We believe everyone should be able to make financial decisions with confidence. And while our site doesn’t feature every company or financial product available on the market, we’re proud that the guidance we offer, the information we provide and the tools we create are objective, independent, straightforward — and free.
So how do we make money? Our partners compensate us. This may influence which products we review and write about (and where those products appear on the site), but it in no way affects our recommendations or advice, which are grounded in thousands of hours of research. Our partners cannot pay us to guarantee favorable reviews of their products or services. Here is a list of our partners.
Best Car Insurance Companies of November 2023
NJM wins out as the best car insurance company for 2023, followed by American Family and Nationwide.
Kayda Norman is a NerdWallet authority on auto insurance. She previously worked in communications at The Walt Disney Co. and as a web producer and writer at several health and fitness publications, including Health magazine. Her work has been featured in The New York Times, The Washington Post and USA Today.
Ryan Brady Lead Writer | Auto insurance, life insurance
Ryan Brady is a lead writer at NerdWallet and authority on car insurance and life insurance. Ryan enjoys unraveling complex insurance topics to help people make smarter financial decisions. His work has appeared in TechCrunch, MarketWatch, Yahoo, Nasdaq and more.
Before joining NerdWallet, Ryan was a senior writer and principal researcher at Gartner. He is based in Fort Myers, Florida.
Ben Moore Assistant Assigning Editor | Auto insurance
Ben Moore is an assistant assigning editor and spokesperson who joined NerdWallet as a writer in 2020. An auto insurance authority, his past work has been featured in The Associated Press, The Chicago Sun-Times, MarketWatch, Nasdaq and Yahoo News. Ben has been quoted in Martha Stewart and Real Simple magazine, and he has appeared on local broadcast television. He is based in Nashville, Tennessee.
Many or all of the products featured here are from our partners who compensate us. This influences which products we write about and where and how the product appears on a page. However, this does not influence our evaluations. Our opinions are our own. Here is a list of our partners and here's how we make money.
You’re following Kayda Norman and Ryan Brady Visit your My NerdWallet Settings page to see all the writers you're following.
Finding the “best” car insurance company that fits your needs can feel like trying to put together a jigsaw puzzle in the dark. Thankfully, we’ve put the pieces together for you.
Here are NerdWallet’s picks for the best car insurance companies in 2023:
NerdWallet’s editorial team considered pricing, discounts, complaint data from the National Association of Insurance Commissioners and more to determine the best car insurance companies. Our “ease of use” category includes factors such as website transparency and how easy it is to file a claim. As we continue to evaluate more insurance providers and receive fresh market data, this collection of best auto insurance companies is likely to change.
Why you can trust NerdWallet
Our writers and editors follow strict editorial guidelines to ensure fair, unbiased and accurate information so you can choose the best insurance company for you. These company ratings are specific to auto insurance — a company's rating for other types of insurance may be different on our site.
Did your premium go up? You're not alone. The best car insurance companies are often among the cheapest, so compare quotes from a few of our top picks to see if you can get a better rate.
Best car insurance companies
Here’s our full list of best auto insurance companies for each category, their average rates and what makes them so great. If you’re simply looking for the cheapest car insurance out there, check out NerdWallet’s analysis of the cheapest car insurance.
NerdWallet's ratings are determined by our editorial team. The scoring formula takes into account consumer complaint and customer satisfaction data.
NJM is among our best car insurance companies for 2023, but it is available in only five states.
DiscountsRatings are based on the number of discounts a company offers in comparison to other insurers.
Great set of discounts
Ease of useRatings are determined by our editorial team. Our “ease of use” category looks at factors such as website transparency and how easy it is to file a claim.
Average
NAIC complaintsRatings are based on complaints to state regulators relative to a company’s size, according to three years’ worth of data from the National Association of Insurance Commissioners. NerdWallet conducts its data analysis and reaches conclusions independently and without the endorsement of the NAIC.
Far fewer than expected
Pros
Customer satisfaction is high.
Complaints are low.
Possible dividend payments for New Jersey policyholders.
Cons
Not available in many states.
No mobile app for managing policy.
