After the “First World War”, there is a widespread use of cars and has continued to date. Cars help us to reach our destination faster, but their speed can be a disadvantage. Sometimes, it can be dangerous if not taken precautions while driving. Many times the injured victims and the drivers both face considerable cost for damage to their car and property. To avoid these losses, a car insurance scheme was introduced by the United Kingdom with the Road Traffic Act 1930 and is still being used for the safety of both parties.
Here are the top 10 car insurance companies that are known globally:
1. State Farm Insurance
- Founder: George J. Mecherle
- Founded: 1922
- Location: Bloomington, USA.
- Net worth: USD 5.593 billion
- No. of Employees: 57,672
State Farm Insurance primarily specializes in auto, fire, and life insurance. This company has become the largest car insurance company provider in the United States and globally. Their logo is an interlocked tri-oval logo that symbolizes the company’s core business of auto, life, and fire insurance. It is ranked 39th in the 2024 Fortune 500 and has 343 claim offices and 19000 agents with 30 operation centers.
2. GEICO
- Founder: Leo Goodwin Sr. and Lillian Goodwin
- Founded: 1936
- Location: Chevy Chase, Maryland, United States.
- Net worth: USD 35.093 billion
- No. of Employees: 40,000
GEICO was established to provide insurance to federal government employees and their families. This company has more than 300 independent offices across the United States. In 2015, it began offering driver coverage for ridesharing companies in selected states such as ‘Texas’, ‘Pennsylvania’, ‘Ohio’ and ‘Georgia’. The scheme of the company was praised a lot by insurance experts and quickly launched as the largest insurance provider for ridesharing company drivers. This is one of the car insurance companies that is involved in motorsports sponsorship.
3. Progressive
- Founder: Jack Green and Joseph M. Lewis
- Founded: 1937
- Location: Mayfield Village, Ohio USA.
- Net worth: USD 123.39 billion
- No. of Employees: 61,400
Progressive is ranked 88 on the Fortune 500 2023 list. It was the first company to offer 24/7 claims reporting. It is one of the largest car insurance companies in the US, with over 13 million policies in force. This company boasts about being the first one to have a website and to allow customers to purchase policies via that site.
4. Allstate
- Founder: Sears, Roebuck, and Co.
- Founded: 1931
- Location: NorthBrook, US
- Net worth: USD 42.55 billion
- No. of Employees: 53,000
According to sources, in 2018, Allstate’s revenue was around USD 39.8 billion, which made it the largest United States corporation. It is ranked 79th in the 2019 Fortune 500 list. The company expanded itself into a variety of products such as extinguishers and motor scooters during the 1950s and 1960s.
3. Liberty Mutual Insurance Company
- Founder: Timothy M. Sweeney
- Founded: 1912
- Location: NorthBrook, US
- Net worth: USD 42.55 billion
- No. of Employees: 45,000
This company is one of the leading car insurance companies. It operates in over 30 countries, providing tailored insurance solutions to meet the needs of individuals, families, and businesses worldwide. The company is known for its customer-centric approach, innovative products, and commitment to social responsibility. The first branch office was opened in 1914, and later that year, the company wrote its first automobile insurance policy. In July 2021, Liberty agreed to acquire State Auto Group for over $2 billion. In August 2022, Liberty acquired AmGeneral Insurance Berhad, a Malaysia insurance company.
4. Travelers Insurance Company
- Founder: James G Batterson
- Founded: 1853
- Net worth: USD 48.04 billion
- Location: New York City
- No. of Employees: 33,000
During the 20th century, Travelers was responsible for many insurance industries including its first automobile policy in 1897. The car insurance company established the world’s first privately owned weather research facility, the Travelers Weather Research Center. It is one of the pioneering car insurance companies to make weather predictions using probabilities.
The company offers insurance through three segments:
1) Personal Insurance that includes car, home, and other products.
2) Business Insurance that is property and casualty insurance
3) Bond and Speciality Insurance which is surety, crime, and financial liabilities.
5. USSA (United Services Automobile Association)
- Founded by: 25 army officers
- Founded: 1922
- Location: Texas, United States
- Net Worth: USD 29.1billion
- No. of employees: 36,000
The company was originally known as the United States Army Automobile Association and was changed to ‘United Services Automobile Association in 1924. It was built by 25 army officers who met in San Antonio and decided to insure each other’s vehicles. This is one of the trusted car insurance companies that is now serving millions of members and has become a fully integrated financial services organization. The target audience will always be military people first.
6. NationWide Mutual Insurance Company
- Founder: Kirt Walker
- Founded: 1926
- Location: Ohio, USA
- Net worth: USD 32.5 billion
- No. of Employees: 26,000
This company was founded to offer rates that accurately reflected the driving habits of the farmers. The farmers were paying the same rates as the city drivers, even though they had fewer accidents than the city drivers. Earlier the company was recognized as Farm Bureau, which is now known as ‘Nationwide Insurance’. Nationwide expanded into Oregon, making the company truly ‘nationwide’. Further, it expanded in 19 other states.
7. Farmers
- Founder: John C. Tyler
- Founded: 1928
- Location: California
- Net worth: USD 11.65 billion
- No. of Employees: 21,000
This company was established for the rights of farmers as they have better driving records and deserve lower insurance premiums. Tyler and Leavey opened the doors to their newly founded company, ‘Farmers Automobile Inter-Insurance Exchange’ in downtown Los Angeles, California. This car insurance company not only provides car loans but also provides business loans, home loans, life insurance loans, and other financial products.
8. American Family Insurance (AsFam)
- Founder: Bill Westrate
- Founded: 1927
- Net worth: USD 38.0 billion
- Location: Madison, Wisconsin, US
- No. of Employees: 13,500
AsFam’s primary product was auto insurance. Bill’s target audience was farmers. Here Witter’s ideology believed the farmers presented lower risks than city drivers because they drove less often and not at all in the winter. In 1963, Farmers Mutual changed its name to American Family Mutual Insurance Company to reflect its broader customer base. In 2010, the National Safety Council selected American Family Insurance as a recipient of its Teen Driving Safety Leadership Award. This car insurance company offers a reward system for their insureds titled “Dream Keep Rewards”, which provides small to large rewards for completing various online tasks.
Choosing the right car insurance company involves considering several factors, such as coverage options, customer service, discounts, and overall value. Each of the companies listed above has its strengths, catering to different needs and preferences.
These are some of the established car insurance companies that you can compare and find the best car insurance provider for your vehicle.
