10 Best Auto Insurance Companies for Paying Claims (2024)

When it comes to the best auto insurance companies for paying claims, your best bets are Amica Mutual, USAA, and State Farm. These companies offer excellent financial strength, quick claims resolution, and superb customer service.

Out of all the best claims-paying insurance companies, Amica Mutual takes our top spot because of its excellent reputation for customer satisfaction. Other reasons to shop with Amica Mutual include its ample list of coverage options and potential for dividend payouts.

Our Top 10 Picks: Best Auto Insurance Companies for Paying Claims

Read on to learn where you can find cheap car insurance from the best insurance companies for paying claims. Then, compare rates with as many companies as possible to find the best coverage for your vehicle.

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#1 – Amica Mutual: Top Pick Overall

Pros

• Fair and prompt claims: Amica promises to meet the needs of all its policyholders, especially when it comes to filing car insurance claims. Most customers report that their Amica claims were resolved quickly and satisfactorily, making it the best insurance company for paying claims.
• Excellent customer service: Amica is known for its excellent customer service, with most policyholders reporting high levels of satisfaction after speaking with a representative. Check out our Amica auto insurance review to learn more about the company’s customer service and claims ratings.
• Dividend payouts: As a mutual company, Amica pays eligible policyholder dividends during years the company does well.
• Transparent policies: Amica makes understanding how your policy works simple by making insurance information easy to access, no matter which types of auto insurance coverage you purchase.

Cons

• Higher rates: If you’re looking for the cheapest rates possible, you’ll probably find lower rates elsewhere. Amica’s car insurance rates tend to be slightly higher than average.
• No auto policies in Hawaii: Although Amica sells insurance in most states, residents of Hawaii will need to look elsewhere.

#2 – USAA: Best for Military Families

Pros

• Financial stability: USAA has a superior rating of A++ from A.M. Best for its financial strength. This high rating means you won’t have to worry about your claim going unpaid. USAA typically has the best auto insurance ratings in all categories.
• Superb customer satisfaction: USAA consistently scores high in all areas of customer satisfaction, including its claims processing.
• Low rates: No matter how much coverage you purchase or where you live, USAA is almost always the cheapest insurance provider. See how USAA’s rates compare to other insurance providers in our USAA auto insurance review.
• Military discounts: USAA offers special car insurance discounts to help military members save, including reduced prices for deployed service people.

Cons

• Membership eligibility: Only active or retired military members and their direct families are eligible for USAA membership.
• No gap insurance: Gap insurance protects you from paying on a loan after totaling your car. Unfortunately, USAA does not offer gap insurance.

#3 – State Farm: Best for Personalized Service

Pros

• Extensive network of agents: State Farm has one of the largest networks of agents, meaning you’ll find help from a real person no matter where you live. State Farm’s extensive network means someone will always be available to help you file a car insurance claim.
• Coverage variety: Aside from standard options like collision and comprehensive insurance, State Farm offers plenty of add-ons so you can customize your policy. Popular options include roadside assistance and rideshare insurance.
• Solid customer service: State Farm’s customer reviews aren’t perfect, but most policyholders report being satisfied with how the company resolved open claims. See what State Farm customers have to say about the company in our State Farm auto insurance review.

Cons

• Limited online tools: While you can get a State Farm quote online, you’ll need to speak with an agent to purchase a policy.
• Higher rates for some drivers: State Farm is usually an affordable option for auto insurance, but drivers with bad credit scores will probably find cheaper rates elsewhere.

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#4 – Geico: Best for Affordable Coverage

Pros

• Efficient claims processing: Most customers report that Geico resolved their claims quickly and efficiently. Adding other Geico perks helps make these policies some of the best car insurance for claims.
• Low rates: Geico consistently ranks as one of the cheapest insurance providers throughout the country. Explore Geico’s rates in our Geico auto insurance company review.
• Ample discounts: Geico offers 16 discounts to help keep rates low, including savings for federal employees, safe drivers, and students.

Cons

• Limited agent interaction: Geico focuses more on online policy management, so you might find getting in-person help more difficult than you would with other companies.
• Higher rates for high-risk drivers: Although it’s usually cheap, Geico has higher rates for drivers with at-fault accidents or DUIs. If you need high-risk auto insurance, you’ll probably pay less with a different company.

#5 – Progressive: Best for Tight Budgets

Pros

• Name Your Price tool: Use the Name Your Price tool to tell Progressive how much you want to spend on your insurance each month. Progressive gives you a list of coverages that match your budget.
• User-friendly claims process: Progressive offers a more modern take on the claims process, making it simple to start, manage, and resolve claims online. The Progressive mobile app makes knowing how long to file a claim after an accident a simple task.
• Competitive rates: Progressive is typically an affordable option for auto insurance in most states.

