Key Takeaways
- Auto-Owners provides the best overall car insurance, according to Jerry’s ratings and state availability requirements.
- Nationwide rewards loyal customers with reduced rates and bundling options, making it an especially strong option for drivers who want a policy they can stick to for years.
- Farmers provides ample coverage customizations for drivers who want coverage that’s tailored to their needs and budget.
The best car insurance company is one that offers great customer service and affordable coverage that fits your lifestyle. The right insurer for you may also provide discounts, loyalty rewards, a stellar reputation for claims or bundling benefits.
Jerry’s car insurance experts have assessed providers on these features and others to choose the five best car insurance companies of 2025.
Each insurer provides the most common coverages — liability, collision, comprehensive, uninsured/underinsured motorist, personal injury protection and medical payments — as well as optional coverages for different driver needs.
Compare the best car insurance companies in 2025
| Insurance company | Best for… | Jerry star rating (out of 5) |
|---|---|---|
| Auto-Owners | Overall car insurance. | 4.8 |
| Nationwide | Loyal policyholders. | 4.7 |
| Allstate | Discounts. | 4.7 |
| Farmers | Claims handling. | 4.6 |
| Progressive | Customizable coverage. | 4.6 |
Auto-Owners: Best overall car insurance
- Reputation for affordable coverage.
- Many insurance add-ons available.
- Ample discount offerings.
- Fewer-than-average customer complaints.
- Only available in 26 states.
- No online quotes.
-
Auto-Owners discounts
-
ase at replied driving shift now masking win-win-win turn.
-
ase at replied driving shift now masking win-win-win turn.
-
Optional Auto-Owners coverages
Why it made the list: Auto-Owners provides quality insurance for drivers from different backgrounds and with different needs. The insurer offers customizable coverage that includes add-ons such as rental gap and diminished value insurances, as well as many discount options. Auto-Owners has a reputation for affordability and received strong marks in 2024 from industry reports like the CRASH Network and AM Best.
Progressive: Best for customizable coverage
- Ample policy customization options.
- 50-state availability.
- Files SR-22s.
- Many rate-discount opportunities.
- Low claims satisfaction rating from J.D. power.
|
Insurance Company
|
Full Coverage?
|
Avg Monthly Quote
|
Avg Annual Quote
|
|---|---|---|---|
| Progressive | No | $171 | $2,054 |
| Progressive | Yes | $264 | $3,169 |
-
Progressive discounts
-
Optional Progressive coverages
Why it made the list: Progressive is a financially strong and well-known insurer that offers a long list of coverage add-ons, including pet injury, rideshare and trip interruption coverages. Progressive offers plenty of discounts and can provide quotes online. The insurer may file SR-22 documents on behalf of drivers, making it an option for drivers with many backgrounds and driving records.
Allstate: Best for discounts
- Offers rewards for safe driving.
- Pay-per-mile policy may save infrequent drivers money.
- High financial strength rating from AM Best.
- Available in all 50 states.
- Below average ratings from J.D. Power and the CRASH Network.
- Lacks unique optional coverages.
-
Allstate discounts
-
Optional Allstate coverages
Why it made the list: Allstate offers ample discount opportunities to reward safe drivers. Adding anti-lock brakes or anti-theft features, making prompt payments and bundling policies are a few of the ways Allstate policyholders can reduce their premiums. The insurer also offers a rewards program that reduces policy costs by $100 for every year of safe driving, up to a total of $500.
Farmers: Best for claims handling
- Ample coverage customization options.
- Many discounts available.
- Relatively few consumer complaints.
- Below-average rating in J.D. Power’s auto insurance shopping study.
- Not available in all 50 states.
-
Farmers discounts
-
Optional Farmers coverages
Why it made the list: Farmers stands out for its high marks from customers and industry reports, specifically in the realm of claims handling. Farmers has fewer complaints with the National Association of Insurance Commissioners than some of its competitors and is well-rated in J.D. Power’s claims satisfaction study. Farmers offers customers a long list of optional coverage add-ons, including rental alternative coverage that pays for travel costs while your vehicle is being repaired and a glass deductible buyback.
Nationwide: Best for loyal policyholders
- Multiple discount options.
- Mileage-based policy option.
- Well-ranked in J.D. Power’s Auto Claims Satisfaction Study.
- Not available in all 50 states.
- Does not file SR-22s.
