Allstate Auto Insurance Review
Allstate Auto Insurance Review
Good for
- Drivers who want a good network of agents for personal service
- Long list of available discounts on insurance premiums
Bad for
- Drivers searching for the lowest rates at the expense of personalized service
- Drivers who don't need an agent
Find the Cheapest Auto Insurance Quotes in Your Area
Allstate, while it offers many interesting discounts and features, should not be the first option for most drivers based on our analysis of several driver types. Rates from Allstate can cost more compared to other insurers, and claims handling and customer satisfaction tend to be average. In this review we evaluate Allstate on its affordability, claims handling, coverage options, shopping experience and discount programs, and see how it compares to others.
In This Review
Allstate Review: Usually Expensive for Average Service
Based on the profiles we studied, we would suggest most drivers explore other companies before checking out Allstate. While the company is the third largest auto insurer in the country, we've found that it is relatively more expensive for our profiled drivers, and has average customer satisfaction and claims handling. You want the service you get from your auto insurer to exceed or equal the price you are paying for it, and at Allstate that bar is a little higher. You can see how Allstate compares on quotes per year across four different profiles of driver below.
| Profile | GEICO | Allstate | State Farm | Progressive |
|---|---|---|---|---|
| 30 Year Old Male, No Accident | $1,112 | $1,570 | $1,327 | $1,260 |
| 20 Year Old Female, no accident | $5,138 | $8,269 | $4,521 | $6,926 |
| 30 Year Old Married Couple, No Accident | $1,109 | $1,641 | $1,313 | $1,386 |
| 30 Year Old Male w/ Accident | $1,904 | $2,491 | $1,788 | $1,605 |
While the "In Good Hands" and "Mr. Mayhem" insurance company advertises several popular features like accident forgiveness, vanishing deductibles and other various discounts, the savings they bring usually will not make Allstate cheaper than other auto insurers like GEICO and Progressive on an absolute basis. Customer surveys report that Allstate provides slightly better service, but it usually is not that significantly better than competitors like State Farm for the price.
Allstate's best feature is its extensive agent network thats lets people who want to buy insurance through an agent do so easily. We would say however, that drivers who want Allstate's agent network consider a State Farm policy first instead. State Farm is cheaper in most of the cases in our analyses, and while its service is not highly regarded either, at least you won't be breaking the bank for it.
| Company | Affordability | Claims Satisfaction | Coverage | Shopping | Discounts | Total |
|---|---|---|---|---|---|---|
|
Progressive | 5 | 3 | 4 | 5 | 5 | 4.0 |
| State Farm | 4 | 2 | 5 | 5 | 5 | 3.5 |
| GEICO | 5 | 3 | 4 | 5 | 4 | 4.0 |
| Allstate | 2 | 4 | 5 | 4 | 5 | 3.0 |
| Erie | 5 | 5 | 5 | 5 | 4 | 5.0 |
Allstate Auto Insurance Quote Comparison
Of the four major auto insurers, Allstate is by far the least affordable for the driver profiles we explored. In the 2,150 cities we surveyed, we found Allstate mostly falls between the 6th and 10th most affordable insurer for our sample profile 30 year-old driver. Allstate was the cheapest insurance company in less than 3% of those 2,150 cities.
Find the Cheapest Auto Insurance Quotes in Your Area
Allstate's Car Insurance Rate Hikes
Allstate made waves in 2016 when it requested a 25% rate hike in Georgia--one of the highest requested hikes of the year. Overall, since 2012 Allstate has cumulatively raised its rates by about 20.5% nationally - nearly 2% over the national average and the highest amongst the big four insurers. Premiums have been hiked for every major auto insurer across the country--even for drivers without claims--due to a uptick in accidents and inclement weather.
| Year | GEICO | Progressive | State Farm | Allstate |
|---|---|---|---|---|
| 2012 | 2.2% | 4.5% | 1.1% | 2.7% |
| 2013 | 2.6% | 0.7% | 2.4% | 1.6% |
| 2014 | 2.9% | 2.0% | 2.8% | 2.8% |
| 2015 | 5.2% | 0.4% | 2.3% | 3.9% |
| 2016 | 3.0% | 2.3% | 5.1% | 5.9% |
Allstate Claims Satisfaction Review
Allstate, while the most expensive of the largest insurers, has an average claims handling rating from J.D. Power's customer survey. Of the 28 largest auto insurers surveyed by the group, Allstate was the 10th best for claims handling. Progressive, GEICO and State Farm were ranked 14th, 18th and 21st respectively by contrast. The categories for which the companies were evaluated were all about average for Allstate, with the exception of its rental car reimbursement experience, which was rated a 4 of 5 stars.
