I have reviewed more than 250 quotes from 28 different companies and I have found three auto insurers that offer the most affordable policies across the country. However, please note that the individual rates of each person may vary.
Best Cheap Car Insurance Companies
- State Farm
First, I found the best five to seven insurance providers in each state by selecting companies with customer satisfaction ratings higher than the J.D. Power and brands of the high financial strength of A.M. Better. Because? Because cheap auto insurance policies are excellent, buying them from unreliable or fickle insurers can end up being much more expensive in the future.
So, with the help of The Simple Dollar team, we have solicited more than 250 quotes online and by telephone from my group of auto insurance companies in all 50 states. Each team member used personal information during the listing process to make sure that they could see who was most convenient across the country with a series of scenarios. However, what remained the same was the required coverage: the minimum coverage of each state. No frills, no extras; only the absolute minimum cover to drive legally on the road.
Then, I compared and compared how many times each company had the cheapest annual premium, first, second or third. I scored five points for first place, three for second place and one point for third place.
As a result, the low-cost car insurance market is dominated by three major suppliers: GEICO, State Farm, and Progressive. (The other 25 insurers did not even get a high enough score to register for my test). And, as you can see below, GEICO was the overwhelming winner.
|Insurer||# of 1st Place Awards||# of 2nd Place Awards||# of 3rd Place Awards||Total Score|
It was also one of the three most affordable options for 75 percent of the time, and its best was often hundreds of cheaper than the best competitor of dollars. For example, take these annual appointments for New York, Pennsylvania, and Washington.
|GEICO: $329||GEICO: $225||GEICO: $623|
|Allstate: $538||State Farm: $394||Allstate: $898|
* Note: From time to time, the reason why GEICO could beat its competition with such a large margin is due to other insurers required a little more coverage than required by the state.
The lover gecko company is certainly the cheaper option in a consistent manner that exists, so it deserves consideration for a buyer. And, in fact, according to my research, it is safe to say that 15 minutes could save a lot of “15 percent or more” in a minimum state policy. However, its range of coverage and discounts do not shine especially when compared to a competitor like Allstate. Allstate customers enjoy prepaid discounts, low mileage discounts, indoor coverage and replacement of new car vehicles, which are not offered to GEICO.
When it comes to customer service qualifications, GEICO has nothing to emphasize. (It fell just below the industry average according to JD Power). But if you are determined to buy the minimum amount of insurance you may need, then GEICO is the best choice.
State Farm had an overall lower score than GEICO but finish in the top three for a total of 38 times (GEICO put only 37 times). When the state farm was placed, it usually fell between $ 30 and $ 50 from the competition. However, from time to time I would be surprised at a rate similar to GEICO. The two best examples of this are Minnesota and South Carolina. In Minnesota, State Farm was $ 120 cheaper than American Family, and South Carolina beat GEICO for a whopping $ 223.
In addition to appointments, State Farm is the country’s largest auto insurer. It always sits well for customer satisfaction and above average prices in most regions of the J.D. Power survey. Also, A.M. wins Best (A ++) best ratings for financial strength. All you want to say is an excellent option if you can save a few dollars more each month. It also has the best tools of any car insurance provider, including mobile bill payment, mobile deposit requests and the payment option via a bank account.
Progressive first ranked only in seven states, and when it did, it was usually less than $ 20 above the second (it was usually GEICO). However, this does not mean that Progressive is never a viable option. Consider the state of Montana, where Progressive earned $ 22 less per year. Therefore, for less than $ 2 more each month, a Montana driver could take advantage of mobile storage claims, loyalty discounts, rebates and low-mileage prepaid discounts that GEICO does not offer.