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Best Online Car Insurance Providers

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Finding the best car insurance rates has long been a tedious process. Comparing quotes can be confusing, and filling out applications is time-consuming. 

Online car insurance providers are using technology to simplify the process. It’s easier to get and compare quotes than ever. Learn more about the best online car insurance providers. 

Best InsurTech Platforms for Car Insurance

InsurTech is the reason buying car insurance is so much easier. It’s also helped make quotes more accurate and simplify the claims process. 

Definition of InsurTech

InsurTech is a combination of “insurance” and “technology.” It refers to the technology insurance companies are using to make the insurance process more efficient. It improves the data companies use so consumers have better, more accurate rates and an improved claims process. 

InsurTech can also refer to the companies themselves. Newer insurance companies that focus on technology are considered InsurTech companies. 

How InsurTech is Disrupting the Insurance Industry

InsurTech is disrupting the insurance industry by:

  • Providing a personalized, online customer service experience using chatbots
  • Improving rates by using data analytics
  • Improving data security with blockchain
  • Developing apps that improve the insurance buying and claims experience

Best Digital Car Insurance Providers

Here are Benzinga’s picks for the best digital car insurance providers. 

Best Digital Platform for Car Insurance: Gabi

Gabi makes it easy to find affordable car insurance. You provide information about your current policy, and Gabi does the legwork to find quotes that could save you money. 

You can easily compare the quotes to your existing policy since the coverage is the same. If you find a policy that works for you, you can apply for the policy through Gabi. It’s an easy way to save money and time. 

Gabi offers this service for other types of coverage as well, including homeowners, renter’s, landlord and umbrella insurance. 

Best Online Car Insurance for Low Mileage: Metromile

Instead of charging you a set rate per month, Metromile takes a unique approach. You pay a base rate, plus a cost per mile. Base rates start as low as $29. 

If you don’t drive much, Metromile could save you a significant amount of money. According to Metromile, its customers save $741 per year. 

Metromile doesn’t charge you for every mile you drive, though. Any miles over 250 in a day are free (150 in New Jersey). It also offers 24/7 claims assistance, roadside assistance and easy glass repair. 

Best Insurtech Platform for Insurance Quotes: Policygenius

Policygenius can find you auto insurance quotes in just 3 to 5 minutes. It clearly spells out the information you need to get a quote and provides educational information to help you choose the right policy. Policygenius also has chat support around the clock, so you can always get help with your quote. 

You can also use Policygenius to find quotes on life, home, disability and renter’s insurance. It has excellent reviews from its users and a wealth of educational resources to help you find the right coverage. 

Best for Claims: Clearcover

Clearcover makes it easy to buy a policy. Just as importantly, it makes it easy to file a claim. You can file a claim from its award-winning app, and some claims are paid in as little as 13 minutes. 

The app also stores a digital card that’s accessible even if you don’t have WiFi or a cell signal. Clearcover has excellent ratings from its customers.  

SR-22 Insurance
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Online Purchase
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Pros
  • Many coverage types available
  • Comprehensive mobile app
  • Free roadside assistance included with every policy
  • User-based insurance model means safe and infrequent drivers save more.
Cons
  • Opaque customer service hours
  • No clearly defined discounts
  • Must complete a “test drive,” which lasts up to a month before you get a quote
  • No policies available for “high-risk” drivers
  • Not available in all states

Best for Good Drivers: Root Insurance

Root Insurance offers instant quotes, but you can take the Root test drive if you want to save more. You download the app, and Root tracks your driving habits, such as how hard you brake and how focused you are on the road. After a few weeks, Root Insurance takes that information into account and provides you with a quote. If you’re a safe driver, you could save money. 

With the Root app, you can file a claim in a few minutes and manage your policy in the app. Roadside assistance is offered in every policy, and it provides free Lyft credits on select holidays. 

Online Car Insurance Platforms vs Traditional Insurance

Both online car insurance platforms and traditional insurance offer a range of coverage options. These typically include:

  • Liability coverage. This helps to cover injuries to others and their property if you’re found to be responsible for an accident. This is required coverage in most states. 
  • Medical payments or personal injury protection. This helps to pay for medical treatment for you and your passengers. It may be required in your state.
  • Uninsured/underinsured motorist coverage. This helps to pay for medical costs if you’re involved in an accident with a driver with no insurance or inadequate insurance. It also covers hit-and-run accidents. This may be required in your state.  
  • Collision coverage. This pays for repairs to your vehicle due to damage from a collision with another vehicle and an object. 
  • Comprehensive coverage. This pays for repairs to your vehicle for damage that’s not due to a collision, such as fire or theft. 

Both online and traditional insurance companies may offer extras like roadside assistance. 

Traditional insurance companies are also working to offer a more online experience to customers. Many have apps that you can use to file claims and make payments. 

What sets many online car insurance platforms apart is their innovation. For example, multiple sites allow you to quickly get quotes from numerous insurance providers. Root Insurance bases your rate on how you drive. Metromile charges you per mile you drive. These companies have taken a unique approach to insurance. They’re using technology to improve efficiency, which also improves your rates. 

Pros and Cons of Online Insurance Providers

Here are the benefits and drawbacks of working with an online insurance provider.

Pros

  • Potential for lower rates
  • Easy to purchase at any time
  • Easy access to customer service
  • Many offer a simple claims process through an app

Cons

  • Less individualized attention than you would receive with an agent
  • Shorter track record in terms of company history and stability
  • Challenging for people who aren’t familiar with technology
  • May not offer multiple types of insurance, so no discount for bundling policies

Is Online Car Insurance Right for You?

Online car insurance has the potential to save you money. For many, it’s worth the time to get a quote and see how it compares to your current coverage. To learn more about your options, check out Benzinga’s insurance resources

Frequently Asked Questions

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Can insurance from an online car insurance platform replace my traditional insurance plan?

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Can insurance from an online car insurance platform replace my traditional insurance plan?
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Insurance from an online car insurance platform could replace your traditional coverage. Confirm that the platform you’re considering is licensed to sell insurance in your state. Most platforms offer free quotes, so there’s no risk in seeing how the premiums stack up to what you’re currently paying. Ask for a quote on the coverage you have so you can make an accurate, apples-to-apples comparison. 

An online car insurance platform is best if you’re comfortable with technology and you’re not attached to having all of your coverage with one insurance company. If you prefer having all of your coverage in one place or prefer working with an in-person agent, a traditional company may be a better fit.

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Q

Can I save money using an online car insurance provider?

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Can I save money using an online car insurance provider?
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It’s possible to save money using an online car insurance provider. Many online platforms take an innovative approach to pricing, such as charging you per mile you drive or based on your driving habits. 

There’s no guarantee you will save, though. Online platforms take other information into account as well, such as your driving history, age, location and the type of vehicle you have. The best way to find out is to get a quote. 

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