Geico auto insurance review and ratings 2024

Our take: Geico, a division of investment giant Berkshire Hathaway, has some of the lowest rates on average compared to the three other top auto insurers, State Farm, Progressive and Allstate.

Its auto insurance policies are available in all 50 states, and its usage-based insurance program, DriveEasy, earned better-than-average ratings from consumers in a survey by research firm J.D. Power. On the other hand, Geico received below-average ratings from drivers when J.D. Power asked about auto claims satisfaction.

Before making any decisions, Lauren McKenzie, an A Plus Insurance broker/agent based in Sierra Vista, Arizona, advises consumers “to obtain quotes from several insurers…. Different companies may offer better deals for different types of drivers, so exploring various options is essential to make the most financially sound decision.”

She also says insurance shoppers should check on each company’s financial stability, customer service record, and fee structure.
 

How we compared Geico

We examined a series of industry benchmarks, including the annual J.D. Power Customer Satisfaction Survey, the AM Best rating for financial stability, the CRASH Network’s annual review of insurers by body shops, and the National Association of Insurance Commissioners Complaint Index.

We then looked at what often matters most to consumers: car insurance rates. Here’s how Geico fared compared to its three largest competitors, Allstate, Progressive, and State Farm.

Geico versus other top auto insurers

Who are the biggest auto insurers?

The U.S. auto insurance sector is massive by any scale, but the top four companies claim an outsized percentage of the market. Together, Allstate, Geico, Progressive and State Farm control about 56% of the market.

According to the National Association of Insurance Commissioners (NAIC), Geico ranks third among the top auto insurers with approximately $40 billion in premiums written in 2023, behind market leader State Farm, which had $58 billion.

How do Geico’s rates compare to other top insurers?

Geico is the cheapest of the four largest car insurance companies, based on our rate analysis. Its sample rates are cheaper than Allstate, Progressive and State Farm.

The rates below were collected from auto insurance comparison site CarInsurance.com for single, 40-year-old male and female drivers of a 2023 Honda Accord LX with a good insurance score and no violations on their record for the following: state minimum liability insurance, standard liability with coverage limits of 50/100/500, and full coverage with liability limits of 100/300/100 and a $500 comprehensive and collision deductible.

How does Geico rate in claims satisfaction?

While Geico’s sample premium rates are the cheapest among the big four, it didn’t score particularly well for claims satisfaction. Geico scored 692, which is below the study average of 697, in J.D. Power’s annual Auto Claims Satisfaction Study.

Geico also didn’t have a particularly strong reputation among body shops. The CRASH Network performs an annual survey of national body shops to rate their experiences in working with auto insurers on claims. Specifically, it asks, “How well does this company’s claims handling policies, attitude and payment practices ensure quality repairs and customer service for motorists?”

In its 2024 rating, CRASH gave Geico a C-minus grade. It should be noted, however, that none of the largest auto insurers managed to crack the top 10 ranking (the North Carolina Farm Bureau received the highest grade, A+). The best that any of the top four could do was Progressive, which earned a grade of

What is Geico’s financial stability?

Credit rating agency AM Best provides research reports and credit ratings on some 16,000 insurance companies worldwide. It grades them on their ability to pay claims, debts and meet other financial obligations.

All the major insurers have high grades with AM Best. Geico, along with State Farm, received the agency’s highest A++ (Superior) grade, while Allstate and Progressive have A+ (Superior) ratings.

Does Geico receive a lot of complaints?

Based on customer complaints filed with the NAIC, it has a better-than-average track record.

The NAIC rates companies based on how many complaints are filed with the commission. A score below 1.0, the industry benchmark, means it received fewer complaints than the industry average, while a score higher than 1.0 means it received a higher-than-average number of complaints.

Geico’s score was 0.64, which is much better than the industry benchmark. For comparison, Allstate and Progressive scored 0.65, and State Farm 0.7, meaning all had good track records.

What is Geico’s digital shopping experience like?

Research firm J.D. Power’s annual U.S. Insurance Digital Experience Study asks consumers to evaluate insurers’ online service and shopping offerings. In the service subcategory, Geico scored 668, below the study average of 698 and the lowest of the four largest insurers. In the shopping subcategory, it scored 519, just above the average of 516.

How is Geico for shopping in general?

J.D. Power says consumers increasingly interact with their insurers online, but some still prefer to do their shopping the old-fashioned way – by talking to people. In J.D. Power’s U.S. Insurance Shopping Study, Geico scored 656, below the average of 676, the lowest of the four major carriers.

