Allstate Car Insurance Review [Rates, Coverage, & More]

The Sears Roebuck Company transformed shopping, especially for rural America through its catalog. Rather than being limited to what the local general store offered (and being forced to pay whatever prices they set) consumers had access to all the popular styles at fair prices.

Now, you may be wondering what in the world that has to do with a car insurance review! In 1930 the president of the Sears Roebuck Company, General Robert E. Wood had an idea – to sell car insurance by mail.

So in 1931, he founded Allstate, named after a tire that was sold in the catalog. The rapidly growing mail order company opened its first location in a Sears store, and the company model shifted to agent-based rather than mail-based. In 1995, Sears divested its shares and Allstate became an independent company.

While we listed Allstate’s company headquarters address in Illinois, realistically, there is very little reason to hang onto that. If you’re interested in Allstate as your insurance company, you’ll want to find a local office. It’s easy. Just do a quick search on your browser.

Because they offer auto, home, renters, and life insurance policies, they may be a good one-stop-shop for all your insurance needs. With many popular commercials and offices around the country, Allstate has become a trusted presence for safe drivers and high-risk drivers alike.

Compare car insurance quotes right here to see how much you could save on car insurance.

How Does Allstate Rate in The Market?

Seeing how an insurance company rates according to the following independent agencies can help you see determine if it’s right for you.

Allstate’s Financial Ratings

 Allstate’s NAIC Complaint Index

Allstate’s JD Power Rating

Allstate’s Consumer Reports Rating

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Allstate History

Allstate has stood the test of time as evidenced in their 80+ year history providing insurance. The length of time a company has been in business doesn’t predict its future standing, although a good history indicates a solid foundation on which to build.

We’ll dig deep on how the company has been presenting itself the past few years.

Market Share

When you examine the table above, it’s obvious that Allstate’s market share has been decreasing the past couple years, however, it’s not taking a nosedive. It’s a very gradual decline, but it is a loss.

Business Model

Allstate is an agent-based, so, while you can start a quote online, your policy will be purchased through your local agent.

Advertising

Allstate has been asking us, “Are you in good hands?” for the past 15 years, but they’ve been using “good hands” for their motto much longer than that.

The most recent Allstate campaign has featured the personified Mayhem. The message? Mayhem happens and if your insurance isn’t good, you won’t be protected from it. Actor Dean Winters narrates accidents as everything from a teen girl to a cat reeking destruction. While many consumers also enjoy a good laugh, it makes the point: you need good insurance to protect you form unexpected Mayhem.

Investment in the Community

Allstate has long been involved with local community service projects. Since 2011, 78,000 agents and employees have logged over one million volunteer hours completing over 7,500 projects. Of note:

• Purple Purse – focused on ending domestic violence
• Reality Rides – focused on helping people realize the dangers of distracted driving
• SaferLives – focused on disaster preparedness

Allstate is the largest publicly owned personal lines insurer in the country.

Allstate’s Position for the Future

Allstate isn’t going away anytime soon. They’re the fourth largest car insurer by market share in the U.S. Their financial stability is solid and positive. In fact, currently, analysts are recommending buying stock in Allstate because the next 12 months look promising.

So, while their private passenger auto insurance market share has been decreasing, their stock has been increasing in value.

Progressive and Allstate grew in parallel motion from 2013 until 2015 when Allstate’s growth leveled off and Progressive’s surged up.

For a long time, Allstate was the second largest insurer behind State Farm, but five years ago, they lost that position to Geico, and in 2017 they gave up their third-place spot to Progressive. How are Geico and Progressive different from Allstate? There are a couple of key distinctions:

• Geico and Progressive offer internet-based policies rather than Allstate’s agent-based model.
• Allstate’s focus on high profit-margins over lower rates.

According to Steven Daniels in Crain’s Chicago Bussiness, when asked on a Nov. 2 analyst call whether the ‘excess’ profits Allstate was earning would lead to rate cuts in order to reverse market share declines, CEO Tom Wilson said, “We don’t view margin as excess or short or anything. We thought we earned a good return on our auto business; we think the work we’ve done has been accurate and it’s fair to our customers as opposed to excess.” Allstate still holds nearly 10 percent of the market share for car insurance, and they’re not going anywhere. They have been around for a long time and built their reputation on a solid foundation. They’re a solid contender and a reputable choice for car insurance.

Coverage Available

Since Allstate is one of the major insurers nationwide, it’s not a surprise that they offer just about every kind of insurance you could need for your vehicle. On top of a wide range of auto insurance options, they also offer home, life and boat insurance, among many others.

Whatever kind of car insurance coverage you’re looking for, Allstate has something that should meet your needs.

