The first thing to do when shopping for car insurance is to determine how much coverage you want. While minimum liability insurance can sometimes bring cheaper rates, it could cost you far more in the future and even put you at risk of financial devastation.
Once you have determined the insurance coverage you require, you can start to consider other factors, such as price. With the average full coverage car insurance policy costing $1,674 per year in the U.S., Bankrate can help you first understand and then find the best full coverage car insurance for your needs.
What is full coverage auto?
A policy that includes collision and comprehensive coverages in addition to auto insurance will generally provide full coverage. Comprehensive covers situations like hitting an animal, vehicle theft, vandalism, storm damage and glass breakage, while collision covers damage to your vehicle stemming from colliding with another vehicle or object, like a pole or building. Some companies and agencies may offer other types of coverages, like uninsured motorist coverage, roadside assistance and car rental coverage, which can all round out your policy and offer more robust protections for your full coverage policy.
Because it only covers financial protection for the other party in an accident, liability-only insurance is a good coverage. While this may be enough for some drivers, full coverage offers greater protection and coverage in more situations.
Get the best car insurance with full coverage at a great price
Most states require that you carry at least minimum levels of certain car insurance coverages to drive legally. These coverages will ensure you follow the law but do not cover damage to your car.
To determine the car insurance companies to feature, Bankrate’s insurance editorial team first reviewed average premium data obtained from Quadrant Information Services. We also looked at each company’s coverages, discounts and policy features. Third-party rankings were also taken from J.D. and AM Best. Power.
Based on our research, each company has been assigned a Bankrate score, which is a rating on a scale from zero to five. The Bankrate Score is a measure of how highly a company ranks in each category.
USAA
USAA sells only coverage to military personnel, veterans, and their immediate family members. However, if you are eligible, the company offers some of the most affordable annual rates in the country as well as exceptional customer service. The company is not eligible to be ranked by J.D. Power due to its eligibility restrictions, it earned a high score in the 2021 U.S. Auto Claims Satisfaction Study, which indicates that customers are generally satisfied with USAA’s claims service.
Auto-Owners
Auto-Owners, a regional carrier, is only available in 26 states. Auto-Owners may offer a paid in-full discount if you are able to pay your premium fully. There are many optional coverages offered by the company, such as diminished value coverage, car rental reimbursement and gap coverage. Personal Automobile Plus also includes coverage for identity theft and rekeying locks.
Amica
Amica was awarded one of the top J.D. Amica was recognized for its outstanding customer service in the Power Study. Amica’s dividend policy option is one of its most distinctive features. You could receive up to 20% back each year if you select a dividend policy. There are also many discounts and optional coverages offered by the company.
Geico
Geico has one of the longest lists in the industry of car insurance discounts. There are many ways to save, including having your vehicle fitted with safety features and military personnel, wearing your seatbelt, and being an affiliate of certain groups like alumni associations. A highly-rated mobile application is also available by the company. Geico was awarded the top spot in the 2021 J.D. for its digital services. The Power U.S. Insurance Digital Experience Study.
Travelers
Travelers is a great choice if you’re looking for a flexible policy. The company offers a long list of optional coverages, including roadside assistance, gap coverage, new car replacement, ridesharing coverage and accident forgiveness. There are also unique discounts, such as savings on hybrid and electric vehicles.
Erie
Erie, another regional carrier, is available only in 12 states. Erie has low rates and highly-rated customer services if you are eligible for coverage. Erie scored higher than the industry average in 2021 J.D. It is sold in the following regions: Power study. Erie has a rate lock feature that prevents your premium increasing for a set amount of time. This is unless you make any changes to your policy like adding a driver or vehicle.
State Farm
State Farm may be a good choice if you’re looking for a local agent. The company is the largest insurer of personal autos in the country, with over 16% of the market share. The company has over 19,000 agents in the country, so the likelihood of having an agency near you is high. State Farm provides standard car insurance, with a few optional endorsements and some discounts.
State-specific pricing for full coverage
Due to the unique insurance laws in each state, the risk of accidents and the frequency of claims, the average cost of car insurance can vary from one state to the next. Below is a table that shows which company offers the lowest full coverage premiums for each state. Not everyone may be eligible for coverage by every company. USAA, for example, only covers military personnel, veterans, and their immediate families.
How to get the lowest full coverage insurance
Full coverage auto insurance will cost you more because you are purchasing more coverage than minimum coverage. There are some steps you can take to help you find the right policy for you.
- Compare quotes:Comparing quotes from different companies for the same coverage might help you to find the right coverage at a lower price.
- Get discountsMany insurance companies offer discounts that can help you save money. Your premium will be lower if you take advantage of the discounts that you are eligible for.
- Drive safely:You will pay a higher premium if you have DUI convictions, tickets, or accidents on your record. A clean driving record can lower your premium.
- Your deductible should be increasedComprehensive and collision coverage both come with a minimum deductible. This is the amount you agree to pay for any claim. Your premium can be reduced by increasing one or both your deductibles, but the deductible for collision coverage is usually the most significant. Be sure to select a level you can afford to pay in the event of a claim.
While price is an important aspect when purchasing car insurance, it’s not the only thing to think about. It is important to consider customer service ratings, financial strength scores and available coverages.
Questions frequently asked
What is the average price of car insurance?
The average annual cost of car insurance is $1,674 per year for full coverage car insurance. Car insurance rates will vary greatly from one driver to the next. They depend on many factors such as your driving record, age, gender, and coverages.
Which are the top car insurance companies?
Everyone has different wants and needs when it comes to car insurance, so the best car insurance company will vary depending on what you are looking for and your unique rating factors. It is possible to find the right company by understanding what you want in a company, and getting quotes from multiple providers.
Is it better to have full coverage than just liability?
Not necessarily. Full coverage provides more protection as it covers damage to your vehicle. Each driver is different when it comes to car coverage. Some drivers may be satisfied with liability-only coverage, while others may need full coverage.