In this article, we will look at the 15 best auto insurance companies heading into 2024. If you want to skip our detailed analysis of the auto insurance market, you can go directly to 5 Best Auto Insurance Companies...
In this article, we will look at the 15 best auto insurance companies heading into 2024. If you want to skip our detailed analysis of the auto insurance market, you can go directly to 5 Best Auto Insurance Companies Heading into 2024.
Global Auto Insurance Industry Poised for Growth
The auto insurance industry is a huge market, with a diverse range of providers offering a wide variety of insurance products and services that cater to the needs of millions of motor vehicle owners and drivers around the world. According to a report by Expert Market Research, the global auto insurance market’s value is estimated to have reached $865.83 billion in 2023. Looking forward, the market is expected to grow at a compound annual growth rate of 8.4% during 2024-2032, pushing the auto insurance market to reach above $1.76 trillion by the end of the forecast period. North America accounted for the largest market share in 2023.
The rise in demand for personal vehicles, especially in developed and developing countries around the world, is propelling the auto insurance market forward. Because of economic growth, urbanization, and rising disposable incomes, more people can afford cars. More people will also want protection against accidents, theft, injuries, and property damage, which is driving the demand for auto insurance. Strict government rules and mandatory insurance regulations are further augmenting market growth. However, due to inflation, auto insurance premiums are expected to continue rising in 2024. You can also take a look at the states with the most expensive car insurance in the US.
What are Some of the Biggest Companies in the Global Auto Insurance Industry Up To?
The global auto insurance market is highly fragmented, with key players such as Allianz SE (ETR:ALV), Direct Line Insurance Group plc (LON:DLG), and The Progressive Corporation (NYSE:PGR).
The Progressive Corporation (NYSE:PGR) is an American insurance company and one of the largest motor insurance carriers in the US. On October 13, The Progressive Corporation (NYSE:PGR) reported strong earnings for the fiscal third quarter of 2023, reflecting strong demand for auto insurance in North America. The company reported earnings per share (EPS) of $2.11, surpassing EPS estimates by $0.4. The Progressive Corporation (NYSE:PGR) reported a revenue of $15.59 billion and outperformed revenue estimates by $231.2 million.
Headquartered in Munich, Germany, Allianz SE (ETR:ALV) is one of the world’s largest insurers and financial services providers. Operating as an international insurer, Allianz SE (ETR:ALV) has more than 120 million customers in over 70 countries. On November 28, Allianz SE (ETR:ALV) announced that its pan-European online insurer, Allianz Direct, is teaming up with ING Groep N.V. (NYSE:ING) in the Netherlands to offer companies and entrepreneurs access to a diverse range of Allianz Direct business insurance products. These insurance policies will be rolled out in phases from mid-2024 through ING Groep N.V.’s (NYSE:ING) digital platforms. Dutch customers will also be able to go to ING Groep N.V. (NYSE:ING) to take out auto, van, and corporate and professional liability insurance. The report also mentions that the Allianz Direct business insurance will be a fully digital process, allowing customers to take out insurance easily and quickly through ING Groep N.V.’s (NYSE:ING) app or website.
Direct Line Insurance Group plc (LON:DLG) is a British insurance company that offers a wide range of general insurance?products across home, commercial, travel, pet, and auto. On October 31, Direct Line Insurance Group plc (LON:DLG) announced that its brand Direct Line has launched a new car insurance product called “Essentials” for customers who are looking for an entry-level comprehensive car insurance policy. The new insurance product complements Direct Line’s existing Comprehensive and Comprehensive Plus offerings, which have additional offerings and higher cover limits. The Essentials product includes Courtesy Car Cover as standard, which provides customers with a replacement car at no extra cost for the duration of the repair if fixed by an approved repairer. The new Essentials car insurance product also includes Direct Line Insurance Group plc’s (LON:DLG) Uninsured Driver Promise and Vandalism Promise, which protects a driver’s no claims discount if the other driver involved in an accident is uninsured or if damage to the vehicle is caused by vandalism. Jazz Gakhal, Managing Director of Motor at Direct Line Insurance Group plc (LON:DLG) said:
“The Direct Line brand is all about simplicity and a common-sense approach, the Essentials product delivers quality cover along with the great service you’d expect from a household name. Understanding the needs of our policyholders is key to being brilliant for customers every day and we believe Direct Line Essentials is the perfect addition to our car insurance suite of products.”
Now that we have discussed what’s going on in the global auto insurance market, let’s take a look at the 15 best auto insurance companies heading into 2024.
A woman in her car checking her insurance documents with a satisfied smile.
Methodology
For this article, we compiled a list of the 15 best auto insurance companies heading into 2024. Choosing the best auto insurance companies requires a number of factors to be taken into consideration and it can still be a matter of personal preference. To provide the readers with an accurate representation, we used consensus picks from different insurance, finance, and review websites that ranked the best auto insurance companies based on factors like market share of the companies, customer service, claims filing process, available coverage options, and other related services and products.
We analyzed rankings on NerdWallet, Automoblog, Insurance Panda, and USA TODAY. We counted the number of times each auto insurance company was listed in these sources. We also calculated the average ranking of every insurance company by adding up their rankings in each of the sources and then dividing that figure by the number of times each company’s name came up. We then ranked the 15 best auto insurance companies heading into 2024 based on how many times their name came up in the sources as well as their average rankings.
