Choosing the best auto insurance company to meet your needs means conducting thorough research before signing up for a policy. Two of the nation’s most popular car insurance providers include American Automobile Association (AAA – commonly referred to as Triple A) and Travelers Insurance. AAA first opened its doors in 1910 and has been serving customers nationwide ever since. The company currently holds 1.43% of the insurance industry market share, writing more than $3.5 billion worth of direct premiums in 2020 alone.
Travelers has an even richer history, dating back more than 165 years. Specializing in property-casualty insurance, this provider currently holds 1.96% of the industry market share with more than $4.8 billion worth of direct premiums written in 2020.
More than the differences in market share and industry experience, prospective policyholders should be aware of the additional differences between the two entities — particularly when it comes to affordability, available discounts and customer satisfaction.
AAA vs. Travelers: Car insurance rates comparison
Arguably one of the most important aspects of car insurance hunting is finding an affordable premium. A close second to affordability is prioritizing companies that care and offer superior customer service. The table below breaks down how each company performs in terms of premium pricing, financial strength, and average customer satisfaction rating:
|Car insurance company||Bankrate Score||AM Best financial stability rating||J.D. Power 2020 customer satisfaction score||Average annual premium for minimum coverage||Average annual premium for full coverage|
Rates by credit score
The rates here are national averages that do not take into account personal factors that could raise your rates, such as your credit score. While most state insurance regulators do not permit carriers to use a credit score as their sole reason for raising your premium, it still can be a determining factor when setting your rates*. The table below illustrates how your credit score could impact the cost of coverage:
|Car insurance company||Poor||Average||Good||Excellent|
* In some states, penalties are much higher for using credit score as a determining factor in setting premium price. In other states, credit score cannot be considered. These states include California, Hawaii, Maryland, Massachusetts, Michigan, Oregon and Utah.
Rates by age
Along with your credit score, insurance carriers will also determine your rates based on your age group. Certain age groups are at higher driving risk than others — especially teenagers and senior citizens. According to the Centers for Disease Control & Prevention (CDC), teens aged 16 – 19 are at the highest risk for being involved in a motor vehicle crash compared to every other age group. For this reason, teenage drivers will usually pay much higher rates due to their inexperience and increased risk.
|Car insurance company||Age 16*||Age 18||Age 25||Age 30||Age 40||Age 60|
Rates by driving record
The most important factor that insurance providers consider when setting your premium is your driving record. Each traffic violation is penalized differently by different providers, with more serious infractions typically resulting in more severe penalties. The table below illustrates how AAA and Travelers increase rates according to the type of driving record a policyholder has.
|Car insurance company||Clean driving record||Speeding ticket||Accident||DUI conviction|
AAA vs. Travelers: Discounts
Policyholders at AAA and Travelers can capitalize on the opportunity to save by taking advantage of the companies’ available discounts. Each carrier savings opportunities to its policyholders, some of which may be specific to geographic location and program availability. Below are a few of the most impactful discounts that policyholders can receive when signing up for auto insurance coverage.
- Multi-vehicle discount: By covering two or more vehicles under AAA auto insurance, you might save up to 29% on select coverage.
- Multi-policy discount: The more policies you sign up for, the more savings you can get. Signing up for auto, home, life and watercraft insurance can save you up to 17.5% on your car insurance premium.
- Good student discount: Students who maintain a “B” average or higher can save up to 15% on select auto insurance coverage through AAA.
- Multi-policy discount: When drivers also sign up for home or condo insurance through Travelers, they might save up to 13% on their auto insurance policy.
- Continuous insurance discount: If you don’t have any gaps in your coverage history, you may be eligible for a discount of up to 15%.
- New car discount: Travelers rewards drivers of newer, safer vehicles by providing them with up to 10% savings on their premium.
AAA vs. Travelers: Online and mobile experience comparison
In today’s digital age, the user experience online and via mobile application are incredibly important. When comparing these two providers, AAA has a slight edge when it comes to user interface and experience, offering far more features than Travelers does in their mobile app. The following highlights how users rated each company’s application across the Apple Store and Google Play Store.
- Apple Store: The AAA app offers many features, including finding AAA-approved and Diamond-rated hotels, restaurants and attractions. The app also offers the ability to create and share itineraries between desktop and mobile devices. Users can also request roadside assistance, get battery replacement quotes and add a scannable AAA membership card all through the mobile app. Apple users gave the app a 4.2-star rating — the average gained from more than 22,000 reviews.
- Google Play: AAA’s Google Play app maintains all of the same features that the iOS version offers. More than 39,000 users on this platform also gave this application an average 4.2-star rating.
- Apple Store: Travelers’ mobile app is much less robust, but it still offers all the things a policyholder may find useful. Through the app, users can access agent contact information, download insurance ID cards, pay their bill, track roadside assistance, manage or update policies and file and check claims. The average ranking for this app from more than 8,000 users was a 4.7-star rating.
- Google Play: Each of the features offered through the iOS version are also present on the Android Travelers app. On this platform, however, only 712 users provided a review averaging out at just a 3.9-star rating.
Frequently asked questions
What is the best car insurance company?
The only way to find the best car insurance company for your needs is by conducting thorough research. Premium rates vary depending on the carrier and your personal details, such as geographic location, driving record, credit score and age. Be sure to research the providers in your region thoroughly before signing up for a policy.
How can I lower my car insurance premium?
Auto insurance carriers offer several available car insurance discounts to policyholders. Make sure that you review these discounts carefully with your agent to see if there are any for which you may be eligible. You may also want to consider raising your deductible as this will help lower your monthly premium.
How much does car insurance cost?
The cost of your car insurance premium is determined by a number of personal factors, including driving history, age, location, credit score and much more. While the average cost of auto insurance in the United States is $1,674 annually, the actual cost of coverage will vary depending on your personal information and the exact carrier you choose.
Bankrate utilizes Quadrant Information Services to analyze 2021 rates for all ZIP codes and carriers in all 50 states and Washington, D.C. Quoted rates are based on a 40-year-old male and female driver with a clean driving record, good credit and the following full coverage limits:
- $100,000 bodily injury liability per person
- $300,000 bodily injury liability per accident
- $50,000 property damage liability per accident
- $100,000 uninsured motorist bodily injury per person
- $300,000 uninsured motorist bodily injury per accident
- $500 collision deductible
- $500 comprehensive deductible
To determine minimum coverage limits, Bankrate used minimum coverages that meet each state’s requirements. Our base profile drivers own a 2019 Toyota Camry, commute five days a week and drive 12,000 miles annually.
These are sample rates and should only be used for comparative purposes.
Credit: Rates were calculated based on the following insurance credit tiers assigned to our drivers: “poor, average, good (base), and excellent.” Insurance credit tiers factor in your official credit scores but are not dependent on that variable alone. The following states do not allow credit to be a factor in determining auto insurance rates: CA, HI, MA
Age: Rates were calculated by evaluating our base profile with the ages 18-60 (base: 40 years) applied. 16-year-old rates were factored as the added cost to their parents’ policy; 18-year-old rates were calculated as drivers who rent their primary residence.
Incident: Rates were calculated by evaluating our base profile with the following incidents applied: clean record (base), at-fault accident, single speeding ticket, single DUI conviction (BAC of >= .08) and lapse in coverage.