Car insurance is most important in California because is at home to almost 40 million people, making it the most populous state in the country. With so many automobiles on the road, insurers have a unique set of challenges, and getting the best car insurance companies in California is no simple task.
However, after poring through the data, we’ve compiled a list of insurance providers that are ideal for the majority of drivers at various times of their lives. We discovered that Progressive is the best overall because of its low rates and speedy claims process.
As usual, getting many estimates and comparing terms side by side is the best approach to get the correct auto insurance for you. By looking for top-rated insurance providers in your region, the comparison tool below saves you time.
The Best Car Insurance Companies in California
- Best for Affordability: Esurance
- Best for Discounts and Second-Lowest Premiums: GEICO
- Best All-Around Car Insurance Company in California: Progressive
- Best for Coverage Options: Allstate
- Best Online Marketplace: The Zebra
Compare Auto Insurance Companies in California
Best for Affordability: Esurance
Esurance’s vehicle insurance prices have grown considerably more competitive, to the point that it currently has the lowest statewide average premiums in California. Esurance should be your first visit if you’re seeking for the cheapest auto insurance in California.
Esurance is an Allstate company, however it offers an entirely online application procedure with a focus on quick acceptance. It doesn’t provide as many coverage options or discounts as the other carriers on this list, but those aren’t as essential when you’re already the cheapest.
A Switch & Save discount is one of the primary advantages it provides in terms of cost. Esurance states that by moving coverage from another insurer, the average consumer saves $462 per year on their auto insurance rate.
Customer Satisfaction Rating: 825 (No. 6 on the J.D. Power California Survey)
Financial Strength Rating: A+ (superior, through parent company Allstate)
Statewide Average Premium in California: $1,164 (lowest in California)
Coverage Options:
- Emergency roadside coverage
- Rental car coverage
- Loan/lease gap coverage
- Medical payments
- Personal injury protection
Discounts:
- Switch & Save ($462 average savings)
- DriveSense driver monitoring app
- Bundle with renter’s insurance
Best for Discounts and Second-Lowest Premiums: GEICO
Not only does GEICO have the second-lowest auto insurance prices in California, but it also ranks sixth in customer and claims satisfaction, one spot ahead of Esurance.
However, a significant part of the rationale for the company’s cheap rates is that it gives huge discounts. GEICO’s discounts are more generous than Progressive’s, despite the fact that Progressive provides more discounts. There are several coverage choices available, including ride-hailing and mechanical breakdown coverage.
Customer and Claims Satisfaction: 828 (No. 5 on the J.D. Power California Survey)
Financial Strength Rating: A+ (superior)
Statewide Average Premium in California: $1,432 (second lowest after Esurance)
Coverage Options:
- Roadside assistance coverage
- Ride-sharing
- Mechanical breakdown
- Collector vehicles
- Medical coverage
- Personal injury protection
Discounts:
- Multivehicle (25%)
- Bundling
- New vehicle (15%)
- Vehicle safety and anti-theft equipment (up to 23%)
- Good driver (accident-free for at least five years — up to 22%)
- Good student (15%)
- Driver’s education
- Federal employees (12%)
- Members of the U.S. military (15%)
- Membership in — or employee of — hundreds of groups and employers
- Customer loyalty
Best All-Around Car Insurance Company in California: Progressive
Despite the fact that California has a plethora of excellent auto insurance providers, Progressive Insurance takes the top place on our list. Progressive consistently supplied comparable prices whether customers were young, old, or had a history of accidents or driving under the influence, but rival auto insurance providers offered lower premiums for specific categories of drivers.
Progressive also provides excellent customer service and a near-flawless online auto insurance quote system. The process of filing a claim is simple, and we give the app five stars.
Progressive has clearly invested in technology to make the auto insurance procedure more efficient. With Progressive’s online capabilities, what was previously a time-consuming and feared job becomes a breeze.
Before picking a vehicle insurance company, consumers should acquire estimates from at least five different providers, but Progressive should be on that list. Also bear in mind that by participating in the Progressive Snapshot program, you may be able to decrease your rates over time.
Customer and Claims Satisfaction: 823 (No. 7 on the J.D. Power California Survey)
Financial Strength Rating: A+ (superior)
Statewide Average Premium in California: $1,568
Coverage Options:
- Gap coverage (loan/lease payoff if you owe more than the car is worth)
- Rental car reimbursement (typically $40 to $60 per day)
- Custom parts and equipment value
- Ride-hailing coverage
- Roadside assistance
Discounts:
- Name Your Price Tool (enter your desired premium and Progressive will design a policy)
- Snapshot app ($145 average discount)
- Bundle auto and property (12% average discount)
- Multi-policy (5% average discount)
- Multicar (12% average discount)
- Small accident forgiveness (your premium won’t be raised on a claim of less than $500)
- Large accident forgiveness (no premium increase in an accident if you have been a customer for a least five years with no accidents for the past three years)
- Continuous coverage (discount varies)
- Teen driver (18 or younger)
- Good student (discount varies)
- Distant students (more than 100 miles from home — discount varies)
- Homeowner (average discount nearly 10%)
- Online quote (7% average discount)
- Sign online (9% average discount)
- Paperless (discount varies)
- Pay in full (discount varies)
- Automatic payment (discount varies)
Best for Coverage Options: Allstate
Allstate does not provide the cheapest auto insurance in California, and it ranks in the middle of the pack in terms of customer and claim satisfaction. Allstate, on the other hand, being a major and well-established insurance company, offers a wide range of policy coverage alternatives.
