Whether you’re looking to switch insurers or this is your first time picking out a policy, our picks for best auto insurance companies offer all the coverage you need.
The companies on our list all offer the five main types of coverage: collision, comprehensive, personal injury protection, liability, and uninsured/underinsured motorists coverage.
They also have a slew of discounts to help offset the cost of your monthly premium. You can lower your rate by choosing paperless billing, insuring multiple cars, taking safe driving courses and staying with the same company, among others.
We prepared a comprehensive breakdown of each company’s policies, provisions and perks to help you on the road to solid and affordable protection.
So, hop in as we review the eight best auto insurance companies for November 2022.
Our Top Picks for Best Car Insurance Companies of November 2022
- Amica Mutual - Best Car Insurance Package
- Progressive - Best for Customizable Premiums
- State Farm - Best for Young Drivers
- Farmers - Best for Essential Worker and First Responder Discounts
- Nationwide - Best for Flexible Policies
- GEICO - Best Mobile App
- Allstate - Best Usage-Based Insurance Program
- USAA - Best for Military Members
Best Car Insurance Companies Reviews
AMICA - Car Insurance Company
Why we chose it: Amica Mutual made our list for its Platinum Choice Auto policy, which lets drivers earn Advantage Points rewards and save significantly on their deductible.
Amica Platinum Choice Auto Policy is a ready-made package that includes all the basic coverage most people need, in addition to unique perks such as identity fraud monitoring.
In addition, it offers deductible-free glass coverage, rental car coverage and an Advantage Points program where drivers can earn points to reduce their deductibles or keep rates from increasing after a claim.
For drivers who prefer to pick and choose, Amica breaks down its coverage into two categories: the things you need to have and those that are nice to have. You can customize your plan to include these extras, but keep in mind that they might make a considerable difference in your premium.
These extras include: MedPay, which provides extra medical coverage for bills and funeral expenses. Collision to cover accident-related damage and comprehensive collision to fix non-accident related damage, such as from fire, natural disasters or theft.
Two important riders that Amica provides are a credit monitoring service that very few competitors offer (and Amica includes in the platinum plan) and guaranteed asset protection (GAP), which covers the “gap” between what you owe and the depreciated value of your car if it’s totaled.
As for customer satisfaction, Amica has had the highest score in the New England region for 10 years in a row in J.D. Power's Auto Insurance Customer Satisfaction study. Amica also has a low National Association Of Insurance Commissioners (NAIC) complaint ratio (rate increases and delays in claims handling are recurring issues) and received a B+ in the 2022 CRASH report card, where mechanics rate insurers based on how they handle policies and make payments.
Amica car insurance discounts
Bundling policies and insuring multiple vehicles .
Paperless payments, up-front premium payments and AutoPay.
Good driving habits: being claim-free for three years and taking a defensive driving course .
Young drivers: for completing a training program, students with good grades and full-time students away at school .
Having anti-theft devices, passive restraint or electronic stability features .
Loyalty discounts after two years of being insured .
Legacy discounts for drivers under 30 whose parents have been insured with Amica for at least five years .
Amica car insurance tools
- Mobile app: track claims, request roadside assistance, pay bills .
- Car Connection tool for comparing prices on new and used cars .
PROGRESSIVE Car Insurance Company
Why we chose it: We picked Progressive as the best car insurance for customizable premiums because its Name Your Price tool lets drivers pick coverage that fits their budget.
Customization sets Progressive apart from the rest. With the Name Your Price tool customers set a budget and Progressive creates a policy to match it. From there, policyholders can pick and choose coverage limits and deductibles.
For example, you can increase the deductible for collision coverage and save on your premium; however, note that if you're in an accident, you'll have to pay a higher amount before the insurance kicks in.
Among the notable add-ons Progressive offers is GAP coverage. For an extra $14 a month, this coverage pays up to 25% of the difference between the value of the vehicle and what you owe. Another valuable add-on is the custom equipment coverage that you can use to repair any accessories meant to aid mobility, a GPS system or any other customization you’ve done to the vehicle.
Progressive also covers some things that few other insurers do. One is rideshare coverage, which covers you if you work for any type of rideshare service (Uber, Lyft or even food delivery), whether you do it full time or as your side hustle. In addition to this, Progressive’s collision policy covers medical care for any injuries your pet sustains during an accident.