| Company | Initial Claim Reporting | Service | Appraisal | Repair | Rental Car | Settlement |
|---|---|---|---|---|---|---|
| GEICO | 3 | 3 | 3 | 3 | 3 | 3 |
| State Farm | 3 | 3 | 3 | 3 | 2 | 3 |
| Allstate | 3 | 3 | 3 | 3 | 4 | 3 |
| The Hartford | 5 | 5 | 4 | 5 | 4 | 5 |
Like with all auto insurers, the quality of claims handling actually varies depending where in the U.S. you live. According to J.D. Power, Allstate's claims handling is above average in New England, and superb in Texas. It is below average however in the midwest and southeast. If you live in those areas, Allstate, compounded with its expensive price tag, doesn't make quite a compelling argument.
Complaints
According to NAIC complaint data, customers of Allstate complain less than the national average for complaints received by auto insurance companies. Allstate's "Claims Satisfaction Guarantee" may help in reducing the number of complaints lodged against the insurer. With the guarantee, the insurer gives customers a six month credit for their premium if they have a dissatisfactory claims experience.
Allstate Coverage Options
Allstate offers all the standard coverages you need from an auto insurer. It doesn't have as many bells and whistles as Progressive or GEICO, but Allstate offers rideshare insurance for Uber and Lyft drivers. Where Allstate distinguishes itself from its competitors is the Your Choice Auto program which adds several coverages to drivers that are uncommon at other insurers.
| Coverage | Does Allstate Have It? |
|---|---|
| Liability | |
| Physical Damage | |
| Uninsured Motorist | |
| Roadside | |
| Rideshare | |
| Rental Reimbursement | |
| Gap Insurance* | |
| Pet Damage | X |
| Locksmith Services | X |
| Custom Parts and Replacement | X |
Allstate's Your Choice Auto®
Accidents can happen to anyone, and Allstate has an optional program called Your Choice Auto® in place that recognizes and rewards safe driving. We calculate that it costs about 12 - 18% on top of the standard policy premium, but can be a net 7 - 13% increase when factoring in the safe-driving bonus. Your Choice Auto allows qualified customers to save with the following features:
Safe Driving Bonus Check: receive a check of up to 5% of your previous 6-month premium cost for every 6 months of accident free driving nationally (except for policies in New York, where the Safe Driving Bonus is offered in the form of a discount).
Accident Forgiveness: Allstate waives the typical premium increase and accident surcharge when you get into an accident. The scope of forgiveness (major vs. minor accident) varies by the insured’s driving history and number of years as an Allstate customer. Depending on the level of the plan and the driver's accident-free record, this can mean one to several accidents forgiven over the course of three years without an increase in rates nor removal of the Good Driver Discount. However, for drivers insured in California, the Accident Forgiveness feature is limited, and you could still lose the Good Driver Discount.
Deductible Rewards: Allstate shaves $100 off your collision deductible when you sign up, and takes an additional $100 every year you're accident-free, up to $500 off in total.
New Car Replacement: if you bought your new car in or after 2012, and it got totaled within its first three model years, Allstate will send the main policyholder a check at the vehicle's purchase price – as opposed to the depreciated value which can be significantly lower.
Buying an Allstate Auto Policy
Buying auto insurance through Allstate is most similar to buying insurance from State Farm. You can start a quote online and then finalize it with an agent, or you can call or go to an agent directly to get a policy. Allstate requires everything to go through an agent, which can be less desirable for people wanting a quick transaction and process. If you want a total online experience, we'd suggest GEICO, Progressive or Esurance (which is actually a subsidiary of Allstate). All 15,000 Allstate agents only work for Allstate--they do not sell products from other insurance companies--and they are meant to give you a superior customer experience.
Allstate does have a "Bumper to Bumper Basics" tool which lets you fill in some information about yourself to determine how much coverage you should purchase. While the tool will be helpful for those new to auto insurance, because your quote ultimately will go through an agent, they will probably be better at assessing how much coverage you should have.
Auto Insurance Discounts at Allstate
Another aspect we like about Allstate's offering is its plethora of discounts, which can range up to the higher end compared to other insurance companies we've reviewed. In a comparison of 12 major national companies, we found that Allstate tended to offer the most number and different types of auto insurance discounts. The Drivewise Program from Allstate is also noteworthy, as it rewards low mileage drivers similar to Progressive's SnapShot program. Be sure to ask your agent if you qualify for any of these discounts when getting your quote from Allstate, and how many of them you can stack together.