It not only provides accident forgiveness and the standard list of options found in most auto insurance policies, but it also provides unique alternatives.
Classic vehicle insurance, car insurance for trips to Mexico, and ride-hailing coverage are just a few of the options.
Customer and Claims Satisfaction: 819 (No. 8 on the J.D. Power California Survey)
Financial Strength Rating: A+ (superior)
Statewide Average Premium in California: $1,694
Coverage Options:
- Accident forgiveness
- Sound system insurance
- Roadside coverage
- Personal injury protection
- Personal umbrella (covers liability in excess of standard auto policies)
- Rental reimbursement
- Classic cars
- Car insurance for travel to Mexico
- Ride-hailing coverage
Discounts:
- New car
- Multi-policy
- Smart student
- Vehicle safety equipment
- Early signing
- Responsible payer
- Smart Student (minimum GPA 2.7)
- EZ pay plan
- Paperless (Allstate ePolicy)
- Pay by automatic withdrawal and/or full payment
- Drivewise monitoring app
- Deductible Rewards ($100 reduction in your deductible for each year you’re accident free, up to $500)
Best Online Marketplace: The Zebra
It’s sometimes useful to compare vehicle insurance providers side by side, especially if the prices are identical. The Zebra is an online marketplace that allows you to compare auto insurance quotes from several businesses.
It offers real-time estimates and a wealth of instructional materials to assist you decipher all of the jargon and financial jargon associated with the auto insurance purchasing process.
How We Chose the Best Car Insurance Options in California
When ranking the best auto insurance companies in California, we took into account a number of variables. When the cost of living in a place like California is so expensive, it’s critical to shop around for insurance providers that offer affordable rates.
The following are some of the sources of information and tools that we utilized to compile this list:
- We examined data from the Insurance Information Institute in California to figure out which auto insurance provider gave the best overall rates to California customers (not just to good drivers or to drivers with prior incidents).
- We used data from J.D. Power’s 2020 U.S. Auto Insurance Study, which includes a category specifically for California.
- We utilized review sites, such as ConsumersAdvocate.org, to put different driver characteristics to the test. Age, credit score, homeowner status, accident history, and DUI history were all checked.
- We looked at hundreds of insurance companies’ programs, incentives, and services, looking for firms that appeal to a wide range of drivers.
What You Need to Know About California Coverages
All drivers are legally required to carry car insurance in the state of California.
What Are California’s Car Insurance Minimums?
California’s minimum vehicle insurance regulations are shown below. Keep in mind that carrying more insurance than the bare minimum is a good idea to protect yourself against liability and uninsured or underinsured drivers on the road.
- $15,000 bodily injury liability per person
- $30,000 bodily injury liability per accident
- $5,000 property damage liability per accident
What If I Can’t Afford Insurance in California?
If you meet the following criteria, you could be eligible for lower-cost auto insurance in California:
- Your annual income is 250% or less of the federal poverty level
- Your car is worth less than $25,000
- You have a valid California driver’s license
- You’re at least 16 years old
- You have a good driving record
What If You’re a High-Risk Driver in California?
It may be difficult to obtain auto insurance if you have a terrible driving record that includes accidents, fines, or DUIs. Contact the California Automobile Assigned Risk Plan if this is the case.
It can assist you in being assigned to an insurance provider, and you may be qualified for installment payments, making your insurance costs more affordable. For assistance, dial 800-622-0954.
What Are California’s Laws Regarding Non-Insurance?
If you drive a car in California without insurance, the DMV in California states you could:
- Be cited
- Have your vehicle impounded
Last Thoughts
Purchasing vehicle insurance is a financial choice that will most likely be one of your higher annual costs. As a result, thoroughly evaluate at least five different auto insurance quotes from California providers before selecting which one is ideal for you.
Keep in mind that most vehicle insurance prices increase after the first year, so before you commit to a provider, ask them if they expect your premiums to increase in the future. Also, look into any and all discounts that you could be entitled for.
While it may appear that one company has cheaper costs than another, you may be qualified for savings that are not given by all insurance companies. Learn which businesses cater to your specific driving history in order to get the best auto insurance company in California for your requirements.