With fewer complaints than most other insurers its size, high customer satisfaction rates and perks such as free pet coverage and new car replacement if you buy collision and comprehensive insurance, NJM is a strong choice for Mid-Atlantic drivers.
NerdWallet's ratings are determined by our editorial team. The scoring formula takes into account consumer complaint and customer satisfaction data.
NJM is among our best car insurance companies for 2023, but it is available in only five states.
DiscountsRatings are based on the number of discounts a company offers in comparison to other insurers.
Great set of discounts
Ease of useRatings are determined by our editorial team. Our “ease of use” category looks at factors such as website transparency and how easy it is to file a claim.
Average
NAIC complaintsRatings are based on complaints to state regulators relative to a company’s size, according to three years’ worth of data from the National Association of Insurance Commissioners. NerdWallet conducts its data analysis and reaches conclusions independently and without the endorsement of the NAIC.
Far fewer than expected
Pros
Customer satisfaction is high.
Complaints are low.
Possible dividend payments for New Jersey policyholders.
Cons
Not available in many states.
No mobile app for managing policy.
With fewer complaints than most other insurers its size, high customer satisfaction rates and perks such as free pet coverage and new car replacement if you buy collision and comprehensive insurance, NJM is a strong choice for Mid-Atlantic drivers.
New Jersey Manufacturers Insurance (NJM) tops our list as the insurer with the highest score in 2023 out of the companies we ranked. You can get all the standard auto coverage options from NJM, along with extras including new car replacement coverage and pet coverage, which pays for veterinary bills if your pet is injured in a covered car accident. You can also add gap insurance to help pay off your car loan if your vehicle is stolen or totaled.
NJM average annual rates for a 35-year-old driver with good credit*
NerdWallet's ratings are determined by our editorial team. The scoring formula takes into account consumer complaint and customer satisfaction data.
American Family offers a long list of insurance discounts, and it receives fewer consumer complaints than expected for a company of its size.
DiscountsRatings are based on the number of discounts a company offers in comparison to other insurers.
Great set of discounts
Ease of useRatings are determined by our editorial team. Our “ease of use” category looks at factors such as website transparency and how easy it is to file a claim.
Average
NAIC complaintsRatings are based on complaints to state regulators relative to a company’s size, according to three years’ worth of data from the National Association of Insurance Commissioners. NerdWallet conducts its data analysis and reaches conclusions independently and without the endorsement of the NAIC.
Far fewer than expected
Pros
Fewer customer complaints than expected for a company its size.
Many coverage types offered.
Wide range of discounts.
Cons
Not available in all states.
American Family offers a long list of insurance discounts, and it receives fewer consumer complaints than expected for a company of its size.
NerdWallet's ratings are determined by our editorial team. The scoring formula takes into account consumer complaint and customer satisfaction data.
American Family offers a long list of insurance discounts, and it receives fewer consumer complaints than expected for a company of its size.
DiscountsRatings are based on the number of discounts a company offers in comparison to other insurers.
Great set of discounts
Ease of useRatings are determined by our editorial team. Our “ease of use” category looks at factors such as website transparency and how easy it is to file a claim.
Average
NAIC complaintsRatings are based on complaints to state regulators relative to a company’s size, according to three years’ worth of data from the National Association of Insurance Commissioners. NerdWallet conducts its data analysis and reaches conclusions independently and without the endorsement of the NAIC.
Far fewer than expected
Pros
Fewer customer complaints than expected for a company its size.
Many coverage types offered.
Wide range of discounts.
Cons
Not available in all states.
American Family offers a long list of insurance discounts, and it receives fewer consumer complaints than expected for a company of its size.
American Family claims the No. 1 spot among large insurance companies. The company offers a range of discounts to drivers in some states, including for loyalty, completing a defensive driving course and students away at school. American Family also has apps to monitor driving, allowing good drivers to earn discounts.
American Family average annual rates for a 35-year-old driver with good credit
NerdWallet's ratings are determined by our editorial team. The scoring formula takes into account consumer complaint and customer satisfaction data.
Nationwide’s great set of discounts and low number of complaints make it a solid choice for many consumers.
DiscountsRatings are based on the number of discounts a company offers in comparison to other insurers.
Great set of discounts
Ease of useRatings are determined by our editorial team. Our “ease of use” category looks at factors such as website transparency and how easy it is to file a claim.
