Best car insurance companies of October 2026

Owning a car is expensive. But, it's not just high vehicle and gas prices that are driving up costs. Insurance premiums rose 18% between 2026 and 2025, hitting an average of $194 per month, according to insurance comparison site The Zebra.

That jump has prompted many Americans to shop for a better deal — as about 53% of drivers did in 2026, according to J.D. Power data.

Since finding a new insurer isn't always easy, CNBC Select has named the best car insurance companies based on affordability, coverage, nationwide availability, customer satisfaction, claims processing and more. Read our methodology for more on how we chose the best car insurance companies.

Who's this for? Erie is a great choice for drivers who prioritize good service — it's consistently topped J.D. Power's rankings in the regions where it's available. It also ranked first for satisfaction with the claims process.

Standout benefits: Even if you file a claim, Erie's optional Rate Lock feature keeps your premiums from rising as long as you don't make a change to your policy.

Who's this for? Among the auto insurers we've reviewed, Nationwide offers the best combination of low premiums and widespread availability. Policies are issued in all states except for Alaska, Hawaii, Louisiana and Massachusetts, giving this insurer a wider footprint than many others.

Standout benefits: Nationwide's SmartMiles pay-per-mile program offers a low flat rate and per-mile fee, making it ideal for those who work from home or are retired. According to Nationwide, SmartMiles users can save up to 40% per year with safe driving habits.

Who's this for? USAA's auto insurance is available exclusively to current and former service members and their families, with discounts for storing vehicles on bases or for those who are deployed and not driving their car.

Standout benefits: Customers who bundle home and auto with USAA can save up to 10%, according to the insurer. There are also discounts for having a new car, for taking over your parents' policy and for remaining a customer for at least three years.

Who's this for? As the third-largest private auto insurer in the U.S., Geico issues policies in all 50 states and Washington, D.C. In addition to an easy-to-use online interface, there are more than 300 independent offices nationwide for in-person assistance with quotes and claims filing.

Standout benefits: Geico offers mechanical breakdown insurance, which covers repairs to parts after the manufacturer's warranty has expired.

Who's this for? Auto-Owners is an affordable option, especially for liability insurance, which only covers injuries or property damage caused by someone else and is the minimum coverage required in most states to be legally on the road.

Standout benefits: Auto-Owners offers accident forgiveness and valuable add-ons, including gap insurance and additional expense coverage. We also named Auto-Owners one of the best insurers for young drivers and seniors.

Who's this for? Progressive offers a few accident forgiveness options. Two are automatic: all new policies come with small-accident forgiveness, which keeps accidents with claims of $500 or less from affecting your rates. Then, if you stay with Progressive for five years and are accident- and violation-free the whole time, a larger accident won't raise your premiums. Any policyholder can also purchase additional accident forgiveness coverage that covers one accident per policy period, regardless of size.

Standout benefits: For each policy period without an accident or violation, Progressive's optional Deductible Savings Bank coverage will reduce the amount you'd be responsible for if you filed a claim by $50 every policy period.

Who's this for? Enrolling in Travelers' IntelliDrive telematics program can save you up to 30% on your insurance, according to the insurer, for practicing safe driving habits. Those with no at-fault accidents on their record or any points on their license can get a safe driver discount.

Standout benefits: Travelers sells gap insurance, an add-on that can cover the difference between your loan and your new car's depreciated value. Without it, you'd be stuck with the remaining loan balance. What's more, some insurers don't offer this coverage. In addition, Travelers also offers discounts for bundling, owning your home and driving an electric vehicle.

Who's this for? Dairyland specializes in non-standard auto insurance for high-risk drivers, whether they have multiple accidents, DUIs or bad credit.

Standout benefits: Dairyland provides non-owner coverage and issues SR-22 certificates, which prove to your state that you have coverage and can be required after a serious infraction like a DUI. Additionally, all California policies include limited coverage for travel to Mexico.

Who's this for? Liberty Mutual has been rated highly for several years in J.D. Power's auto claims satisfaction study, which surveys people who file claims about their satisfaction with their insurers' communications, fairness and timeliness.

Standout benefits: Liberty Mutual also offers add-ons like new car replacement and accident forgiveness, as well as a deductible savings bank that can reduce your out-of-pocket costs by $100 for each year you're enrolled and don't file a claim.

Who's this for? Bundling American Family auto and home insurance can save you as much as 23%, according to the insurer, making it one of the larger multi-policy discounts we've seen.

Standout benefits: American Family offers a host of other discounts, including for getting a quote before your current policy expires, paying your premium in full and volunteering in your community.

There are five basic types of car insurance coverage available. You'll need liability insurance to drive in every state except New Hampshire. However, if you have a loan on your car, you'll likely be required to have collision and comprehensive coverage as a condition of your loan.

Here's what each type of coverage does:

Liability coverage: Pays for property damage and bodily injury when you are found responsible for a collision. It is the minimum coverage required to legally drive in most of the country, though the amount differs by state.

Collision coverage: Pays for repairs resulting from a collision with an object, like a guardrail or another car.