• Collision Coverage – For your own vehicle repairs or replacement following a crash
• Comprehensive Coverage – For your own vehicle repairs or replacement following theft or damage from storms, collision with an animal, and more
• Liability Coverage – For the damage you cause to another party
• Medical Payments Coverage – For medical and funeral expenses of those in your vehicle
• Rental Reimbursement Coverage – Pays for a rental vehicle while yours is in the shop
• Uninsured and Underinsured Motorist Coverage – Pays for your expenses if the at-fault driver has no or not enough insurance
• Sound System Insurance – Pays for stolen or damaged audio and visual equipment
• Roadside Coverage – Covers common roadside services like tire changes and jump-starts
• Personal Injury Protection – Pays expenses from accident-related injuries for yourself and your passengers
• Personal Umbrella Policy – For additional liability coverage
• Property Protection Coverage – For damage you cause to another’s property

In addition to these standard options, they offer some specialty options:

• Classic Car Insurance – For antique or classic cars needing unique coverage
• Ride Sharing Coverage – Coverage as low as $15-$20 annually to cover gaps that arise in ridesharing
• Mexico Tourist Auto Insurance – Protection that will cover you while driving in Mexico

Bumper-to-Bumper Basics is a short quiz Allstate offers. If you’re unsure what coverage you need, this quiz will conclude with Allstate’s recommendations for the type and level of insurance that would best meet your needs.

We’re focusing on the car insurance part of Allstate, but you should know that they also offer:

• Home
• Renters
• Condo
• Motorcycle
• Business
• Life
• Roadside
• Boat
• Motorhome
• Snowmobile
• ATV
• Pet
• Event
• Landlord
• Retirement & Investments
• Voluntary Employee Benefits

Bundling different types of coverage from Allstate will yield a discount.

Allstate Programs

Allstate’s rates tend to be above average, as we’ll show you later, but they have some great programs that may help offset the cost.

Accident Forgiveness

https://www.youtube.com/watch?v=nnGWqyAYDYY

Accident forgiveness is an option you can add to your coverage. It does just what you think. If you have one accident, it will be “forgiven” and you won’t pay increased rates. Of course, you will pay a higher rate to get that type of coverage in the first place, though.

New Car Replacement

Similar to adding accident forgiveness, this option will cost more per month than a standard policy.

If you’re considering GAP coverage to make sure you’re covered for the difference between what you owe and what your car is worth should your car be totaled, new car replacement would eliminate the need for GAP, at least for the first two years of owning the vehicle.

Safe Driving Bonus

If you add this to your coverage, you will receive a check every six months you don’t have an accident. Additionally, you can earn deductible rewards that knock $100 off your deductible every year you don’t have an accident, up to $500.

Cellcontrol

Cellcontrol is offered by Allstate, but you don’t have to have an Allstate policy to purchase. It’s especially promoted to parents of teen drivers but it can be an effective safety tool for any age. With Cellcontrol, drivers won’t be able to use handheld electronic devices while driving.

Drivewise

Drivewise is Allstate’s usage-based insurance program. While other companies use a telemetric device that is installed in your vehicle’s diagnostic port, Drivewise is app-based.

The app accesses your location and movements. Signing up for Drivewise gives policy-holders up to a 10 percent discount, and every six months of good driving will get the policy-holder up to a 25 percent refund. Also, you can earn Allstate Rewards points for participation.

Allstate Rewards is a fun program especially for those with a competitive streak. By completing challenges, you earn points which can then be used for gift cards are participating retailers, travel, auctions, and sweepstakes.

The challenges are completed by meeting safe driving criteria as measured by Drivewise.

Milewise

Pay-as-you-drive insurance is new to the car insurance world, but it’s becoming increasingly popular. Allstate offers their own version called Milewise.

Here’s how it works: You have a daily rate, added to that is your per-mile rate multiplied by your miles. That equals your daily cost.

Individuals who drive very few miles may save significantly with Milewise compared to a standard policy. For example, a person who drives 19 miles a week can expect to save 36 percent.

The more you drive, the less you can expect to save. If you drive more than 155 miles a week (8,000 miles annually), Milewise won’t offer significant savings and could end up costing you more than a standard policy.

Where Is An Allstate Auto Insurance Policy Available?

Allstate is available in all states!

Ridesharing Coverage

As previously mentioned, Allstate offers coverage for ridesharing. They’re one of the leading providers for this type of service and their coverage can be as inexpensive as $15-$20 a year.

Their coverage helps fill the gaps between what the rideshare company has for drivers and what personal policies cover. In short, when you drive for a rideshare company, normal auto insurance turns off as soon as you log into the app to drive. Unfortunately, your insurance with the driveshare company doesn’t start until you’re actually on a job, and it ends when you drop them off. Allstate Insurance’s rideshare insurance fills in the gaps to make sure you’re always covered.