Above average
NAIC complaintsRatings are based on complaints to state regulators relative to a company’s size, according to three years’ worth of data from the National Association of Insurance Commissioners. NerdWallet conducts its data analysis and reaches conclusions independently and without the endorsement of the NAIC.
Fewer than expected
Pros
Fewer than the expected number of complaints to state regulators.
Wide variety of options for customers who want to buy multiple products from one company.
Generous extras for loyal customers such as minor accident forgiveness, pet injury coverage and car key replacement.
Cons
Doesn't sell auto insurance policies in all states.
Nationwide offers many types of insurance products, making it easy for you to bundle and save on coverage. You can also lower your premium by taking advantage of the company’s wide range of discounts.
NerdWallet's ratings are determined by our editorial team. The scoring formula takes into account consumer complaint and customer satisfaction data.
Nationwide’s great set of discounts and low number of complaints make it a solid choice for many consumers.
DiscountsRatings are based on the number of discounts a company offers in comparison to other insurers.
Great set of discounts
Ease of useRatings are determined by our editorial team. Our “ease of use” category looks at factors such as website transparency and how easy it is to file a claim.
Above average
NAIC complaintsRatings are based on complaints to state regulators relative to a company’s size, according to three years’ worth of data from the National Association of Insurance Commissioners. NerdWallet conducts its data analysis and reaches conclusions independently and without the endorsement of the NAIC.
Fewer than expected
Pros
Fewer than the expected number of complaints to state regulators.
Wide variety of options for customers who want to buy multiple products from one company.
Generous extras for loyal customers such as minor accident forgiveness, pet injury coverage and car key replacement.
Cons
Doesn't sell auto insurance policies in all states.
Nationwide offers many types of insurance products, making it easy for you to bundle and save on coverage. You can also lower your premium by taking advantage of the company’s wide range of discounts.
If you want an insurance company that rewards customer loyalty, Nationwide might be a good option. Nationwide offers multiple discounts and auto insurance options, with plenty of extras for loyal customers. The company includes minor accident forgiveness in its loyalty rewards program, which means your rates won’t go up if you get in a fender bender and file a claim that’s under Nationwide’s accident threshold. There’s no limit on the number of accidents.
Nationwide average annual rates for a 35-year-old driver with good credit
NerdWallet's ratings are determined by our editorial team. The scoring formula takes into account consumer complaint and customer satisfaction data.
Progressive offers a variety of discounts and insurance products to cater to most people, though there’s room for improvement when it comes to customer satisfaction.
DiscountsRatings are based on the number of discounts a company offers in comparison to other insurers.
Great set of discounts
Ease of useRatings are determined by our editorial team. Our “ease of use” category looks at factors such as website transparency and how easy it is to file a claim.
Above average
NAIC complaintsRatings are based on complaints to state regulators relative to a company’s size, according to three years’ worth of data from the National Association of Insurance Commissioners. NerdWallet conducts its data analysis and reaches conclusions independently and without the endorsement of the NAIC.
Fewer than expected
Pros
Second-largest personal auto insurer in the country.
If your pet is injured in a car accident and you have collision insurance, Progressive will help pay your vet bills in most states.
Rideshare coverage available.
Cons
Below average rating for car insurance shopping and claims satisfaction from J.D. Power.
Progressive has few complaints and offers free perks other insurers don’t, such as free pet injury coverage and accident forgiveness for certain customers.
NerdWallet's ratings are determined by our editorial team. The scoring formula takes into account consumer complaint and customer satisfaction data.
Progressive offers a variety of discounts and insurance products to cater to most people, though there’s room for improvement when it comes to customer satisfaction.
DiscountsRatings are based on the number of discounts a company offers in comparison to other insurers.
Great set of discounts
Ease of useRatings are determined by our editorial team. Our “ease of use” category looks at factors such as website transparency and how easy it is to file a claim.
Above average
NAIC complaintsRatings are based on complaints to state regulators relative to a company’s size, according to three years’ worth of data from the National Association of Insurance Commissioners. NerdWallet conducts its data analysis and reaches conclusions independently and without the endorsement of the NAIC.
