The Best Car Insurance Companies of 2022
Not all car insurance companies are created equal. We surveyed more than 10,000 drivers to learn more about their car insurance experience, focusing on key areas like customer service, claims handling, and customer loyalty. Using that data, we rated the best car insurance companies of 2022 to help you find the best one.
According to our 2022 data, the best car insurance company is USAA, but its insurance products are only available to members of the military community. If that doesn’t apply to you, the next best option is State Farm, which holds the No. 2 spot in our analysis.
To determine the best car insurance companies, we analyzed rates data as well as feedback from policyholders, with specific attention to customer service, claims handling, customer loyalty, and policy renewal. We also asked survey participants how likely they were to recommend their existing insurer to a driver shopping for a new policy.
If you’re looking for auto insurance, this list can help you compare insurers based on the factors that matter most to you. Though USAA and State Farm lead the pack, you may find a better fit with one of the other eight companies in our rating. As such, it’s a good idea to compare several insurers and their rates before you purchase or renew your policy.
USAA is the best insurance company in our ratings. According to our 2022 survey, USAA customers report the highest level of customer satisfaction and are most likely to renew their policies and recommend USAA to other drivers. USAA also has the lowest rates in our study, beating the national average by 35%.
USAA insurance products, including auto, homeowners, and renters policies, are only available to members of the military community. As such, not all drivers will be eligible for coverage through this insurer.
2. State Farm
State Farm is No. 2 in our rating and has above-average scores in each of our subratings including Claims Handling and Customer Loyalty. It also did well in our Cheapest Car Insurance Companies of 2022 rating. Its average premiums for drivers with less than pristine driving records were the lowest in our rating for those unable to get a policy from USAA.
Farmers ties for No. 1 in our ratings for Claims Handling and for No. 2 in Customer Service. It also ties for No. 2 in Customer Loyalty. Where Farmers didn’t perform as well was in Most Likely to Renewed where its score of 4.0 is below the category average of 4.2.
Nationwide moved up two spots since our 2021 analysis, tying for the No. 3 spot. Nationwide has the second-highest scores in our Customer Loyalty and Most Likely to be Recommended subratings and above-average scores in each of the other subrating categories. Nationwide also has below-average rates for some drivers, especially those with a good driving record or poor credit.
In the No. 3 spot of this year’s rating is Geico with average scores across the board in categories like Customer Service, Claims Handling, and Customer Loyalty. Where it stands out is in its premiums, which earn it the No. 2 spot in our rating of the Cheapest Car Insurance Companies of 2022. Its rates are just behind top-rated USAA for teen and senior drivers as well as those with poor credit.
Moving up three spots to tie at No. 6 in this year’s Best Car Insurance Companies rating, Allstate is also ranked No. 4 in our Most Likely To Be Recommended subrating, although the company received slightly below-average scores in most of our other subrating categories. Its rates are among the highest in our analysis, but Allstate may offer a competitive rate for certain drivers, such as those with a speeding violation on their driving record.
Travelers also had some upward movement this year, moving up two spots and tying for the No. 6 position. Travelers’ customer service score is lower than seven other insurers in our analysis, but it takes the No. 1 spot in our Claims Handling subrating category and the No. 3 spot for Most Likely to Be Renewed category. Travelers also receives an above-average score for policy renewal and offers premiums that are typically lower than the national average.
Progressive takes the No. 8 spot in our analysis. Overall, customers are generally satisfied with the ease of opening a policy, but Progressive places last in our Best for Customer Loyalty category and has below-average scores in every other subrating in our survey. Progressive customers also report being less likely to renew their policy or recommend the insurer to other drivers. However, persons with a DUI may be able to unlock savings with Progressive. Its rates for those drivers are among the lowest in our study.
AAA is new to our Best Car Insurance Companies rating, and it ties with Progressive for the No. 8 spot. Its scores are below average in each category we analyzed. It does, however, take the No. 6 spot in our Most Likely to be Renewed subrating, beating Allstate, Farmers, Progressive, and American Family. AAA also has the highest average premiums in our study, but drivers considering AAA should get a quote to determine if their individual rate is more competitive.
