Allstate Auto Insurance Review
Allstate ranks among the largest and most complete providers of insurance in the United States, but the company is best-known as an affordable provider of automobile coverage. The company’s huge nationwide marketing presence has helped make it one of the best-known insurers in the industry, but how does it measure up in the market and is it worth your consideration?
In this guide, we will answer these and many other questions you may have about Allstate’s complete lineup of automobile insurance products.
Originally part of the Sears, Roebuck & Company corporation behind the iconic Sears department store chain, Allstate emerged as a standalone entity in 1993.
Allstate operates nationally in the United States, and also offers some types of personal insurance to consumers in Canada. As of year-end 2019, Allstate had more than 45,700 employees and was a member of Fortune magazine’s storied Fortune 100 list of the largest and most valuable corporations in America.
Types of auto insurance available through Allstate
As a major nationwide provider, Allstate offers all major forms of conventional and standard auto insurance, including:
- Liability coverage
- Comprehensive coverage
- Collision coverage
- Medical payments coverage
- Personal injury protection (PIP) coverage
- Uninsured and underinsured motorist coverage
You can also purchase specialized policies for:
- Contract drivers for rideshare companies like Lyft and Uber
- Off-road vehicles
- Sound systems
- Roadside assistance
- Rental car reimbursement
Coverage options and add-ons
Allstate also features many different types of optional coverage and add-ons to standard auto insurance policies. Most of them are very modestly priced, and include:
- Accident forgiveness, which guarantees your premiums will not go up after one accident even if you were at fault
- Safe driving cash-out program, which delivers a bonus payment every time you go six months without an accident
- $100 off your deductible every time you go a year without a traffic violation until your deductible goes down by $500
- Various levels of roadside assistance, from pay-per-use plans to complete 24/7/365 protection that functions like a subscription to AAA
- A new car replacement program, which will reimburse you for the full cost of a new car if you total your current new vehicle within the first two years of ownership
Some Allstate plans also come with bonus features, which are included at no extra cost. Depending on where you live and what type of coverage you buy, these may include:
- Car-buying assistance that helps you secure the lowest possible price on your next vehicle purchase
- Credits applied to your premiums (for up to six months’ worth of coverage) for customers who were dissatisfied with how their claim was handled
- Reduced rates for drivers who don’t put much mileage on their cars (not available nationwide)
- A “Drivewise” program that delivers discounts of up to 10% for allowing Allstate to remotely monitor your driving tendencies, with further discounts of up to 25% off every six months if you maintain safe habits
In March 2020, U.S. News & World Report published a comprehensive analysis of Allstate’s nationwide pricing trends for auto insurance. Here is what customers meeting specific demographic profiles paid for a year of Allstate car insurance, on average:
- Single female, age 25: $2,012.48
- Single male, age 25: $2,097.41
- Married female, age 35: $1,853.99
- Married male, age 35: $1,838.24
- Married female, age 60: $1,716.82
- Married male, age 60: $1,763.31
The publication also tracked rates according to the average annual mileage accrued by the policyholder, revealing the following nationwide trends:
- 6,000 miles per year: $1,836.09
- 12,000 miles per year: $1,880.37
Credit ratings can also affect insurance premiums. Here’s how credit scores in various ranges affected Allstate’s national average rates:
- Good credit: $1,900.55
- Fair credit: $2,220.45
- Poor credit: $3,024.81
Finally, here’s a snapshot of the average annual premiums paid nationwide by people with various driving records:
- Clean driving record: $1,880.37
- 1 speeding ticket: $2,211.75
- 1 accident: $2,673.09
- 1 DUI conviction: $3,251.65
Actual rates are affected by many other variables, including your location, profession, age, marital status, the amount and type of insurance you purchase, and others. These figures are only reported to give you an idea of what Allstate customers typically pay. Your actual quotes and rates may differ.
Bundles and discounts
Customers who bundle multiple types of insurance with Allstate enjoy handsome discounts that can add up to hundreds of dollars per year. They apply to any customer who combines their auto insurance with another type of coverage offered by Allstate, a list that includes:
- Home insurance
- Renters’ insurance
- Motorcycle insurance
- Off-road vehicle insurance
- Term life insurance
You may also qualify for a discount off the regular cost of your policy if you meet one or more of the following criteria:
- You own a new car
- Your car has anti-lock brakes
- You have an anti-theft device
- You set up automatic payments and/or go paperless
- You pay for your entire policy up front
- You have a proven track record of safe driving
- You are a student with good grades (honor roll, dean’s list)
Allstate does not automatically apply every discount to which you may be entitled, so be sure to follow up with a company representative if you match one or more of these criteria.
Pros and cons
In curating this list of pros and cons, researchers considered multiple reviews in addition to hundreds of user-generated reactions from real Allstate customers. If you’d like to supplement it with your own research, look for general trends. Don’t worry too much about any one opinion, whether it’s positive or negative.
Here’s what reviewers and customers particularly like about Allstate:
- Its claims process is easy to navigate, especially compared to major competitors
- Friendly, helpful customer service
- Strong financial standing and nationwide presence
- Complete range of standard auto policies
Commonly cited drawbacks and downsides include:
- Coverage is relatively expensive for a major provider
- Prices are very high for people with poor credit scores and serious driving infractions, like DUI convictions
- Its optional coverages and policy add-ons aren’t as complete as those offered by some competitors
What others are saying about Allstate
As of September 2020, Allstate holds a perfect A+ rating with the Better Business Bureau (BBB).
On the whole, Allstate seems to generate a lower volume of complaints with state-based insurance industry regulators than most other major insurance companies. This speaks to the quality of its customer service and claims process, both of which scored significantly better than average.
The bottom line
Allstate is one of the largest, most reliable, and best-known car insurance providers in the United States. It has a highly visible nationwide presence, which includes thousands of agents and customer service representatives. Allstate is also on very strong financial footing, something you should always look for in an insurance company.
Allstate’s rates may be a little higher than you could find from a competitor, but it also has a much better customer satisfaction record and its claims process appears to be much easier to navigate. You would do well to consider Allstate as your car insurance carrier, especially if you’re able to absorb slightly higher premiums in exchange for better service.