Fewer than expected
Pros
Second-largest personal auto insurer in the country.
If your pet is injured in a car accident and you have collision insurance, Progressive will help pay your vet bills in most states.
Rideshare coverage available.
Cons
Below average rating for car insurance shopping and claims satisfaction from J.D. Power.
Progressive has few complaints and offers free perks other insurers don’t, such as free pet injury coverage and accident forgiveness for certain customers.
Progressive includes two free accident forgiveness options so your rates won’t increase after a crash. Small accident forgiveness is automatically included with your policy in most states and forgives accidents with $500 or less in repairs. Customers who have been with the company for at least five years without any accidents or traffic violations are eligible for large accident forgiveness that covers bigger crashes.
Progressive average annual rates for a 35-year-old driver with good credit
NerdWallet's ratings are determined by our editorial team. The scoring formula takes into account consumer complaint and customer satisfaction data.
Country Financial has few customer complaints for auto insurance, but is available in only 19 states.
DiscountsRatings are based on the number of discounts a company offers in comparison to other insurers.
Great set of discounts
Ease of useRatings are determined by our editorial team. Our “ease of use” category looks at factors such as website transparency and how easy it is to file a claim.
Average
NAIC complaintsRatings are based on complaints to state regulators relative to a company’s size, according to three years’ worth of data from the National Association of Insurance Commissioners. NerdWallet conducts its data analysis and reaches conclusions independently and without the endorsement of the NAIC.
Far fewer than expected
Pros
Fewer than expected consumer complaints for auto insurance.
Offers rideshare insurance in Oregon.
Cons
Not available in all states.
Country Financial offers a wide variety of insurance products and offers coverage some insurers don’t, including rideshare insurance and new car replacement.
NerdWallet's ratings are determined by our editorial team. The scoring formula takes into account consumer complaint and customer satisfaction data.
Country Financial has few customer complaints for auto insurance, but is available in only 19 states.
DiscountsRatings are based on the number of discounts a company offers in comparison to other insurers.
Great set of discounts
Ease of useRatings are determined by our editorial team. Our “ease of use” category looks at factors such as website transparency and how easy it is to file a claim.
Average
NAIC complaintsRatings are based on complaints to state regulators relative to a company’s size, according to three years’ worth of data from the National Association of Insurance Commissioners. NerdWallet conducts its data analysis and reaches conclusions independently and without the endorsement of the NAIC.
Far fewer than expected
Pros
Fewer than expected consumer complaints for auto insurance.
Offers rideshare insurance in Oregon.
Cons
Not available in all states.
Country Financial offers a wide variety of insurance products and offers coverage some insurers don’t, including rideshare insurance and new car replacement.
Country Financial may have started out as a farm and crop insurer, but it now offers a wide selection of products such as business, boat and motorcycle insurance. It received far fewer customer complaints for auto insurance than similar-sized companies and received the least complaints out of the insurers on our 2023 best of collection.
Country Financial average annual rates for a 35-year-old driver with good credit
NerdWallet's ratings are determined by our editorial team. The scoring formula takes into account consumer complaint and customer satisfaction data.
People who need several insurance policies may benefit from the convenience and discounts of bundling them with Auto-Owners, which has many coverage options and few customer complaints.
DiscountsRatings are based on the number of discounts a company offers in comparison to other insurers.
Great set of discounts
Ease of useRatings are determined by our editorial team. Our “ease of use” category looks at factors such as website transparency and how easy it is to file a claim.
Below average
NAIC complaintsRatings are based on complaints to state regulators relative to a company’s size, according to three years’ worth of data from the National Association of Insurance Commissioners. NerdWallet conducts its data analysis and reaches conclusions independently and without the endorsement of the NAIC.
Far fewer than expected
Pros
Offers a wide variety of products with the opportunity to bundle.
Fewer complaints than other companies for auto insurance.
Cons
Available only in 26 states.
Online quotes aren’t available.
People who need several insurance policies may benefit from the convenience and discounts of bundling them with Auto-Owners, which has many coverage options and superior financial strength.
NerdWallet's ratings are determined by our editorial team. The scoring formula takes into account consumer complaint and customer satisfaction data.
