How We Rate Insurers

Last Updated on October 14, 2026

Some of our insurer reviews show a score out of 5. This page explains exactly where that number comes from, so you can judge it for yourself.

We score every insurer on the same six things, using information anyone can check: a rating agency’s grade, government complaint data, an independent satisfaction study, and what the company itself publishes. The weights are our own editorial choice, not an industry standard, and we don’t use our own quotes.

Insurers can’t pay to change a score. We may earn money when readers ask for quotes through partners on our site, and that has no effect on any score.

What goes into the score

How each part is scored

Financial strength (30). AM Best financial strength rating for the company that writes the policy: A++ = 30; A+ = 27; A = 24; A- = 21; B++ = 16; B+ = 12; B or lower = 6. If we can’t verify a current AM Best rating, the part scores 0 and the review says “not independently rated, or rating not verified” — that is not a finding that the insurer is unsound. A Demotech rating is noted on the review but scored separately (A or better = 10), because the two agencies grade differently. If the latest AM Best action we can find is more than 24 months old, we still use it, and the review says how old it is.

Complaints (25). NAIC complaint index for the same company, for private passenger auto, over the latest three years (1.00 = the average for a company its size): 0.50 or lower = 25; 0.51–1.00 = 20; 1.01–1.50 = 13; 1.51–2.50 = 7; above 2.50 = 2. If NAIC data isn’t available, we may use a state complaint report only when it measures the same line (private passenger auto) across a comparable group of insurers in the state where the company writes most of its premium; we score by its place in that report (top quarter = 25, second = 20, third = 12, bottom quarter = 5) and name the report on the review. Otherwise the part gets 12, a placeholder, and the review says complaint data wasn’t available. We never estimate an index.

Customer satisfaction (15). J.D. Power U.S. Auto Insurance Study, current edition only: highest in its region = 15; above the regional average = 12; up to 25 points below average = 8; more than 25 points below = 4. If the company isn’t ranked, or we can’t verify its current score, the part gets 8, a placeholder, and the review says so. We don’t use an older edition’s score.

Coverage options (15). We check eight coverages: roadside or towing, rental reimbursement, gap or loan/lease, new car replacement, accident forgiveness, OEM parts, rideshare, custom equipment. A coverage counts only if the company currently lists it for the market the review covers, and we keep the page and the date we saw it. Score = 15 × (number counted ÷ 8). A coverage we couldn’t find may still be offered; the review tells readers to ask.

Discounts (10). Auto discounts the company currently names on its own site: 0 = 0; 1–2 = 3; 3–5 = 6; 6–9 = 8; 10 or more = 10. As with coverages, a discount we couldn’t find may still exist.

Service access (5). One point each: 24/7 claim reporting by phone; 24/7 claim reporting online or in an app; an online account; a mobile app; a claims or service phone number on the company’s own contact page.

Rounding. Each part’s points are rounded to a whole number (halves round up). The total is divided by 20 and rounded to one decimal place (halves round up). The stars show that number rounded to the nearest half star (halves round up).

Turning points into stars

We add the six parts for a total out of 100 and divide by 20, which gives a score out of 5 to one decimal place. The stars show that score rounded to the nearest half star. These are our editorial scores, not customer reviews.

When information is missing

Smaller insurers often aren’t in J.D. Power’s study, and complaint data isn’t always available. When that happens the part gets a placeholder score in the middle of its range, and each review lists which parts used a placeholder. A company whose financial strength rating we can’t verify gets no points for that part, and the review says “not independently rated, or rating not verified.” That is a gap in the evidence, not a finding that the company can’t pay claims.

What we don’t score

Roadside plans, driving apps, motor clubs and quote-comparison sites aren’t insurers, so they don’t get a score under this method.

What the score doesn’t measure

The score doesn’t tell you what you’ll pay. Prices depend on your state, your car and your driving record, so always compare quotes with the same limits and deductibles. It also only counts coverages and discounts a company publishes; an agent may offer more, so ask.

How often we update scores

We recheck each score at least once a year, and sooner when a rating agency changes a company’s grade or a new J.D. Power study comes out. Each review shows the date its score was last checked and keeps a dated worksheet of the inputs and sources we used.

Sources

• AM Best — Guide to Best’s Financial Strength Ratings
• NAIC — Consumer Information Source (CIS)
• J.D. Power — 2026 U.S. Auto Insurance Study, June 9, 2026
• Demotech — Financial Stability Ratings