Comparing car insurance is a good way to save money. Nearly two-thirds of drivers who switched companies saved at least $100 on their annual car insurance rate, according to our survey.
The good news is that you don’t have to do much work to get these savings on your car insurance.
More key takeaways on comparing car insurance:
Make sure to compare car insurance rates from companies of all sizes. Smaller ones sometimes have lower rates than the largest auto insurance companies.
Erie has cheaper car insurance than many large companies, for example. It charges an average of $115 a month for full coverage and $43 a month for liability policies.
State Farm is the cheapest large auto insurance company. It charges an average $134 a month for full coverage Full coverage includes collision and comprehensive, which cover your car for damage and theft. and $57 a month for liability insurance Liability covers injuries and damage you cause to other people and their property. It’s required by law in almost every state. .
Car insurance costs an average of $2,101 a year for full coverage and $829 a year for liability. You can often find cheaper prices when you shop around.
| Company | Full coverage | Liability | LendingTree score | |
|---|---|---|---|---|
 | Erie | $1,375 | $516 |  |
 | Country Financial | $1,491 | $679 |  |
 | State Farm | $1,604 | $661 |  |
 | Auto-Owners | $1,740 | $632 | |
 | Travelers | $1,806 | $792 | |
 | American Family | $2,019 | $751 | |
 | Progressive | $2,078 | $801 | |
 | Geico | $2,109 | $797 |  |
 | Nationwide | $2,402 | $1,024 |  |
 | Allstate | $2,960 | $1,344 | |
 | Farmers | $3,462 | $1,363 | |
Comparing car insurance ratings helps you find companies you can trust. For example, the overall satisfaction ratings from J.D. Power J.D. Power’s ratings are based on customer surveys rating insurance companies on factors like price, convenient and problem resolution. show how happy customers are with their insurance company.
The National Association of Insurance Commissioners NAIC’s ratings compare insurance companies on confirmed complaints by size. A company with an 0.5 rating has half as many complaints as average for its size. (NAIC) complaint ratings show the number of complaints a company receives relative to its size.
In these ratings:
| Company | Overall satisfaction | Complaint rating | LendingTree score |
|---|---|---|---|
| Allstate | 635 | 0.71 | |
| American Family | 660 | 0.35 | |
| Auto-Owners | 654 | 0.49 | |
| Country Financial | 665 | 0.25 | |
| Erie | 700 | 0.93 | |
| Farmers | 619 | 1.25 | |
| Geico | 637 | 0.7 | |
| Nationwide | 641 | 0.83 | |
| Progressive | 622 | 0.72 | |
| State Farm | 657 | 0.78 | |
| Travelers | 616 | 0.41 | |
Sources: *J.D. Power 2024 U.S. Home Insurance Study (640 is average, higher scores are better); **NAIC 2023 Complaint Index (1.0 is average, lower scores are better).
Quote comparison sites usually only make you fill out one form to get quotes from multiple companies. Many large companies offer quotes directly off their websites, as do a few smaller ones. Most other companies accept quote requests online but make you follow up with an agent.
You need to meet your state’s minimum car insurance requirements to drive legally. The requirements vary by state and usually include liability coverage. You often need to add collision and comprehensive coverage to your policy for a car loan or lease. Additional coverage types are optional.
Shopping around for a cheap rate is a good way to save money on car insurance. Choosing high collision and comprehensive deductibles is another good way to save. Consider dropping collision and comprehensive coverage for an older car with a low resale value.
Erie has the cheapest car insurance for typical drivers, but it’s only available in 12 states and the District of Columbia. State Farm is the cheapest large company. USAA also has cheap car insurance, but it’s only available to the military community.
It’s good to shop for car insurance every few years or whenever you get an unreasonable rate increase. You can switch companies anytime, but there’s often a fee to cancel an existing policy early. You can avoid the fee by switching on your next renewal date. Just make sure to start comparing rates a few weeks before then.