People who need several insurance policies may benefit from the convenience and discounts of bundling them with Auto-Owners, which has many coverage options and few customer complaints.
DiscountsRatings are based on the number of discounts a company offers in comparison to other insurers.
Great set of discounts
Ease of useRatings are determined by our editorial team. Our “ease of use” category looks at factors such as website transparency and how easy it is to file a claim.
Below average
NAIC complaintsRatings are based on complaints to state regulators relative to a company’s size, according to three years’ worth of data from the National Association of Insurance Commissioners. NerdWallet conducts its data analysis and reaches conclusions independently and without the endorsement of the NAIC.
Far fewer than expected
Pros
Offers a wide variety of products with the opportunity to bundle.
Fewer complaints than other companies for auto insurance.
Cons
Available only in 26 states.
Online quotes aren’t available.
People who need several insurance policies may benefit from the convenience and discounts of bundling them with Auto-Owners, which has many coverage options and superior financial strength.
A company’s financial strength is one of the most important factors to consider when choosing an insurer, since it indicates a company’s ability to pay a claim. For this category, NerdWallet leaned on AM Best’s financial strength rating, which measures an insurer’s ability to meet its policy and contract commitments. Auto-Owners earned an A++ rating from AM Best for financial strength, the highest rating possible.
Auto-Owners average annual rates for a 35-year-old driver with good credit
NerdWallet's ratings are determined by our editorial team. The scoring formula takes into account consumer complaint and customer satisfaction data.
High marks for customer satisfaction and low consumer complaints make Amica a great choice for good drivers.
DiscountsRatings are based on the number of discounts a company offers in comparison to other insurers.
Great set of discounts
Ease of useRatings are determined by our editorial team. Our “ease of use” category looks at factors such as website transparency and how easy it is to file a claim.
Below average
NAIC complaintsRatings are based on complaints to state regulators relative to a company’s size, according to three years’ worth of data from the National Association of Insurance Commissioners. NerdWallet conducts its data analysis and reaches conclusions independently and without the endorsement of the NAIC.
Fewer than expected
Pros
High customer satisfaction ratings and low consumer complaints.
Many policy perks and discounts.
Potential to earn dividends.
Cons
Some policy types aren’t available in Alaska or Hawaii.
Boasting few customer complaints, Amica offers free perks for good drivers including accident forgiveness and a disappearing deductible. The company also gives customers the option to buy a dividend-paying policy, which can save money in the long run.
NerdWallet's ratings are determined by our editorial team. The scoring formula takes into account consumer complaint and customer satisfaction data.
High marks for customer satisfaction and low consumer complaints make Amica a great choice for good drivers.
DiscountsRatings are based on the number of discounts a company offers in comparison to other insurers.
Great set of discounts
Ease of useRatings are determined by our editorial team. Our “ease of use” category looks at factors such as website transparency and how easy it is to file a claim.
Below average
NAIC complaintsRatings are based on complaints to state regulators relative to a company’s size, according to three years’ worth of data from the National Association of Insurance Commissioners. NerdWallet conducts its data analysis and reaches conclusions independently and without the endorsement of the NAIC.
Fewer than expected
Pros
High customer satisfaction ratings and low consumer complaints.
Many policy perks and discounts.
Potential to earn dividends.
Cons
Some policy types aren’t available in Alaska or Hawaii.
Boasting few customer complaints, Amica offers free perks for good drivers including accident forgiveness and a disappearing deductible. The company also gives customers the option to buy a dividend-paying policy, which can save money in the long run.
If you’re looking to save on your auto policy, Amica may be worth a look. The company offers more discounts than most other insurers, including discounts for owning a home, insuring more than one vehicle, taking a defensive driving course and setting up automatic payments. Just keep in mind that the company with the most discounts will not necessarily be the cheapest. For that, check out NerdWallet's analysis of the cheapest car insurance.
Amica average annual rates for a 35-year-old driver with good credit
NerdWallet's ratings are determined by our editorial team. The scoring formula takes into account consumer complaint and customer satisfaction data.
With generous coverage and discounts for good driving habits, State Farm is a popular insurer with fewer complaints compared to other large competitors.
DiscountsRatings are based on the number of discounts a company offers in comparison to other insurers.