Commercial Coverage

Allstate offers commercial coverage. If you’re planning to use your vehicle for a business purpose, Allstate has a plan for you.

Discounts

Here are some of the discounts offered with the savings advertised:

Our staff confirmed the following discounts not listed on Allstate.com. To determine the percentage savings, you will have to talk to your local Allstate agent.

• Life insurance – offered when auto and life insurance are both offered through Allstate
• Claim-free – offered when you haven’t made a claim for a certain number of years
• Defensive driver – offered to individuals over 50 years old who have completed a defensive driver course
• Low mileage – offered to individuals who travel few annual miles
• Military – offered to active and retired members of the armed forces
• Occupation – offered to individuals who work in specific fields
• Senior discount – offered to mature drivers
• Utility vehicle – offered for vehicles whose design is accomplishing specific tasks (as opposed to passenger vehicles)
• Farm vehicle – offered on vehicles used for farm activities
• Green vehicle – offered for vehicles that are electric or hybrid
• Vehicles equipped with the following:
  • Electronic stability control
  • Daytime running lights
  • Passive restraints
  • Vehicle recovery (eg OnStar, LoJack, Teletrak)

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Making a Claim

The reason you have insurance is for the financial protection it provides if you make a claim. The claim process and handling are critical to your satisfaction with an insurance company.

We’re going to let you know what you need to do to make a claim and show you how the process is and what current customers have to say about it.

Premiums Written and Loss Ratio

You can see that the premiums written indicate steady growth. The market share has demonstrated a slight decline even while the direct premiums written have experienced an incline. This indicates that even though Allstate is growing in revenue, that growth is not keeping up with inflation and population growth.

In other words, although the premiums written annually are increasing, they’re not increasing as fast as the industry is growing.

The loss ratio has been decreasing in recent years. This is good news for investors; the company is making more money while spending less paying claims.

Allstate’s loss ratio was 61.53 percent in 2017. What that means is that for every $100 earned in premiums, they paid $61.53 to claims. The rest went to overhead and shareholders.

The lower the loss ratio percentage, the less the money coming in goes back to the customer. This is good and bad. It’s good because it indicates solid financial standing and the ability to pay claims. If the ratio was close to or over 100%, the company would have to change rates to claims to keep from going bankrupt.

It’s bad for the consumer when the loss ratio gets too low because it indicates the company is earning more money for itself and investors, while possibly not providing the best value to the customer.

The ratios listed in the table above are not extreme and are in a safe range.

Ease of Making a Claim

Allstate enables claims to be made and tracked in several ways:

• Log in to My Account to file and track your auto insurance claim online.
• Use the Allstate Mobile App to start your claim and track it from anywhere.
• Call 1-800-ALLSTATE (1-800-255-7828) to file and track your claim from over the phone.
• Find an agent for help with your auto claim.

Earlier we listed the results from the Consumer Reports customer satisfaction survey. In all areas related to claims, Allstate received a rating of very good or excellent.

Car Insurance Rates

Allstate tends to be one of the more expensive major insurers. We partnered with Quadrant Data to bring you this information. There are several things to keep in mind.

1. First, your rate will differ from what’s listed below because there are so many variables
2. Allstate has good discounts and rewards programs that may help offset the higher prices

Here’s how Allstate’s annual rates compare nationally to other large insurers based on demographics. Remember, these averages are national, where you live could make a big difference in your rates.

In this table, you’ll see how Allstate’s state average annual premiums compare to other companies’. Allstate is available in all 50 states.

Rates Compared to State Average

Curious if Allstate is higher or lower than the average rates in your state? We’ll show you next. If you take the average rate in the U.S. for the top insurers and compare it to Allstate, you’ll see that Allstate is $872.07 dollars more expensive annually.

Overall, this table reveals that Allstate tends to be more expensive than average.

Allstate’s rates are higher than average in Michigan, as well, by a couple of thousand dollars annually.

Rates by Commute

If you can’t find your state in the chart above, it’s because the length of your commute doesn’t make a difference with Allstate rates.

Coverage Level Rates

While you’d expect that the higher the coverage you purchase, the higher the price you’ll pay, Connecticut doesn’t follow that mold. Connecticut rates are lower for medium coverage than for low coverage.

Credit History Rates

Michigan’s rates from Allstate are sky-high. Those with good credit could expect to pay $14,643 and those rates more than double for those with poor credit.

I think we can fairly assume no one is going to pay $34,826 a year for car insurance, so if you have poor credit and you live in Michigan, you can scratch Allstate off your shortlist.

Also of note is that in California, Hawaii, and Massachusetts, your credit score is not part of your rate calculation. With good, fair, or poor credit, you’ll pay the same.

The average credit score nationally is 675.