In terms of savings, Progressive's telematics Snapshot program uses driving data such as acceleration, braking and distance and gives drivers a discount for safe driving behavior. It also gives customers the option of joining its deductible savings bank. This program puts $50 into savings every six months that go by without a claim until it reaches your deductible limit. Then, if you file a claim your deductible will already be paid for.
As for customer satisfaction and complaints, Progressive’s 862 out of 1,000 in JD. Powers Auto Claims Satisfaction Study is 20 points below the industry average and puts them second to last on the list, while its NAIC complaint index sits around the national average.
Progressive car insurance discounts
Bundling auto insurance policy with home, renters or life insurance .
Insuring multiple vehicles .
Anti-theft alarms and other vehicle safety features .
Choosing automatic and paperless payments .
Maintaining continuous coverage with Progressive .
Teen driver discounts: full-time students with good grades and students away from home .
Progressive car insurance tools
Find coverage options within your budget with the Name Your Price tool .
Car insurance calculator based on your state and personal details .
Get personalized rates with Snapshot, a usage-based insurance program (not available in California or North Carolina) .
Mobile app: view your driving status, see recent trips and learn ways to improve your driving .
STATE FARM : Car Insurance Company
Why we chose it: We chose State Farm as the best car insurance for young drivers because it rewards teenage student drivers with a GPA of 3.0 or higher with up to 25% in savings.
Teen drivers are the most expensive to insure, but State Farm stands out from other insurers by offering teen driver steep discounts that can offset the high premiums. With the Good Student Discount policyholders can save up to 25% if their teen driver keeps a GPA of 3.0 or higher until they turn 25. Drivers under 21 can also get a discount for taking a driver’s ed course.
Additionally, the “Student Away at School” discount helps customers save by only covering the student while at home on vacation and holidays.
State Farm is well known for its network of close to 19,000 agents across all fifty states. This makes it ideal for people who prefer more personalized service, and who prefer to have a dedicated agent they can go to with questions.
As for its policies, State Farm offers rental cars and travel expenses coverage for when you're in an accident 50+ miles from home. Others cover road assistance if your car breaks down (i.e. you get a flat tire, need a jumpstart, or you locked your keys inside the car), whereas State Farm’s travel expenses coverage extends its roadside assistance if you're in an accident and the accident is covered by your comprehensive and collision insurance. This pays up to $500 per loss for expenses like hotel and food, as well as a rental car while your car is in the shop.
One of State Farm’s notable discounts is the Drive Safe and Save telematics program which monitors your speed, braking and other driving factors and provides feedback on these. State Farm gives you a discount just for enrolling and once you start using the app you can get up to 30% discount for safe driving habits.
In J.D. Power’s 2021 Auto Insurance Customer Satisfaction report, State Farm was the highest ranking car insurer in the Southwest region and came in second in Texas, New York and the New England and Northwestern regions. State Farm improved its NAIC customer complaint index lowering its score from 0.71 to 0.67.
State Farm car insurance discounts
Bundling with renters, homeowner’s or life insurance policies
Insuring multiple vehicles
Drive Safe & Save telematics program rewards you for good driving habits
Defensive driving courses (in select states)
Vehicle safety features (seatbelt, airbags on older vehicles)
State Farm car insurance tools
Mobile app: pay bills, file claims, request roadside assistance, view ID cards and link your bank account
Make car reservations through Enterprise or Hertz
Directory of reliable auto repair shops
Car Insurance Guide
In this section, you will learn what auto insurance covers, the types of coverage most companies offer and what can raise (or lower) your monthly premium.
We also include a step-by-step guide on buying car insurance and explain why car insurance is worth your money.
How does car insurance work?
Auto insurance helps you cover losses stemming from theft, collision and liability involving your vehicle. In simple terms, you pay premiums to an insurer, and it pays for any losses as stipulated in your policy, which generally includes damage to other vehicles and injury to the persons involved.
These policies always feature a deductible, that is, an amount you must pay out of pocket before the insurer covers the rest. These can range from $250 all the way to $2,000. Policies with higher deductibles will cost less than those with lower deductibles because you’ll assume more of the cost of repair or replacement in the event of an incident.
