Before you sign up for a policy, it is important to do extensive research in order to find the right auto insurance company. American Automobile Association (AAA) and Travelers Insurance are two of the most well-known car insurance companies in America. AAA was established in 1910 and has served customers all over the country ever since. The company currently holds 1.43% of the insurance industry market share, writing more than $3.5 billion worth of direct premiums in 2020 alone.
Travelers’ rich history dates back to more than 165years ago. This provider specializes in property-casualty and currently holds 1.96% market share. In 2020, they will have written more than $4.8 million in direct premiums.
Prospective policyholders need to be aware of more than differences in market share or industry experience. They should also be aware about the additional differences between these entities, especially when it comes affordability, discounts available, and customer satisfaction.
Comparison of AAA and Travelers Car Insurance Rates
Finding a low-cost premium is perhaps the most important aspect of car insurance shopping. Prioritizing customer service and care is second only to affordability. Below is a table that shows how each company ranks in terms of financial strength and premium pricing.
Rates based on credit score
These rates are national averages and do not consider personal factors that could increase your rates such as credit scores. Although most state insurance regulators don’t allow carriers to use credit scores as a sole reason for increasing your premium, they can still be used in setting your rates*. Below is a table that shows how credit scores can impact coverage costs.
Rates based on age
Insurance companies will consider your age when determining your rate. Some age groups have a higher risk of driving, especially teens and seniors. According to the Centers for Disease Control & Prevention (CDC), teens aged 16 – 19 are at the highest risk for being involved in a motor vehicle crash compared to every other age group. Teenage drivers are more likely to be involved in a motor vehicle accident than other age groups due to their lack of experience and higher risk.
Driving record rates
Your driving record is the most important thing that insurance companies consider when setting your premium. Different providers penalize each traffic violation differently, with the most serious offenses often resulting in harsher penalties. Below is a table that illustrates how AAA or Travelers raise rates based on the type of driving record an insured has.
AAA vs. Travelers – Discounts
AAA and Travelers policyholders can take advantage of discounts offered by the companies to save. Every carrier offers savings to policyholders. Some may be limited to specific geographic locations or program availability. Here are some of the best discounts policyholders could receive when they sign up for auto insurance.
AAA
- Multi-vehicle discountYou might be able to get AAA auto insurance for two or more vehicles.Select coverages up to 29% off.
- Multi-policy DiscountSign up for more policies to get more savings. You can save up to 17.5% by signing up for auto, home and life insurance.
- Good student discountAAA offers up to 15% off select auto insurance policies for students who have a B average or higher.
Travelers
- Multi-policy DiscountDrivers might also be eligible for Travelers insurance, which covers condo or home insurance.Save up to 13% on your auto insurance policy.
- Discount on continuous insuranceYou may qualify for up to 15% off if you have no gaps in your coverage history.
- Discount on new carsTravelers offers up to 10% discount on premiums for drivers who drive safer, newer vehicles
AAA vs.travelers: Comparison of online and mobile experiences
The user experience online and on mobile apps is crucial in today’s digital age. Comparing these two providers, AAA has an advantage in terms of user interface and experience. They offer far more features than Travelers’ mobile app. Below is a summary of how users rated each company’s app on the Apple Store or Google Play Store.
AAA
- Apple StoreTheAAA appMany features are available, such as the ability to find AAA-approved and Diamond-rated restaurants, hotels, and attractions. You can also share and create itineraries from your mobile device and desktop. The mobile app allows users to request roadside assistance, receive battery replacement quotes, and add a scannable AAA member card. Apple users gave the app an average rating of 4.2 stars based on more than 22,000 reviews.
- Google Play:AAA’s Google Play AppIt retains all the features of the iOS version. This application received an average rating of 4.2 stars from more than 39,000 people.
Travelers
- Apple Store:App for mobile travelersAlthough it is less robust, it still provides all the services a policyholder might need. The app allows users to access contact information for agents, download insurance ID cards and track roadside assistance. They can also manage and update their policies, file and check claims, and even update existing policies. This app received a 4.7-star average rating from over 8,000 users.
- Google Play: All the features available in the iOS version can also be found on theAndroid Travelers app. However, this platform has only 712 reviews, with a mean rating of 3.9 stars.
Questions frequently asked
Which is the best auto insurance company?
The only way to find the best car insurance company for your needs is by conducting thorough research. The premium rates you pay will vary depending on your driving record, credit score, and geographic location. Before you sign up for a policy, make sure to thoroughly research the providers in your area.
How can I lower my auto insurance premium?
Auto insurance carriers offer several available car insurance discounts to policyholders. To determine if you are eligible for any discounts, make sure you discuss these with your agent. Consider raising your deductible to lower your monthly premium.
What is the cost of car insurance?
Your driving record, credit score, and location all play a role in determining the cost of your car insurance premium. While the average cost of auto insurance in the United States is $1,674 annually, the actual cost of coverage will vary depending on your personal information and the exact carrier you choose.