Average set of discounts
Ease of useRatings are determined by our editorial team. Our “ease of use” category looks at factors such as website transparency and how easy it is to file a claim.
Above average
NAIC complaintsRatings are based on complaints to state regulators relative to a company’s size, according to three years’ worth of data from the National Association of Insurance Commissioners. NerdWallet conducts its data analysis and reaches conclusions independently and without the endorsement of the NAIC.
Fewer than expected
Pros
Numerous discounts offered, including two programs — one for safe driving and the other for young drivers.
Generous rental car and travel expenses coverage.
Customer satisfaction rating for buying auto insurance is better than average, according to J.D. Power.
Cons
Doesn't offer gap insurance.
With generous coverage and discounts for good driving habits, State Farm is a popular insurer with fewer complaints compared to other large insurers.
NerdWallet's ratings are determined by our editorial team. The scoring formula takes into account consumer complaint and customer satisfaction data.
With generous coverage and discounts for good driving habits, State Farm is a popular insurer with fewer complaints compared to other large competitors.
DiscountsRatings are based on the number of discounts a company offers in comparison to other insurers.
Average set of discounts
Ease of useRatings are determined by our editorial team. Our “ease of use” category looks at factors such as website transparency and how easy it is to file a claim.
Above average
NAIC complaintsRatings are based on complaints to state regulators relative to a company’s size, according to three years’ worth of data from the National Association of Insurance Commissioners. NerdWallet conducts its data analysis and reaches conclusions independently and without the endorsement of the NAIC.
Fewer than expected
Pros
Numerous discounts offered, including two programs — one for safe driving and the other for young drivers.
Generous rental car and travel expenses coverage.
Customer satisfaction rating for buying auto insurance is better than average, according to J.D. Power.
Cons
Doesn't offer gap insurance.
With generous coverage and discounts for good driving habits, State Farm is a popular insurer with fewer complaints compared to other large insurers.
The largest personal auto insurance company in the country, State Farm ranked No. 1 among eight large insurers in J.D. Power's 2023 U.S. Insurance Shopping Study
NerdWallet's ratings are determined by our editorial team. The scoring formula takes into account consumer complaint and customer satisfaction data.
Auto Club Group provides AAA-branded auto insurance in over a dozen states.
DiscountsRatings are based on the number of discounts a company offers in comparison to other insurers.
Great set of discounts
Ease of useRatings are determined by our editorial team. Our “ease of use” category looks at factors such as website transparency and how easy it is to file a claim.
Average
NAIC complaintsRatings are based on complaints to state regulators relative to a company’s size, according to three years’ worth of data from the National Association of Insurance Commissioners. NerdWallet conducts its data analysis and reaches conclusions independently and without the endorsement of the NAIC.
Fewer than expected
Pros
May receive an auto insurance discount for being a member of AAA.
Multiple insurance products offered.
Cons
Not available in all states.
Auto Club Group offers AAA members and non-members a host of car insurance discounts they may qualify for and has fewer customer complaints than other companies of similar size.
NerdWallet's ratings are determined by our editorial team. The scoring formula takes into account consumer complaint and customer satisfaction data.
Auto Club Group provides AAA-branded auto insurance in over a dozen states.
DiscountsRatings are based on the number of discounts a company offers in comparison to other insurers.
Great set of discounts
Ease of useRatings are determined by our editorial team. Our “ease of use” category looks at factors such as website transparency and how easy it is to file a claim.
Average
NAIC complaintsRatings are based on complaints to state regulators relative to a company’s size, according to three years’ worth of data from the National Association of Insurance Commissioners. NerdWallet conducts its data analysis and reaches conclusions independently and without the endorsement of the NAIC.
Fewer than expected
Pros
May receive an auto insurance discount for being a member of AAA.
Multiple insurance products offered.
Cons
Not available in all states.
Auto Club Group offers AAA members and non-members a host of car insurance discounts they may qualify for and has fewer customer complaints than other companies of similar size.
With a wide variety of discounts and fewer complaints for auto insurance than other companies its size, the Auto Club Group is a good option for many drivers. You don’t need to be a AAA member to get a policy, but if you do join, you’ll receive an additional discount on your auto insurance. Members also have access to AAA’s perks, including discounts on hotels and restaurants.