|
Discount Type | Discounted Coverage | Amount |
|---|---|---|
|
Anti-Lock Brakes Discount | BI, PD, PIP/Med, Coll | 10% |
|
Safe Driver Bonus* | BI, PD, PIP | 5% |
|
Good Payer Discount | All | 5% |
|
Homeowner Discount | BI, PD, PIP, Coll, Comp | 5% |
|
Multiple Policy Discount | All | 10% |
|
Passive Restrain Discount | PIP/MED | 10% |
|
Premier Discount | All | 22% |
|
Premier Plus Discount | All | 35% |
|
Drivewise | All | 10 - 40%** |
|
Senior Adult Discount | PIP/MED | 10% |
|
55 and Retired Discount | BI, PD | 10% |
|
Resident Student Discount | BI, PD, PIP | 20% |
|
The Good Hands People Discount | All | 10% |
|
Defensive Driving Course Discount | All | 10% |
|
Fullpay® Discount | All | 10% |
|
Smart Student Discount | All | 5% |
|
Allstate eSmart® Discount | All | 10% |
|
Early Signing Discount All | 10% | |
|
Allstate® Easy Pay Plan Discount | All | 5% |
|
Anti-Theft Discount | Comp/Comp+Full Glass | 2 - 10% |
|
New Car Discount | Coll, Comp | 8 - 10% |
|
Daytime Running Lights | BI, PD, PIP/Med, Coll | 3% |
|
Utility Car Discount BI, PD, PIP | 15% | |
|
Economy Car Discount | BI, PD | 10% |
|
Farm Vehicle Discount | BI, PD | 10% |
Drivewise Program
Allstate’s version of a usage-based discount program, the Drivewise® program rewards policyholders based on their actual driving collected through Allstate's device. Allstate agents claim that drivers could receive premium reductions up to 40% by: A. Signing up with the program and getting a 10% policy discount and B. driving safely for six months (i.e., staying below 80mph and avoid driving late at night). Of course, how much you save with Drivewise® is subject to your driving behavior.
Furthermore – and this is why we called it double rewards – by downloading the Drivewise® mobile app, drivers will simultaneously earn “safe-driving” points and can redeem them for different merchandise, products, and gift cards through the Allstate Rewards program. Unfortunately for New Yorkers, we could not find Allstate Rewards available in the Empire State.
The Drivewise program is only available in 28 states at the moment, consisting of: Arkansas, Arizona, Colorado, Connecticut, Florida, Hawaii, Illinois, Indiana, Louisiana, Kentucky, Massachusetts, Maryland, Michigan, Minnesota, Missouri, Mississippi, New Jersey, New Mexico, Nevada, New York, Ohio, Oklahoma, Oregon, Pennsylvania, Tennessee, Utah, and Washington. To find out more, click on the previous link, or call the Drivewise Program Customer Service telephone number: 1-877-431-7670.
Allstate's Claim Satisfaction Guarantee
Another great feature from Allstate, though technically not a discount, is the claims satisfaction guarantee. If for any reason policyholders are unhappy with their claims payout or experience, Allstate aims to make good on their guarantee and grant a six-month credit towards the insured's premiums. The requirements include:
- The auto insurance policy and the Claim Satisfaction Guarantee are active on the day of the covered loss
- Allstate has made a payout to or on behalf of the policyholder, and
- A written letter is mailed via First Class within 180 days of the accident explaining the dissatisfaction
There are some particulars in terms of which six months the credit gets applied to, and various states were phased in from 2011 - 2012, but otherwise the guarantee appears straightforward. As of April 2012, this feature is in force in the District of Columbia and forty states, including such markets as New York, New Jersey, and Texas. The states not covered as of publication time are California, Alaska, Florida, Hawaii, Kentucky, Maryland, New Hampshire, North Carolina, North Dakota, and Washington. It is rare to not obtain a payout within the first six months. But even if, for example, the insured vehicle is parked at an auto repair shop waiting for extra parts past the six month period, customers can still submit letters. Allstate agents say that the guarantee is on the more flexible side when there is sound cause for dissatisfaction.
Where is Allstate Available?
Allstate is the third largest auto insurer in the country and is available in all 50 states. You are likely to be able to find an Allstate agent close to your town. Below are the five states with the most Allstate policyholders.
| State | # of Allstate Policies in 2017 |
|---|---|
| California | 1,200,000 |
| Texas | 1,088,000 |
| Florida | 878,000 |
| New York | 794,000 |
| Pennsylvania | 558,000 |
Methodology
Our score for Allstate was derived by our assessment of the company's affordability, claims handling, coverage, shopping experience and discounts. Affordability and claims handling were weighed out of 30 points, coverage out of 20 points, and shopping and discounts out of 10 points for a total of 100.
Editorial Note: The editorial content on this page is not provided or commissioned by any financial institution. Any opinions, analyses, reviews, statements or recommendations expressed in this article are those of the author’s alone, and may not have been reviewed, approved or otherwise endorsed by any of these entities prior to publication.