Allstate Auto Insurance Review: Car Insurance Ratings You Need to Know

When you think of Allstate, the phrase “You’re in good hands” spoken in the dynamic bass voice of its spokesperson, Dennis Dexter Haysbert, often comes to mind.

As a corporate entity, Allstate has received many awards showcasing its commitment to employees and the community, including “One of the World’s Most Ethical Companies” and “Top 50 Companies for Diversity.”

Allstate has a wide selection of coverage choices to help you create a policy that is just right for your situation.

A few of the basic options are listed below:

  • Medical Payments Coverage: This type of coverage pays the medical expenses that you, a family member, or other occupants of an insured vehicle may incur.
  • Underinsured Motorist Coverage: This coverage pays property damage and bodily injury expenses if you’re in an accident where the at-fault person has no insurance or if the accident exceeds their coverage limit.
  • Comprehensive and Collision Coverage: This coverage is expressly for your vehicle and includes accidents and theft. Many lending institutions require this type of coverage on financed vehicles.
  • Liability Coverage: This all-important coverage protects you against claims that may ensue following an accident in which you’re at fault, involving your vehicle or a vehicle you’re driving.

Allstate Insurance Review: Claims Satisfaction

allstate car insuranceOnce your policy is created you may only occasionally touch base with your Allstate representative to make adjustments that coincide with life changes such as adding teenage drivers, or more cars. If you need to file a claim, this may bring a whole new dynamic to the insured-insurer relationship.

According to the J.D. Power Allstate insurance reviews, Allstate has received an about average rating in most claim filing categories with a higher than average performance in the estimation process and the repair process. These Allstate insurance ratings put the company smack in the middle of the field, just edging out Nationwide and American Family and slightly below GEICO.

To define the study J.D. Power looks at eight key elements of claims servicing and divides them into three KPI categories. Two of the elements looks at the timeliness of claim servicing, two deal with the customer/insurer interaction and the remaining four focus on communication.

Overall Customer Satisfaction

Although claims servicing often gets the most attention, other interactions with your insurance company can also leave an impression, both for bad and good. Communication is key here. How well your company answers your questions and handles complaints goes a long way toward creating customer satisfaction.

The J.D Power shopping study contains Allstate insurance ratings that relate to overall satisfaction, policy offerings, pricing, and call center responses. Allstate has received an about average score in local agent and call center representation but lower than average for all other categories putting them below Metlife and Travelers.

Allstate fares quite well regarding actual complaints according to the California Complaint Ratio Study. The analysis is based on complaints originating in California as it represents the U.S.’s most populated state. In the study, Allstate is ranked number 11 out of 50 and has received 50 justified complaints. With its total claim exposure at 1,978,516, this creates a justified complaint ratio of 2.5 which puts Allstate in the top 22 percent of the group.

Pricing

A multitude of variables can influence car insurance premiums, including the make and model of the vehicle, where you live, and your age and gender.

For comparison purposes, let’s look at the following scenarios:

  1. Single Female (Age 25) – One car, one violation and one no-fault accident in the preceding 3 years, work driving use – 12,000 miles per year – living in Miami-Dade County, Florida
  2. Single Male (licensed 9 to 15 years) – one car (Toyota Camry), no violations, driving around 12,600 – 15,000 a year living in San Francisco County, California.

For scenario one, which is located in Florida, Allstate pricing comes in at number 12 out of 20 companies with the minimum mandated insurance costing $1,924 and complete coverage reaching $5,442. Both figures are about halfway between the highest cost of Direct General Insurance Company ($4,866 and $9,036 respectively) and the lowest cost of United Services Automobile Association ($576 and $2,442 respectively).

Option two involving the single male residing in California brings similar result with Allstate resting again in the middle of the pack. The lowest premium for the minimum required insurance is courtesy of Lova at $567 and the highest belongs to Viking at $1,990. The Allstate quote estimate comes in at $1,230 which is close to the median of $1278.50

Financial Strength

Individuals looking for car insurance may often overlook researching the financial strength of their potential company. In the advent of a large disaster, you need to know that your insurance company is able to pay the filed claims.

The Insurance Information Institute provides tips on how to understand the rankings that companies receive from the five independent rating agencies (Moody’s Investor Services, A.M. Best, Standard & Poor’s, and Fitch).

A quick look at a few of the ranking companies provides good results for Allstate’s financial strength. Moody’s Investors Service has given Allstate an A3 senior ranking in both debt rating and insurance financial strength with a stable outlook.

A.M. Best provided a Financial Strength Rating (FSR) of A+ (Superior) and the Long-Term Issuer Credit Ratings (Long-Term ICR) of “aa-” with a stable outlook. Finally, Allstate received an AA- financial strength rating on its core insurance operating subsidiaries from Standard and Poor’s.

With this info in hand, you should be able to get a clear picture of this reliable company that has been servicing clients for over 85 years. Use this background research to help you search for dependable, affordable car insurance.

*While we make every effort to keep our site updated, please be aware that “timely” information on this page, such as quote estimates, or pertinent details about companies, may only be accurate as of its last edit day. Huntley Wealth & Insurance Services and its representatives do not give legal or tax advice. Please consult your own legal or tax adviser.