Car insurance does not typically cover property within your vehicle, however. For example, if someone breaks into your car and steals your laptop, the insurer will pay to replace the window and any other damage done to the car, but not the computer. In order to cover that, you would need homeowners or renters insurance.
Auto insurance is regulated at the state level, so your policy’s minimum liability limits will depend on local laws. Except for New Hampshire and Virginia, all other states require drivers to buy car insurance or pay some sort of fee if uninsured.
Types of car insurance coverage
There are seven standard components of car insurance coverage:
- Liability insurance includes property damage and bodily injury liability; the latter covers medical expenses to others stemming from an at-fault accident.
- Uninsured/underinsured motorist coverage covers medical bills and repairs if you’re in an accident caused by another driver with little or no insurance.
- Comprehensive coverage covers repairs if your vehicle is damaged by something other than another vehicle (including hail, fire, floods, theft and vandalism).
- Collision coverage covers repair costs to your vehicle if you're involved in a car accident that is deemed to be your fault.
- Medical payments coverage covers medical expenses if you or your passengers are injured in an accident.
- Personal injury protection (PIP), also known as no-fault insurance, covers medical bills, loss of wages and funeral costs for you or your passengers if you're in an accident, regardless of who is at fault.
- Guaranteed asset protection (GAP), supplements your car insurance when you owe more on the car than its cash value. This would typically not be covered under a regular policy.
In addition to these, optional insurance riders can give you additional coverage such as roadside assistance, glass replacement and rental reimbursement at an extra cost.
What does full coverage car insurance cover?
Full coverage auto insurance refers to a combination of liability, collision and comprehensive coverage. These coverage options financially protect drivers by reimbursing them for damages to their vehicle, injuries to passengers, and any damages to other cars and their occupants.
How much is car insurance?
Car insurance costs $1,204 on average, according to The National Association of Insurance Commissioners (NAIC)’s most recent Auto Insurance Database Report. However, this can vary greatly depending on a wide range of factors. In fact, the NAIC explicitly mentions that state-to-state comparisons are difficult to make because of the high degree of variability on insurance requirements and other factors.
Common factors that increase premiums
While your driving record and the type of car you drive influence your premium, there are other factors that affect what you pay for car insurance. Broadly speaking, the higher the risk you seem to present for an insurer, the higher the premium will be.
What drives up car insurance premiums?
Here are some of the factors that will determine your premium.
- Car usage: If you don’t drive often, there are fewer chances you’ll be involved in an accident. The opposite is also true; the more you drive, the more likely the insurance company has to pay out a claim, which leads to higher premiums.
- Place of residence: Where you live influences your car insurance premium. Generally, metropolitan areas like New York City, for instance, have higher vehicle theft and vandalism rates than rural neighborhoods, which means a higher risk.
- Age: Drivers under the age of 25 usually pay higher premiums because insurers see inexperience as a contributing factor in accidents. Teenagers, therefore, are considered high-risk drivers and will often have to pay the highest premiums.
- Gender: Statistically speaking, women are involved in fewer car accidents than men, resulting in lower premiums.
- Marital status: Insurers consider married drivers as safer than single drivers.
- Commute: Insurers ask for mileage information, such as how many miles you drive a year, because longer commutes increase your risk of being in an accident. Some companies have specific guidelines to determine whether your car is what’s known as a pleasure vehicle (around 7,500 a year or 20 miles a day), and offer lower rates.
- Homeowner status: Generally speaking, insurers regard homeowners as more financially stable, and thus less of a risk, than renters.
- Owning luxury or sports vehicles: These cars cost more to repair, have higher vehicle theft rates and plenty of horsepower, which makes them costlier to insure.
- Accidents or tickets: These can hike up your payments for three years or longer.
- Credit score: While some states have banned the practice, many states still let insurers use credit-based insurance scores to price policies. Statistical data reveals that drivers with poor credit are more likely to file insurance claims.
How to lower your car insurance premium
There are things you can do to lower the cost of your car insurance. You might already know about bundling and discounts, but there are other things you can do to help offset the high cost of insurance.
Bundle insurance policies
On average, bundling can save you 8% on your combined premiums. Consider one of our best homeowners insurance providers if you're looking to bundle auto and home.