Is Geico good at offering usage-based insurance?

Geico’s DriveEasy app uses your phone's sensors to log your driving behaviors, such as how hard you brake, how far you drive, and at what time of day. Geico then calculates your driving score and factors that into your insurance rate. DriveEasy is available in 38 states.

In the J.D. Power U.S. Auto Insurance Survey, drivers gave Geico better-than-average marks for its usage-based insurance program, with a score of 837, while the average was 821. Only Nationwide (842) scored higher.

Key offerings by Geico

Geico auto insurance coverages include:

• Collision
• Comprehensive
• Liability
• Medical payments
• Uninsured and underinsured motorist coverage
• Roadside coverage
• Personal injury protection
• Personal umbrella policy
• Rental reimbursement

While it is best known for its auto insurance policies, Geico has a few other lines of insurance, including homeowners, condo and renters insurance, and a limited number of term life insurance policies through non-affiliated companies.

It also offers policies to cover your motorcycle, boat, trailer or ATV.

Making the choice: Why go with Geico?

Geico offers all the advantages of dealing with a large, financially secure insurance company, plus cheaper rates on average than its biggest competitors. If you drive infrequently, its usage-based DriveEasy insurance gets good marks from consumers. The company also has a better NAIC Complaint Index score than its closest competitors.

Before you sign up: Things to consider

Geico sells a wide range of car insurance products, but there are few coverages it does not offer. One of those is gap insurance. Gap insurance is designed to cover the difference between what your vehicle is currently worth (which your insurance will pay) and the amount you owe on it. If you have a car loan or lease, your financing agent may require that you obtain coverage.

Similarly, Geico doesn’t offer new car replacement insurance. This extra-cost coverage will replace your vehicle with a new car of the same make and model should your current auto be stolen or declared totaled.

Geico car insurance – Our expert verdict

When it comes to shopping for car insurance, one of the most important factors for consumers is low rates. On that score alone, Geico is a winner. It also offers a wide range of discounts for drivers, which means you could pay even less for coverage. While its reputation for auto claims could use some work, its strong customer loyalty record indicates most have been happy.

Methodology

Editors collected rate information from auto insurance comparison site CarInsurance.com for single, 40-year-old male and female drivers of a 2023 Honda Accord LX with a good insurance score and no violations on their record for full coverage insurance policy with liability limits of 100/300/100 and a $500 comprehensive and collision deductible.

In addition, we also calculated rates for these hypothetical drivers, but with one or more of the following on their record: speeding ticket, at-fault accident, DUI/DWI, poor credit history, or a lapse in coverage.

We analyzed more than 53 million quotes, over 34,000 ZIP codes, and 170 insurance companies nationwide.

Note: 100/300/100 means up to $100,000 for the medical bills of those you injure, up to $300,000 per accident for bodily injury liability for all persons injured in one accident, and $100,000 to repair other drivers’ cars and property you damage.

AM Best’s Financial Strength Ratings (FSRs) are an independent assessment of an insurer’s financial strength and ability to meet its policy and contract obligations. Best’s FSRs are based on a graded scale from A++ (Superior) to D (Poor). For more information, visit AM Best’s ratings guide. For the latest AM Best credit ratings, visit www.ambest.com 

The National Association of Insurance Commissioners (NAIC) Complaint Index analyzes consumer complaints submitted to state insurance departments. The Complaint Index is used to compare a company’s performance to others in the market. The National Complaint Index is benchmarked at 1.0. For example, a company with a score of 2 has a complaint index that is twice as high as expected in the market. A company’s complaint index score is determined by dividing the number of complaints by its share of premiums in the U.S. market. 

J.D. Power is a marketing, consumer intelligence, and data and analytics company that publishes a variety of studies on the insurance industry and carriers. The rankings included in this story originate from JD Power’s 2024 U.S. Insurance Digital Experience Study, 2024 U.S. Insurance Shopping Study and 2023 U.S. Auto Insurance Study.

CRASH Network’s Insurer Report Card is an annual survey of more than 1,100 collision repair professionals nationwide. Participants awarded each company a grade from A+ to F based on this question: “How well does this insurer's claims handling policies, attitude and payment practices ensure quality repairs and customer service for motorists?” Those polled also indicated whether or not they participate in that insurer's direct repair program.