Cons

• Limited coverage for high-risk drivers: To help keep its rates low, Progressive limits how many high-risk drivers it covers. Our complete Progressive review goes over this in more detail.
• Small local agent network: With a focus on its online tools, Progressive lacks the network of agents some of its competitors have.

#6 – Allstate: Best for Claims Satisfaction

Pros

• Local network of agents: Allstate relies on an extensive network of representatives to offer personalized help and smooth claims resolution for its policyholders. These local agents can also help you figure out how to cancel an auto insurance claim after you’ve filed if needed.
• Claims satisfaction guarantee: While Allstate generally receives positive reviews, it gives you more than good ratings to rely on. Allstate guarantees your satisfaction on any claim, or it will give you credit for future premiums. Learn more about the claims satisfaction guarantee in our Allstate auto insurance review.
• Excellent coverage options: Allstate offers a long list of coverage options, helping just about any driver get the protection they need. Popular options include sound system coverage, new car replacement, and roadside assistance.

Cons

• Mixed reviews: Many drivers are loyal Allstate customers, but there are plenty of unsatisfied policyholders, too. Complaints typically center around unsatisfactory customer service experiences.
• Higher rates: Allstate offers excellent full coverage auto insurance, but it comes at a price. No matter what state you live in, Allstate is usually one of the most expensive providers.

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#7 – Liberty Mutual: Best for Responsive Representatives

Pros

• Responsive claims: Representatives at Liberty Mutual tend to do an excellent job of handling claims quickly. In particular, Liberty Mutual agents receive praise for their quick responses to questions.
• 24/7 help: Liberty Mutual representatives are available 24 hours a day to help with even the most complicated claims questions.
• Generous discounts: Liberty Mutual offers up to 16 discounts to help keep your rates as low as possible, including savings for being a safe driver.

Cons

• Rates can be high: The typical driver sees rates slightly higher than the national average with Liberty Mutual.
• Negative reviews: Although Liberty Mutual has made efforts to improve its customer service, some drivers report negative experiences. A recurring complaint is that coverage can change without notice, leaving drivers confused about their policies. To see monthly premiums and honest rankings, read our Liberty Mutual review.

#8 – Nationwide: Best for a Simple Claims Process

Pros

• Excellent claims resolution: Nationwide has a reputation for resolving claims quickly and giving their customers a great service experience.
• Vanishing deductibles: Enroll in this Nationwide program to have $100 removed from your deductible every year you spend claims-free, up to $500. Learn more about this program in our review of Nationwide car insurance.
• Affordable rates for risky drivers: Most companies charge drivers with bad credit scores much higher rates. However, Nationwide usually offers affordable rates regardless of your credit score.

Cons

• Higher rates for other drivers: Nationwide offers affordable coverage if you have a bad credit score, but the same can’t be said for drivers with a DUI on their record.
• Limited local agents: Understanding the claims process can be confusing, and many drivers appreciate face-to-face help. Nationwide has a small network of local agents, which means finding in-person help can be difficult.

#9 – Farmers Insurance: Best for Discount Selection

Pros

• Ample discounts: Farmers has one of the best lists of auto insurance discounts, offering a total of 23 ways to save. Find more discount details in our review of Farmers auto insurance. 
• Local agents: Farmers’ network of agents is spread throughout the country, making it easy to find personalized help for your claims.
• Claims satisfaction: Generally speaking, Farmers receives positive praise for its smooth and easy claims process.

Cons

• No new policies in Florida: As of 2023, Famers no longer writes new policies in Florida.
• Higher rates: Farmers has a ton of perks that come with being a customer, but having the cheapest rates is not one of them.

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#10 – Travelers: Best for Experienced Agents

Pros

• Coverage options: Travelers offers a variety of coverage options to meet most insurance needs, including rideshare and gap insurance. Read our full review of Travelers insurance for more coverage information.
• Industry experience: As one of the oldest insurance companies in the country, Travelers brings a wealth of knowledge to its customer service. This helps make the claims process smoother.
• Policy bundling opportunities: Travelers sells a variety of insurance types, including home, renters, and even cyber insurance. You might be eligible for additional savings by purchasing more than one Travelers policy.

Cons

• High rates: Travelers is rarely the cheapest option for insurance, regardless of what type of driver you are.
• Complex claims: Travelers may bring experience to the table, but many customers report feeling confused by the complexity of the company’s claims process.

How to Determine the Best Auto Insurance Companies for Paying Claims

To assess a company’s claims process, you need to look at three areas.

First, look at financial strength. If your insurer has a high net worth, it is more likely to pay out claims.

Second, look at the total payments that the company makes to its policyholders. Companies will often give you access to reports showing how much money they have paid out in claims over their lifetime and in the previous year, along with the total number of claims fulfilled.