Insurers do not strictly use your credit score, instead, they pick and choose factors from your credit report and develop their own insurance credit rating. It is possible that if your credit score is borderline high, the insurer may consider your rating fair because of what numbers they pull and use.

Driving Record Rates

Typically, your rates will rise with each offense in this order: one speeding ticket, one accident, one DUI. There are, however some states that vary from this order:

• New York rates with Allstate don’t rise with an accident
• In Arizona, Mississippi, Missouri, North Dakota, and New York, a speeding ticket will affect your rates greater than an accident
• In Florida, Illinois, Indiana, Louisianna, New Hampshire, New Jersey, Pennsylvania, South Carolina, Virginia, and Wisconsin, an accident affects rates greater than a DUI
• In Maryland, a speeding ticket affects rates greater than a DUI

In New York, an accident on your record won’t cost you any more than a clean record.

How to Get a Quote Online

We have a lot of really great and helpful figures listed above to give you an idea of the rates in your area, but your personal information will differ from everyone else’s.

The only way for you to find out what your rates would be with Allstate is to get a quote. It’s a simple process, and we’ll show you everything you need to do:

Step One

Go to Allstate.com. Choose “auto” and any other insurance types you would like to bundle.

Click next, and you will be again asked if you’d like to bundle.

Your zip code will probably automatically come up, but you can enter it or change it manually. Click “Get Started.”

Step Two

Enter your personal information

• Name
• Birthday
• Gender
• Address
  • Have you lived at this address for more than two years?
  • Own, rent, or neither?
• Marital status
• Email address

Step Three

Enter your vehicle information.

• Vehicles (if you allow them to use public records, Allstate will automatically find any vehicles registered to your address)
  • When did you get this vehicle?
  • Was it new?
  • How is it used? (pleasure, commute, business)
  • Estimated annual mileage
  • Will it be used for ridesharing?
  • Where is it primarily parked?
  • Safety devices are automatically added
• Opportunity to add another vehicle

Step Four

Enter your job information.

• Work information
  • Occupation
  • Length of time at that career

Step Five

Enter your driving history information.

• Driving history
  • Accidents within five years
  • Violations within five years
• Opportunity to add another driver

Step Six

Choose the level of coverage you desire.

• Choose Coverage
  • Less
  • Balance
  • More

Step Seven

Enter your phone number to receive a quote. If you do not wish to enter your number, you are prompted to call an Allstate agent to get your quote.

You cannot actually receive a quote online from Allstate. You can give all your information but you must personally speak with an agent to get a quote.

A phone call should not take long since the agent should be able to retrieve the information you filled in online.

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Allstate App

The Allstate app has 4.8 out of five stars in the app store and has over 200K reviews. If you go with Allstate for your car insurance, the app is a valuable tool to download.

Many of the critical reviews centered around Drivewise and hard braking. Customers are concerned the app is docking them for hard breaking when they’re not. Allstate is quick to respond that occasional hard braking will not hurt your good driving discount because they know hard braking may sometimes be necessary.

Here are some of the biggest benefits of having the app:

• You can keep an always up-to-date electronic insurance card in there. Most states accept electronic proof of insurance.
• The app allows you to take pictures of damage in the app so they’re right there if you need to make a claim.
• Another feature is easy to access roadside assistance.
• Drivewise is only available on the app. If you want to tap into the potential savings from using Drivewise to monitor your driving, you’ll need to download the app.

Allstate Website

Allstate’s website is what you would expect from one of the leaders in the car insurance market. It is loaded with information from company history, to coverage available. It’s easy to navigate.

One area in which Allstate stands out is its informational resources. Their blog is loaded with helpful articles concerning topics from new car buying tips to spring cleaning advice.

Their youtube channel has a video to answer almost any question or concern you have. And it’s available to everyone, not just customers.

Big Picture

To summarize, Allstate tends to have higher rates than average. They’re not your bargain company, but they offer many discounts and programs that could help you get to a rate within your budget.

Their ratings are good in the areas of finance and customer satisfaction.

They’re one of the largest insurers in the country and although their market share has fallen in recent years, there is no indication that they will remain anything but a stable option for car insurance.

Get quotes today to find out how much you could save on car insurance. Our comparison tool is free, just enter your zip code to begin.

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Frequently Asked Questions

Here are some answers you may be trying to find:

Is Drivewise available everywhere?

Anyone – even non-customers – can download Drivewise, but the insurance feature is not available in all states. New York residents are not eligible for Allstate Rewards.

How do I cancel an Allstate policy?

Call your agent and tell them you’d like to cancel.

How do I find a local Allstate agent?

Do a web search for Allstate near your location. Or visit Allstate’s find an agent page.

How many households does Allstate service?

Sixteen million

Is Esurance owned by Allstate?

Yes