Reduce coverage on old cars
You can reduce your premium by dropping collision or comprehensive coverage on vehicles that are 10 years or older. Similarly, you might consider dropping collision coverage on vehicles you don't use or have in storage.
Consider usage-based insurance
Usage-based insurance (UBI) options take into account your current driving habits to establish your premium.
For example, pay-per-mile insurance can help infrequent or short-distance drivers save 20% to 40%, while pay-how-you-drive insurance could help good drivers save up to 40%, plus a discount for signing up.
Usage-based insurance options that measure how fast you drive, how quickly you turn and how abruptly you break could end up costing you more if you don't drive safely.
Shop for rates
Shopping around and comparing price quotes from at least three different insurance providers can help you get the cheapest car insurance rate, without sacrificing important coverage. Using a car insurance comparison tool can help match you with a provider that offers the best car insurance policy for your vehicle.
You can get rate quotes directly from insurance companies online or over the phone. Some state insurance commissioners also provide information on average car insurance prices in your state.
Besides average rates, consider available discounts, coverage limits and deductible options when shopping for coverage. If you don’t know where to start, an independent insurance agent or broker could help you narrow down your choices.
If you want to read more about savings opportunities with online insurers, read our guide to the best cheap car insurance companies.
Finally, check out our article on how to lower your car insurance premiums for more ways to save on auto policies.
How to get car insurance
Whether you’re getting car insurance because you just bought your first car or your current insurance contract is nearing the end of its term, it’s a good idea to review the steps for buying car insurance. These are:
Gather your personal and vehicle information (driver's license, vehicle registration and a copy of your existing insurance declaration page if the vehicle is already insured).
Get quotes from several providers (we recommend between 3 to 5)
Compare the premiums, types of coverage and limits.
Read customer reviews on the providers you’re considering to determine which is the best for your location.
Buy your new insurance policy (and cancel your old one).
Read our article on How to Buy Car Insurance for detailed information on what you need to know before signing on the dotted line.
Is car insurance worth it?
Car insurance is mandatory in all states with the exception of Virginia and New Hampshire, so most auto owners don’t have much of a choice in whether to insure their vehicle.
Since it's mandatory, driving while uninsured is considered a misdemeanor and will result in a fine of anywhere between $50 to $1,500, depending on your location. In some states, it can even result in jail time of up to five years. Given that the average premium is $1,190, it’s easy to see how it’s definitely worth it.
Why switch car insurance companies?
Even if you’re happy with your insurance coverage, you should review your policy annually to make sure the coverage and discounts still fit your lifestyle and driving habits. If you’re interested in switching, take a look at Money’s guide on how to switch your car insurance.
Some reasons you might consider switching are:
- You want to save money: it's never a bad idea to shop around, especially since prices and your life circumstances can change.
- You want to add a teen driver: Teens are expensive to insure. While including your child in your car insurance will increase your rates, some companies offer teen driver discounts available (State Farm is one such example) to help offset these increases.
- You moved: A factor that affects your rate is location and your rate might be affected if you move. It’s not a bad idea to shop around to see if your provider is still the best option given where you’re living.
- Your credit score improved: While some states are banning the use of credit scores to set car and home insurance rates, it is still used in many states. You may want to switch car insurance if your score has improved because you could get a lower rate as a result.
- Your commute has changed: With hybrid schedules or work from home, some find themselves using their car substantially less. These drivers could now be eligible for low-mileage discounts.
Latest News on Car Insurance
- Due to various factors such as chip shortages, factory shutdowns, port backlogs and other supply chain issues, new car buyers are now stuck making payments of $1,000 or more a month. If you’re still looking to buy a new car this year, Money’s guide on how to buy a car in 2022 can help you get the best price.
- If you’re considering buying a new car, you may have to reconsider the make and model as some brands have had significant price increases. While the conventional wisdom is that used cars are more affordable options, these too are seeing higher-than average prices.
- In some car and home insurance related news for residents of Washington state, a new law will ban the use of credit scores to set car and home insurance rates. Similar laws exist in Hawaii, California, Michigan, Massachusetts and Maryland. Insurance companies argue that this will lead to higher premiums for drivers.
- Experts say the recent increase in road fatalities on U.S. roads will mean higher car insurance rates for drivers in 2022.