You should weigh this information against a company’s clientele size.

Third, look at a company’s customer service. While many factors can contribute to a company’s customer service ratings, one factor is the claims process.

Some companies make it easier for policyholders to file claims than others. What’s important is whether customers get a payout and how transparent insurance agents are about the process.

Now, numerous firms look at some of these factors. For example, rating agencies like A.M. Best, Moody’s, and Standard & Poor’s give car insurance companies ratings based on total revenue and liabilities.

Companies like J.D. Power and the National Association of Insurance Commissioners look at customer satisfaction, with the latter tracking complaints. You can also get customer reviews from many other official and informal sources, like online message boards, or even through word of mouth.

That said, what do you think are the three best auto insurance companies at paying claims? Read on to find out.

Auto Insurance Companies’ Financial Strength

All three companies are solvent.

• USAA, which has 13 million total policies in effect, listed a $40.4 billion net worth in 2020. It received an Aaa from Moody’s and an A++ rating from A.M. Best.
• Amica has $5.4 billion in assets and 1.6 million policies in effect as of 2019. It also has an A+ rating from the Better Business Bureau and A.M. Best.
• NJM has an annual revenue of $2.2 billion.

Out of these three companies, USAA is the strongest financially.

Auto Insurance Companies’ Total Payments

Now, not much is known about Amica or NJM’s financials, but USAA has offered more information. For 2020, USAA paid out $2 billion in claims and $1.1 billion in special policyholder dividends.

Auto Insurance Companies’ Customer Service

Amica, NJM, and USAA as the best car insurance companies 2017. The 2021 J.D. Power Customer Satisfaction Survey reaffirmed these companies’ overwhelmingly positive reception.

• Amica scored 867 out of a possible 1,000 points in New England.
• NJM also scored 867 points, but in the Mid-Atlantic region.
• USAA outscored all other companies in the regions where it was available, although it is unofficial. The company was just as impressive in the 2020 survey.

Furthermore, NJM was the first company to earn the J.D. Power Personal Auto Claims Certification. The company has maintained that distinction for three years in a row.

You can also check out how easy a company makes it to start a claim online. While you won’t have to speak with a customer service representative, having easy access to the claims process is critical.

Now, which larger companies are comparable in terms of user satisfaction and ability to pay claims? Read on for our comparison.

Top Auto Insurance Companies Compared

If we go with J.D. Power’s most recent survey, four larger auto insurance companies that stood out were State Farm, Erie Insurance, American Family, and Geico.

State Farm took top honors in three regions. It received 848 points in Florida, 844 in the Northwest, and 859 in New York. State Farm has received top ratings in New York for two years straight.

Erie earned 857 points in the North Central region to top all other auto insurance companies there.

In terms of its financial stability, State Farm received an A++ rating from A.M. Best. That is the highest rating that a company can receive. S&P gave State Farm an AA ranking, which is very strong.

Erie Insurance only operates in 12 states, but it has excellent financials.

• It’s a Fortune 500 company, ranking at #347 for 2021.
• It is the 13th-largest auto insurer in the nation.
• In 2021, Erie received an A+ (Superior) rating from A.M. Best.

American Family received the best rating (850 points) in the Southwest, a distinction it holds for a second consecutive year. AmFam has earned an A (Excellent) rating from A.M. Best for 18 years straight.

Even though Geico never came out on top in any region, it consistently appeared in the top 10. Its total assets are worth $32 billion, and it received an A++ from A.M. Best and an AA+ rating from S&P.

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Best Auto Insurance Companies for Paying Claims: The Bottom Line

We should note how well some smaller companies did in J.D. Power’s survey.

• Wawanesa (853) took top honors in California.
• Farm Bureau Insurance – Tennessee (833) reigned supreme in the Southeast for the 10th consecutive year.
• Texas Farm Bureau (850) has topped all other companies in Texas for 20 straight years.

So, what are the best affordable auto insurance companies for paying claims? Rankings and ratings seem to strengthen the case for USAA, Amica, and NJM.

Ultimately, size does not guarantee that a company will offer the best insurance for claims. Sometimes, policyholders are more likely to be happy with a smaller, local company or a company with a targeted clientele, like USAA.

This is the information you should keep in mind if you want to buy car insurance from the best auto insurance companies for paying claims. Remember, while a company might have a decent suite of coverages, the insurance might not be worth the price if the company hardly pays any claims.

In the end, if you want to know which insurance company is best for paying claims, you may need to go with word of mouth or with a regional company. Sometimes, the best companies are local, and they may offer the cheapest car insurance rates, too.

Hopefully, you’ve learned a lot about the best auto insurance companies for paying claims. Now, if you’re ready to see quotes from top companies in your area, enter your ZIP code into our free quote tool below.

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