AAA average annual rates for a 35-year-old driver with good credit
While our best auto insurance company winners above can serve as a jumping off point in your quest for the best policy, everyone’s needs and circumstances are different. That’s why it’s a good idea to do your due diligence when deciding on an insurance company that’s right for you.
Here are some tips to get started:
Shop around. Price is a key consideration for many people, especially with car insurance rates on the rise. Pricing is based on many factors like your age, location, vehicle and driving history. Because every insurance company weighs these factors differently, it’s important to shop around for car insurance quotes to find the cheapest option.
Check for complaints. Most people don’t deal with their insurance company until they need to file a claim. It’s only then that they might find out their insurer doesn’t have the best customer experience, making a bad situation worse. Read NerdWallet’s guide on how to find complaints about insurance companies in your area and other information.
Check your coverage. Ask your agent or a customer service representative if you’re getting the coverage you need so that you’re not under or over-insured.
Consider smaller insurance companies. Small car insurance companies offer prices well below those of large competitors in many locations, and can often provide a better customer experience, too.
Shop strategically. If you’ve gotten a ticket, DUI or other violation recently, be sure to shop three to five years after the incident, when surcharges can drop significantly.
As you shop for the best car insurance, it’s good to be familiar with the different car insurance coverage types out there so you’ll know what to include in your coverage.
Here’s a breakdown of common insurance coverage types and what each pays for:
Minimum vs. full coverage car insurance
If all you care about is getting the lowest price, consider minimum coverage car insurance. Minimum coverage is the least amount of insurance needed to drive legally in your state.
But it's typically not enough to cover damage from a major accident, and you could end up paying out of pocket for any damage you cause once your insurance pays out. Minimum coverage also won’t pay for damage you cause to your own car.
For greater financial protection, go with full coverage insurance. There’s no standard definition of full coverage car insurance, but it typically includes your state’s minimum requirements, plus comprehensive and collision insurance. Full coverage costs more than minimum coverage, but the peace of mind may be worth the extra money. If you’re financing or leasing your car, you probably already have full coverage insurance.
You’ve likely noticed that car insurance has gotten more expensive lately. The cost of car insurance increased 19% in September 2023 compared to the year prior, according to data from the U.S. Bureau of Labor Statistics
When looking for the best auto insurance company, keep in mind that location has a big impact on the price you pay.
To give you a better idea of what you'll pay in each state, NerdWallet analyzed full coverage insurance rates for 35-year-old drivers with good credit and no recent accidents, DUIs or traffic violations.
The table below shows the average annual car insurance rate in each state and Washington D.C.
See what you could save on car insurance
Easily compare personalized rates to see how much switching car insurance could save you.
The following companies received 5 stars out of 5 in NerdWallet's analysis of the best auto insurers: American Family, Amica, Auto Club Group, Auto-Owners, Country Financial, Nationwide, NJM, Progressive and State Farm.
How can I find the best car insurance?
To find the best auto insurance policy for you, think carefully about what kind of coverage you need. For instance, if you're looking for a specific type of coverage such as rideshare insurance, check to make sure the company offers this before buying a policy.
When comparing insurers, select the same coverage levels so you can compare quotes equally. Look at a company's customer complaints on your state insurance commissioner’s website and financial strength through a rating site like AM Best.
Which company has the best car insurance rates?
Out of the nation’s largest insurers, State Farm is the cheapest car insurance company for both minimum and full coverage, on average. However, this is based on average premiums, and your rate will vary based on factors such as your age, location and car make and model. Shop around to find the cheapest rate for you.
What type of car insurance should I get?
How much car insurance you need depends on your own unique personal and financial circumstances. But if all you care about is price, consider minimum coverage car insurance. This includes the minimum insurance required to drive in your state, and nothing more. If you want more financial protection, explore full coverage insurance.
The average cost of car insurance is about $179 per month for a 35-year-old driver with a good driving history, good credit and full coverage insurance, according to NerdWallet’s analysis.
What is the best car insurance?
The following companies received 5 stars out of 5 in NerdWallet's analysis of the best auto insurers: American Family, Amica, Auto Club Group, Auto-Owners, Country Financial, Nationwide, NJM, Progressive and State Farm.