- The growing number of EV cars – which usually fall within the luxury car range – is one reason why average car prices are creeping towards $50,000. While prices are still higher than ever, there may be light at the end of the tunnel given that the average price for used cars has gone down by 4.6%.
How We Chose the Best Car Insurance Companies
To find the best auto insurance companies, we vetted 23 insurers, all of which were featured on the NAIC’s 2021 Property/Casualty Market Share report for Private Passenger Auto as well as J.D. Power’s 2021 U.S. Auto Claims Satisfaction Study.
We only considered companies with relatively few complaints involving their private passenger policies, as reported by the National Association of Insurance Commissioners (NAIC).
We also prioritized nationwide auto insurers with superior financial strength ratings, ample discounts, technology integration through telematics programs and above-average customer satisfaction scores from J.D. Power.
Finally, we looked at CRASH Network’s most recent report which rates insurers based on feedback from 1,100 automotive collision repair professionals, taking into account payment practices and policy handling.
In short, we focused on the following factors:
- Financial stability: An insurance company’s financial stability can be gauged by its AM Best credit rating. We chose insurers with an A rating or better.
- Discounts: Auto insurance policies that cover anything beyond basic liability can be costly. We picked companies who offered plenty of bundling options and generous discounts.
- Technology: Most of the companies on our list use automation to provide auto insurance quotes in a matter of minutes and have a 24/7 claims process. Car insurance companies that allow policyholders to file car insurance claims via apps ranked higher on our list.
- Customer experience: Filing a claim can undoubtedly be a hassle. To help you minimize the stress, we chose companies with high customer satisfaction ratings as reported on J.D. Power's 2021 U.S. Auto Claims Satisfaction Study.
Car Insurance FAQ
How much is car insurance a month?
Per the NAIC's most recent Auto Insurance Database Report, the national combined average cost of car insurance is $1,204 a year, which is about $100 a month.
Keep in mind however that the cost of car insurance will ultimately depend on a number of factors such as your age, location, gender, driving experience and annual mileage.
How much car insurance do I need?
In addition to state minimums, you should get additional liability insurance for bodily injury and property damage to protect your assets in the event of an accident. The same goes for Uninsured/underinsured motorist insurance.
As for collision and comprehensive insurance, these cover the cost of damage to your car so you should focus on the deductible you want to pay. A high deductible will mean a low premium, whereas with a low deductible you'll pay a higher premium.
How much is car insurance for a 16 year old?
As insurance premiums depend on various factors, it is hard to get reliable data on rates for 16-year old drivers. What we can say for sure is that premiums for this age group are higher than most. Since younger drivers have less experience and are statistically more likely to get into accidents, insurers will charge a higher premium.
What is liability car insurance?
Liability car insurance covers drivers in the event of an at-fault accident. In most states, this type of coverage is a requirement. Liability insurance consists of bodily injury liability and property damage liability coverage.
Bodily injury liability protects drivers if they're at fault for an accident by covering the medical expenses of the other driver or their passengers.
Property damage liability, on the other hand, protects at-fault drivers by covering the cost of the other person's property repairs.
What is the best car insurance company?
The best car insurance company for you will be the one that best fits your needs and budget.
That being said, Money's top pick for the best coverage package is Amica Mutual, which also garnered the highest overall customer satisfaction rating with J.D. Power.
We also consider Progressive to have the best offerings for customizable premiums and State Farm to have the best policies for younger drivers.
What is comprehensive car insurance?
Although comprehensive auto insurance sounds like it provides coverage for everything, the truth is the name can be misleading and it is often confused with "full coverage."
However, comprehensive insurance only covers damage to your car that results from something other than a vehicle, such as theft, damage from fire, hail or vandalism.
The best car insurance companies provide what's called "full coverage," which refers to the combination of collision and comprehensive coverage. Although these two policies are optional, cars with both policies are considered "fully insured."
Summary of Best Car Insurance of November 2022
- Amica Mutual - Best Car Insurance Package
- Progressive - Best for Customizable Premiums
- State Farm - Best for Young Drivers
- Farmers - Best for Essential Worker and First Responder Discounts
- Nationwide - Best for Flexible Policies
- GEICO - Best Mobile App
- Allstate - Best Usage-Based Insurance Program
- USAA - Best for Military Members
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