10. American Family
American Family dropped four spots this year and ranks No. 10 in our analysis. Its scores are the lowest in most subrating categories, though American Family has a slightly higher score than Progressive in our Best for Customer Loyalty category. Despite low scores, American Family does offer competitive rates for some drivers, especially teen drivers, drivers with poor credit, and drivers with an accident or DUI on their record.
According to our data and customer survey results, USAA is the best overall car insurance company. However, USAA insurance products are only available to active and veteran military members and their families. State Farm ranks No. 2 in our survey, making it the best car insurance company for drivers who aren’t eligible for USAA membership.
Even though USAA and State Farm top the ratings, it’s a good idea to consider and compare multiple insurers that made our Best Car Insurance Companies of 2022 ratings. Doing so can help you find coverage that suits your needs.
USAA also swept all five of our sub rankings based on customer feedback. However, not all policyholders will meet USAA’s membership requirements. For that reason, we’ve identified the runner-up in each category so that all consumers can learn about the best option in each of these areas.
If rates play a primary role in your decision, it’s also important to get and compare car insurance quotes. Though our study includes average rates data, your personal car insurance rate will depend on your age, location, driving record, credit score, and the preferred type and amount of coverage, among other things, so it’s important to look into your options based on present demographic features. A quote can help you accurately estimate costs and determine which insurers offer the best deal.
USAA and State Farm rank No. 1 and No. 2, respectively. Sixty-five percent of USAA customers who haven’t filed a claim say they are extremely satisfied with their customer service experience. That number dips only slightly among those who have filed a claim, with nearly 64% of USAA customers reporting that they are extremely satisfied with the insurer’s customer service.
If you’re not eligible for USAA coverage, you may want to consider State Farm. Nearly 60% of State Farm customers who haven’t filed a claim report being extremely satisfied with their customer service experience. Like USAA, State Farm’s customer satisfaction scores are slightly lower among customers who have filed a claim. Fifty-six percent of survey respondents report being completely satisfied with their customer service experience.
Farmers, Nationwide, and Geico also received above-average scores for customer service.
Claims handling is an important aspect of any insurance policy, and Travelers takes the No. 1 spot in this category. It scores a 4.3 out of 5 and is the only insurer to unseat USAA, which leads the pack in every other subrating category we analyzed. Nearly 62% of Travelers customers report being completely satisfied with the ease of filing a claim, and 65% of them express complete satisfaction with their claims resolution.
Farmers, Nationwide, and State Farm also received above-average claims handling scores.
With low rates and strong scores across all categories we reviewed, it’s no surprise that USAA customers are most likely to recommend their insurer to other drivers shopping for coverage.
Fifty-three percent of USAA customers who have not filed a claim say they are very likely to recommend USAA car insurance, with an additional 18% saying they are likely to recommend the insurer. After filing a claim, USAA customers are even more likely to recommend their insurer. Sixty-one percent of those we surveyed say they are very likely to recommend the insurer, and an additional 8% say they are likely to recommend it.
If USAA membership isn’t available to you, consider Nationwide. Thirty-one percent of customers who have not filed a claim say they would recommend Nationwide to other drivers, with another 41% saying they are likely to do so. Nationwide’s scores improve among customers who have filed a claim. Forty-two of them say they are very likely to recommend their insurer, with 32% saying they are likely to do so.
A policyholder’s willingness to renew their policy can say a lot about their experience with an insurer. USAA has the highest customer loyalty score, beating State Farm by less than one point.
On average, 78% of USAA customers who haven’t filed a claim say they are likely or very likely to renew their policy. Nearly 70% of survey respondents who have filed a claim say they would recommend USAA to other drivers.
As indicated above, access to USAA insurance products is limited. If you don’t qualify for membership, you may want to consider State Farm, which claims the No. 2 spot in our Most Likely to be Renewed subrating.
According to our survey, 76% of State Farm customers who have not filed a claim say they are likely or very likely to stay with their current insurer when it’s time to renew their policy. That number drops to 69% among respondents who have filed a claim.