Comprehensive coverage: Protects you in case of damages caused by a non-vehicular incident, like theft, vandalism or weather-related damage. 

Personal injury protection (PIP): This pays for your medical expenses and lost income after an accident. It's required in some states.

Uninsured/underinsured motorist coverage: Kicks in if you are involved in an accident with another driver who has no insurance or insufficient coverage.

The average cost of a six-month policy in September 2026 was $1,162, or about $194 per month according to insurance comparison site The Zebra. However, rates vary significantly based on many factors, like your age, vehicle details and driving record. Plus, your ZIP code and location typically play a role, with premiums higher in states with no-fault insurance, such as New York and Michigan.

Premiums have steadily increased for several reasons, according to the Insurance Information Institute, including the rising cost of repairing and replacing vehicles, as well as medical and legal bills.

Cars have also become more technologically advanced over the past decade, requiring more work and parts when damaged.

And, other personal factors influence individual premiums, like:

• Policy type: Full coverage is more expensive than a liability-only policy. A low deductible can also raise your premiums, as can buying add-ons like gap insurance and roadside assistance.
• Your location: Where you live greatly influences how much you'll pay and, in many states, so will your age, gender and marital status.
• Your credit history: In all but a handful of states, insurance companies can use your credit-based insurance score to tabulate your premium.
• Your driving history: Having an at-fault accident, speeding ticket or DUI on your record makes you a high-risk driver and usually results in expensive premiums.
• Car make, model and features: A six-figure sports car will cost more to insure than a used sedan. While replacement costs can contribute to this difference, discounts for safety features can also play a role.

If you're shopping for car insurance, consider the following criteria:

1. Availability

Not all insurers are licensed in every state, or provide the same coverage or discounts nationwide. Be sure what you want is available in your region.

2. Coverage options

Make sure any provider you're considering has the options you want, whether that's gap insurance, accident forgiveness or ride-share insurance.

3. Customer satisfaction

J.D. Power surveys provide insight into customers' sentiment in key areas, including the level of trust with their insurance company, the price for coverage, the representatives they deal with, the ease of doing business and the helpfulness of a company's digital channels. You can also see how a company is rated by the Better Business Bureau and the volume of complaints registered by the National Association of Insurance Commissioners.

4. Financial strength

It's important that any insurance company you're considering can pay out on claims. A.M. Best's financial strength scores indicate the likelihood that an insurer will be able to make good on its financial obligations. Look for companies that score an A or better.

There are a few ways you can lower the price you pay on auto insurance. Consider these tips as you start your insurance shopping journey:

• Raise your deductible: Bumping your deductible — or the amount you'd pay out of pocket if you needed to file a claim — from $200 to $500 could reduce collision and comprehensive costs by 15% to 30%, according to the Insurance Information Institute. Upping it to $1,000 could save you 40% or more. Just be sure you'd be able to afford it if needed.
• Bundle your home and auto insurance: Whether you rent or own your home, getting the coverage you need for your dwelling from the same company as your car insurance could help you save money.
• Pay in full up front: If you pay in full, you could get a discount, as well as avoid any installment fees that could be added to your premium.
• Raise your credit score: In many states, your credit score can play a role in how much you'll pay for auto insurance. Giving your credit score a boost could help lower costs.

Why trust CNBC Select?

At CNBC Select, our mission is to deliver high-quality service journalism and comprehensive consumer advice to our readers, enabling them to make informed financial decisions. Every car insurance article is based on rigorous reporting by our team of expert writers and editors with extensive knowledge of insurance products. While CNBC Select earns a commission from affiliate partners on many offers and links, we create all our content independently of our commercial team and any outside third parties, and we pride ourselves on maintaining high journalistic standards and ethics.

CNBC Select reviewed more than 30 top car insurance companies, focusing on cost, coverage, customer service, availability and online experience.

We incorporated customer satisfaction scores from J.D. Power, the National Association of Insurance Commissioners and the Better Business Bureau, as well as financial strength ratings from A.M. Best.

Information on average annual premiums is based on Bankrate analysis of Quadrant Information Services data for a 40-year-old driver with a clean driving record and good credit, driving a 2023 Toyota Camry five days a week with the following coverage:

• $100,000 bodily injury liability per person
• $300,000 bodily injury liability per accident
• $50,000 property damage liability per accident
• $100,000 uninsured motorist bodily injury per person
• $300,000 uninsured motorist bodily injury per accident
• $500 collision deductible
• $500 comprehensive deductible

We also considered CNBC Select audience data when available, such as general demographics and engagement with our content and tools.

Based on that criteria, our selections for the best car insurance companies are:

• Best for customer satisfaction: Erie Insurance
• Best for affordability: Nationwide
• Best for military members and veterans: USAA
• Best for availability: Geico
• Best for liability insurance: Auto-Owners
• Best for accident forgiveness: Progressive
• Best for safe drivers: Travelers
• Best for high-risk drivers: Dairyland
• Best for claims filing: Liberty Mutual
• Best for bundling: American Family

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