overall score).
- Affordability: The best companies offer multiple avenues for savings through discounts (20% of overall score).
Top Car Insurance Companies
Best Overall: Travelers
Travelers earns the top spot for its comprehensive offerings and customer-focused approach. With a broad range of coverage options and discounts, along with strong financial stability, Travelers stands out as a great all-around pick.
- Full Coverage Cost (Average): $1,768 annually, or about $147 per month
- Minimum Coverage Cost (Average): $45 per month
Best for Your Budget: Auto-Owners
Auto-Owners is distinguished by its affordability. Offering the lowest average rate for minimum coverage, it combines competitive pricing with a wide array of coverage options. It is also known for offering ways to bundle different insurance policies.
- Full Coverage Cost (Average): $1,851 annually, or approximately $154 per month
- Minimum Coverage Cost (Average): $37 per month
Best Mobile App Ratings: State Farm
State Farm, a popular choice for many drivers, stands out for its highly-rated mobile apps. The app allows users to easily manage their policies, file claims, and request roadside assistance.
- Full Coverage Cost (Average): $2,290 annually, or around $191 per month
- Minimum Coverage Cost (Average): $45 per month
Best for Customer Satisfaction: American Family
American Family stands out due to their customer satisfaction rankings. With a wide variety of coverage options and discounts, and a relatively low number of customer complaints, they are a strong contender.
- Full Coverage Cost (Average): $2,132 annually, $178 per month
- Minimum Coverage Cost (Average): $56 per month
Best for Military Members: USAA
USAA caters specifically to active military members, veterans, and their families, providing competitive rates, high customer satisfaction, and military-specific perks that include a discount for storing a car on base.
- Full Coverage Cost (Average): $1,456 annually, or around $121 per month
- Minimum Coverage Cost (Average): $31 Monthly
Honorable Mentions
Several other companies received high ratings in our evaluation and are worth considering:
- Acuity
- Allstate
- Amica
- Farmers
- GEICO
- Mapfre
- NJM
- Progressive
- Shelter
What Reddit Users Say
Reddit users also shared their opinions on auto insurance, with some highly recommending USAA for its claims service and availability of OEM parts in repairs (available only to military members and their families.) Other users highlighted the quick response times of Geico and the competitive payouts and rates offered by Progressive.
Finding the Right Insurance for You
The best car insurance company depends on individual needs and circumstances. Here’s how to find the best policy for your specific situation:
- Shop Around: Obtain quotes from multiple companies because pricing varies based on many factors.
- Check for Complaints: Review complaint data to inform your decision.
- Consider Smaller Companies: Local or regional companies might offer better rates and customer service.
- Shop Strategically: If you have a recent violation, shop around 3-5 years after the incident, when surcharges may decrease.
- Review Coverage: Check your coverage to ensure you have the right fit.