How can I find the best car insurance?
To find the best auto insurance policy for you, think carefully about what kind of coverage you need. For instance, if you're looking for a specific type of coverage such as
, check to make sure the company offers this before buying a policy.
When comparing insurers, select the same coverage levels so you can compare quotes equally. Look at a company's customer complaints on your state insurance commissioner’s website and financial strength through a rating site like AM Best.
Which company has the best car insurance rates?
Out of the nation’s largest insurers, State Farm is the
company for both minimum and full coverage, on average. However, this is based on average premiums, and your rate will vary based on factors such as your age, location and car make and model. Shop around to find the cheapest rate for you.
What type of car insurance should I get?
How much car insurance you need depends on your own unique personal and financial circumstances. But if all you care about is price, consider minimum coverage car insurance. This includes the minimum insurance required to drive in your state, and nothing more. If you want more financial protection, explore full coverage insurance.
is about $179 per month for a 35-year-old driver with a good driving history, good credit and full coverage insurance, according to NerdWallet’s analysis.
Methodology
Insurer complaints methodology
NerdWallet examined complaints received by state insurance regulators and reported to the National Association of Insurance Commissioners in 2019-2021. To assess how insurers compare to one another, the NAIC calculates a complaint index each year for each subsidiary, measuring its share of total complaints relative to its size, or share of total premiums in the industry. To evaluate a company’s complaint history, NerdWallet calculated a similar index for each insurer, weighted by market shares of each subsidiary, over the three-year period. NerdWallet conducts its data analysis and reaches conclusions independently and without the endorsement of the NAIC. Ratios are determined separately for auto, home (including renters and condo) and life insurance.
Auto insurance ratings methodology
NerdWallet’s auto insurance ratings reward companies for customer-first features and practices. Ratings are based on weighted averages of scores in several categories, including financial strength, consumer complaints and discounts. Our “ease of use” category looks at factors such as website transparency and how easy it is to file a claim. Using our editorial discretion, we also consider customer satisfaction surveys. These ratings are a guide, but we encourage you to shop around and compare several insurance quotes to find the best rate for you. NerdWallet does not receive compensation for any reviews. Read our editorial guidelines and full ratings methodology for auto insurance.
Average rates methodology
NerdWallet averaged rates based on public filings obtained by pricing analytics company Quadrant Information Services. We examined rates for men and women for all ZIP codes in any of the 50 states and Washington, D.C. Although it’s one of the largest insurers in the country, Liberty Mutual is not included in our rates analysis due to a lack of publicly available information.
In our analysis, “good drivers” had no moving violations on record; a “good driving” discount was included for this profile. Our “good” and “poor” credit rates are based on credit score approximations and do not account for proprietary scoring criteria used by insurance providers.
These are average rates, and your rate will vary based on your personal details, state and insurance provider.
Sample drivers had the following coverage limits:
$100,000 bodily injury liability coverage per person.
$300,000 bodily injury liability coverage per crash.
$50,000 property damage liability coverage per crash.
$100,000 uninsured motorist bodily injury coverage per person.
$300,000 uninsured motorist bodily injury coverage per crash.
Collision coverage with $1,000 deductible.
Comprehensive coverage with $1,000 deductible.
In states where required, minimum additional coverages were added. We used the same assumptions for all other driver profiles, with the following exceptions:
For drivers with minimum coverage, we adjusted the numbers above to reflect only the minimum coverage required by law in the state.
We changed the credit tier from “good” to “poor” as reported to the insurer to see rates for drivers with poor credit. In states where credit isn’t taken into account, we only used rates for “good credit.”
For drivers with one at-fault crash, we added a single at-fault crash costing $10,000 in property damage.
For drivers with a DUI, we added a single drunken-driving violation.
For drivers with a ticket, we added a single speeding violation for driving 16 mph over the speed limit.
We used a 2020 Toyota Camry L in all cases and assumed 12,000 annual miles driven. We analyzed rates for drivers of the following ages: 20, 30, 35, 40, 50, 60 and 70.
These are rates generated through Quadrant Information Services. Your own rates will be different.