The number of mentions is our primary metric and the average ranking is our secondary metric. A lower average ranking is better since it means that the company had a better overall ranking among our sources. In the case where multiple companies had the same number of mentions across our sources, tie-breaking was done on the basis of average rankings. The 15 best auto insurance companies heading into 2024 are listed below in ascending order.
By the way, Insider Monkey is an investing website that tracks the movements of corporate insiders and hedge funds. By using a consensus approach, we identify the best stock picks of more than 900 hedge funds investing in US stocks. The top 10 consensus stock picks of hedge funds outperformed the S&P 500 Index by more than 140 percentage points over the last 10 years (see the details here). Whether you are a beginner investor or a professional one looking for the best stocks to buy, you can benefit from the wisdom of hedge funds and corporate insiders.
15 Best Auto Insurance Companies Heading into 2024
15. COUNTRY Financial
Number Of Mentions: 2
Average Ranking: 14
COUNTRY Financial is a group of US insurance and financial services companies that ranks among the top 15 on our list of best auto insurance companies heading into 2024. It offers auto insurance policies with all the standard coverage types as well as a number of optional endorsements, which include emergency roadside service, personal effects coverage, and new car replacement. COUNTRY Financial also offers potential discounts. It is one of the best auto insurance companies when it comes to maintaining good policyholder relationships, and it receives much fewer customer complaints compared to other auto insurance companies.
14. American Automobile Association (AAA)
Number Of Mentions: 2
Average Ranking: 12.5
American Automobile Association (AAA) is a leading insurance company in the US that uses several auto groups throughout North America to provide car insurance to its customers. Some of its most popular auto groups are Auto Club of SoCal, Auto Club Group, and CSAA Insurance Group. AAA offers insurance for vehicles, trucks, SUVs, RVs, and motorcycles. You will not need to be a AAA member to get a policy, but members receive additional discounts on their auto insurance as well as access to other perks, including special discounts on hotels and restaurants.
13. Erie Indemnity Company (NASDAQ:ERIE)
Number Of Mentions: 2
Average Ranking: 4.5
Erie Indemnity Company (NASDAQ:ERIE) is a property and casualty insurance company. It offers auto, home, business and life insurance through a network of over 13,000 independent insurance agents. Erie Indemnity Company (NASDAQ:ERIE) offers both personal auto coverage and commercial coverage for small businesses. Perks and coverage options that are offered include locksmith services, roadside assistance, pet injury and personal item coverage.
12. Amica Mutual Insurance Company
Number Of Mentions: 2
Average Ranking: 4
Amica Mutual Insurance Company is a mutual insurance company that offers auto, home and life insurance. It ranks 12th on our list of best auto insurance companies heading into 2024. Auto insurance coverages offered by Amica Mutual Insurance Company include medical payments, personal injury protection, bodily injury liability, and property damage. Amica Mutual Insurance Company also offers special discounts for insuring more than one vehicle, taking a defensive driving course, and owning a home.
11. NJM Insurance
Number Of Mentions: 2
Average Ranking: 2.5
NJM Insurance, also known as New Jersey Manufacturers Casualty Insurance Company, is an American mutual insurance group of companies that offers both personal and commercial auto insurance coverage. NJM Insurance Group offers all the standard auto coverage options including collision coverage, liability insurance, and personal injury protection. Extra options and services offered include roadside assistance, locksmith services, gap insurance, and pet coverage.
10. Farmers Insurance Group
Number Of Mentions: 3
Average Ranking: 13
Farmers Insurance Group, or simply Farmers, is an American insurer group of vehicles, homes and small businesses. It is a wholly owned subsidiary of Swiss-based Zurich Insurance Group AG (OTC:ZURVY) and ranks among the top 10 best auto insurance companies heading into 2024. Farmers Insurance Group offers standard auto coverage options as well as towing and roadside service, rental reimbursement, and rideshare coverage.
9. American Family Insurance
Number Of Mentions: 3
Average Ranking: 9.66
American Family Insurance is a private mutual company that offers property, casualty, and auto insurance. It offers a wide range of auto insurance products and coverage options, including rideshare insurance, commercial car insurance, and classic car insurance.
8. The Allstate Corporation (NYSE:ALL)
Number Of Mentions: 3
Average Ranking: 8
The Allstate Corporation (NYSE:ALL), or simply Allstate, is one of the biggest auto insurance companies in the US. The Allstate Corporation (NYSE:ALL) offers standard coverage as well as optional rental reimbursement coverage, rideshare insurance, and classic car insurance.
7. The Travelers Companies, Inc. (NYSE:TRV)
Number Of Mentions: 3
Average Ranking: 7.66
The Travelers Companies, Inc. (NYSE:TRV), also known as Travelers, is an American insurance company. It offers standard auto insurance coverage as well as optional plans like accident forgiveness, gap insurance, and roadside assistance. As one of the best auto insurance companies heading into 2024, The Travelers Companies, Inc. (NYSE:TRV) also offers discounts for safe drivers, hybrid vehicles, new cars, and multiple cars.
6. Auto-Owners Insurance Group
Number Of Mentions: 3
Average Ranking: 5.33
Auto-Owners Insurance Group, or Auto-Owners, is a mutual insurance company that provides life, home, car and business insurance. The insurance company offers standard car insurance policies as well as a number of additional options for drivers. As one of the best auto insurance companies heading into 2024, Auto-Owners offers a wide variety of discounts and coverages to meet auto insurance needs.
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