The Four Best Car Insurance Companies

Whether you’re new to car insurance or are simply shopping around for a better deal, here are the best car insurance companies, according to my research:

Best for Customer Service: State Farm
Best for Military Members and Their Families: USAA
Best for Claims Handling: Amica
Best for Policy Options: The Hartford

The Four Best Car Insurance Companies

Best Car Insurance Company for Customer Service: State Farm

State Farm is the largest car insurance company in the nation, according to Insurance Journal. Fortunately, they’re also one of the best. Customers give State Farm consistently high marks for their handling of claims — in other words, they don’t feel like they get the runaround when they need help.
That could be because State Farm makes it very easy to get in touch: You can call one of the company’s 18,000 agents, go online, or even send a picture of your damaged car with your smartphone using the Pocket Agent mobile app. State Farm also gets top marks for a pain-free shopping experience that lets prospective customers call their local agent or chat with a representative online if they have any questions.
Pros

Highly rated for superior claims handling
Highest financial stability rating
Wide range of coverage options
18,000 agents nationwide
Easy-to-use website and mobile app
Excellent customer support

Cons

Mixed reviews for pricing/value
Missing a few discounts, including pay-in-full and automatic pay

Best Car Insurance Company for Military: USAA

USAA is the only company that consistently either matches or bests State Farm in customer satisfaction surveys. Indeed, USAA customers are very happy with their claims experiences and customer service. They also give the company top-notch marks for value, which seems to be State Farm’s weak spot.
USAA’s website has plenty of educational materials for drivers, but the quote process is a bit more involved than it is with many competitors.
The major downside to USAA is their limited availability: You or a close family member must be a member or former member of the armed forces to get coverage from USAA.
Pros

Highly rated for superior claims handling
Highly rated for pricing/value
Highest financial stability rating
Solid online educational resources

Cons

Only available to U.S. military members and their families, and certain affiliates
Quote process is more time-consuming

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Best Car Insurance Company for Claims Handling: Amica

Amica may keep a lower profile than the car-insurance giants, but their claim to fame is customer claims satisfaction. Amica is J.D. Power’s top-ranked company for customer claims satisfaction in 2014, and they take the runner-up spot in Consumer Reports’ rankings.
Amica does not have agents, which means they deal with all their customers without a middleman. This could be a pro or a con, depending on your perspective. Another of Amica’s high points is that they allow you to work with your own repair shop after you’re in a crash. This often isn’t the case with car insurance companies.
On the downside, customers are less satisfied with pricing — certainly a major consideration for customers looking for a deal.
Pros

Highly rated for superior claims handling
Highest financial stability rating
Customers can choose their own car repair shops
Easy-to-use website and mobile app

Cons

Lower ratings for pricing/value
Fewer online educational resources

Best Car Insurance Company for Policy Options: The Hartford

Though not as much of a household name as State Farm or Progressive, The Hartford is the nation’s 11th largest insurer. They are highly ranked for value — customers are satisfied with the price of their policies relative to the competition. They also offer a wide range of policy options and benefits, including rates based on how much you actually drive your car and a new-car replacement program for cars totaled shortly after purchase.
The online quote process is quick and easy, but the website lacks some of the educational material that larger companies often feature. The Hartford is also in the middle of the pack for claims satisfaction.
Pros