Customer loyalty is a reflection of a policyholder’s willingness to recommend their insurer and renew their policy. With strong renewal and recommendation score, it’s no surprise that USAA takes first place in this subrating as well. If you’re not eligible for USAA, consider Nationwide. It places second in our Most Likely to be Recommended category and receives above-average scores in our Most Likely to be Renewed category.
State Farm, Travelers, and Farmers also join the ranks of companies with above-average customer loyalty scores.
The average cost of car insurance is $1,539, according to our most recent study. However, your premium may be higher or lower, depending on multiple variables, including:
There are often a number of discounts available with any insurer that take into account certain demographic factors, driving record, and even active driving evaluation. Car insurance quotes are the easiest way to find out how much you may pay. You can get car insurance quotes online or by talking to an agent via email, over the phone, or in person.
The amount of insurance you need depends on several factors. One of the most important indicators of how much coverage you may need is state requirements. Most states have laws that require drivers to carry a minimum amount of liability coverage. Some states also require drivers to carry other types of insurance, such as uninsured motorist coverage or personal injury protection (PIP).
The next thing to consider is any lender or lessor requirements. If you make monthly payments on your vehicle, your loan or lease agreement specifies how much coverage you need to carry. Refer to your lender, lessor, or financing agreement.
Who are the top car insurance companies?
We surveyed more than 10,000 policyholders across the nation and found that the following insurers represent the top car insurance companies:
Who has the best car insurance?
USAA and State Farm are the best auto insurance companies, according to our most recent data analysis. USAA has the highest overall score in our customer survey and also ranks first in nearly every subrating we analyzed. It also has the lowest rates among the car insurers included in our study.
USAA products are only available to members of the military community. Drivers who don’t fit into that category are likely to find the best coverage through State Farm, which has the second-highest score in our survey and rates that are lower than the national average.
Other insurers that have above-average survey scores include Farmers, Nationwide, and Geico.
Which car insurance is the cheapest?
USAA has the cheapest car insurance, according to our 2022 study. Its average rate is $1,000 a year, which is $539 less than the national average. Drivers who don’t qualify for coverage through USAA are likely to find the lowest rates with Geico. Geico’s average rate is $1,148 a year, which beats the national average by $391.
Keep in mind that an insurer’s average rate may not reflect your own. The best way to find the lowest rates available to you is to get and compare quotes from several insurers.
How can I find the best price on car insurance?
To find the best rate on car insurance, the International Insurance Institute (III) recommends that consumers get quotes from at least three insurers. As you shop for coverage, be sure to compare quotes for the same amount and type of coverage.
We surveyed 10,463 consumers who opened a policy or filed a car insurance claim in the last five years, asking questions about their car insurance company. These questions covered satisfaction with the ease of filing a claim, customer service, claim status communication, claim resolution, and overall value. We also asked whether they’d recommend the company and if they planned to renew their policy. We used their responses to build our Best Car Insurance Companies rating.
To get comparative insurance rates for this study, U.S. News worked with Quadrant Information Services to analyze a report of insurance rates in all 50 states from most of the largest national car insurance companies, though not every company operates in every state. Quadrant obtained publicly available rate data that car insurers file with state regulators. Our study rates are based on profiles for both male and female drivers aged 25, 35, and 60. Vehicles used include the 2017 and 2021 Honda Civic, 2017 and 2021 Toyota RAV4, and 2017 and 2021 Ford F-150, with annual mileage ranging from 6,000 and 12,000. Three car insurance coverage levels were used, as were credit tiers of good, fair, and poor. Clean driving records, as well as records with one accident, one speeding violation, or one DUI were also used in the calculations of certain driver archetypes.
To get the study rates shown here, we computed the mean rate for male and female drivers ages 25, 35, and 60 who drive 12,000 miles per year, have medium coverage, good credit, and a clean driving record. The rates shown here are for comparative purposes only and should not be considered “average” rates available by individual insurers. Because car insurance rates are based on individual factors, your car insurance rates will differ from the rates shown here.
U.S. News 360 Reviews takes an unbiased approach to our recommendations. When you use our links to buy products, we may earn a commission but that in no way affects our editorial independence.