-
Nationwide discounts
-
Optional Nationwide coverages
Why it made the list: Nationwide offers a reasonable number of discounts and coverage add-ons — as well as a mileage-based policy — but it really shines for drivers who want to stick with a provider. The insurer offers a special coverage package for customers who bundle auto coverage with a home or condo policy, and Nationwide’s vanishing deductible reduces your premium by $100 for each year of safe driving, up to $500.
How we chose the best car insurance companies
Our team of experts has assessed more than 50 car insurance companies and compared dozens to choose the best. We used these factors to select the top five car insurers:
- Industry ratings, including AM Best, NAIC, BBB and Clearsurance.
- Jerry customer ratings.
- State availability.
- Cost.
- Insurer offerings, including available coverage customizations and discounts.
Minimum vs. full coverage insurance
The difference between minimum and full coverage comes down to your budget and desired amount of protection, unless you have a loan or a lease requiring comprehensive and collision insurance.
Minimum coverage: Your state’s minimum required insurance is just that — the least insurance you can buy in order to comply with the law. Some states only require property damage and bodily injury liability coverages, which are designed to cover the damage you cause to other people in an accident. These policies don’t help repair damage to your car if you cause an accident, but they usually have the most affordable premiums.
Full coverage: Full coverage is a term for a policy that includes liability, collision and comprehensive insurances. Full coverage can pay to repair your vehicle after an accident, regardless of who is at fault. It also covers damage caused by non-collision events, like theft, vandalism and weather hazards. Full coverage policies may also have higher liability limits, which protect people with more assets in case they are sued. These policies provide holistic financial protection, but they carry higher premiums than minimum coverage.
How to choose the best car insurance company
- Consider your needs. Decide what you like and dislike about your current insurer, if you have one, including any claims experiences or customer service interactions you’ve had. Then, consider whether you have new needs. For example, drivers with safe habits could be rewarded by choosing an insurer with a telematics program. If there’s a teen driver in the house, you may consider a provider that offers discounts for good grades.
- Research insurers. Reviewing insurers’ reputations before you buy tells you the quality you can expect for your money. Websites like Jerry formally review insurers and collect customer reviews.
- Get multiple quotes. Insurers use many factors to set your premium — inducing your age, gender, location, vehicle and driving history — and they weigh those factors differently. This means you may get different quotes across multiple insurers.
What to expect from car insurance in 2025
Higher coverage limits. California, Utah, Virginia and North Carolina have all enacted laws that raise the minimum required liability coverage for drivers in 2025. The new requirements took effect in California, Utah and Virginia Jan. 1 and North Carolina’s law takes effect July 15. Drivers don’t have to do anything when a state raises its minimum coverage requirements, however, premiums on minimum coverage policies are likely to rise when they renew in 2025.
Across-the-board premium increases. Car insurance costs rose about 11% from December 2023 to December 2024, according to the Bureau of Labor Statistics. Some of the factors behind the higher premiums — inflation, increased severe accidents, supply-chain issues, rising repair costs — may begin to wane in 2025, but drivers shouldn’t expect to see reduced costs in the near future, according to the Insurance Information Institute.
Methodology
Jerry’s team of car insurance experts has assessed more than 50 car insurers and rated dozens of them using information like their financial strength, consumer complaints, pricing and online reputation. We chose the best insurers by reviewing their star ratings, state availability, coverage customizations and discount offerings.
We regularly fact-check and update insurer reviews and ratings, and reassess our star ratings annually. This list is subject to change as insurers’ offerings and our methodology for assessing them evolve.
Annie is a content strategist at Jerry and has more than a decade of experience writing and editing digital content. Before joining Jerry, she was an assistant assigning editor at NerdWallet, where she covered loans. Previously, she worked at USAA and newspapers in Minnesota, North Dakota, California, and Texas. She holds a bachelor’s degree in journalism from the University of Minnesota.
Lacie Glover is a Lead Content Strategist with sixteen years’ experience in the insurance category. Prior to Jerry, she spent more than a decade on NerdWallet’s content team writing, editing and then overseeing the auto insurance category, as well as dabbling in other insurance and automotive topics. Prior to her career in the online personal finance content space, Lacie spent time in the hard sciences, in clinical research and chemistry labs. She has a bachelor’s degree from Colorado State University.
Kevin Berry is the Senior Director of Content at Jerry and has been working in the digital content space since 2011 across the car insurance/repair, personal finance, travel and sports industries. Prior to Jerry, Kevin was a content team lead at NerdWallet overseeing the Multimedia Production and Travel Rewards teams. Previously, he worked for NBC Sports, Comcast Cable and Nike. He has a Master`s Degree from Arkansas State and a Bachelor`s from Oregon State University.
