Erie insurance review 2023

The Maryland Insurance Administration (MIA) issued determination letters against Erie Insurance after receiving reports from multiple Erie-contracted agencies in Baltimore that they were being pressured into unequal underwriting practices. The complaint alleges that Erie pushed agencies into a type of redlining — to reject policies based on race, neighborhood and socioeconomic status that would otherwise meet underwriting criteria.

MIA states that Erie violated Maryland law. However, Erie maintains that there was no wrongdoing on its part and later filed a lawsuit against the MIA, alleging that it publicly released determination letters without completing a full licensing investigation. A judge granted a stay of 60 days to encourage Erie and MIA to resolve their disputes, but the case was recently dismissed after the two parties failed to sign off on an agreement, leaving matters back in MIA’s administrative system.

Erie Insurance has since sought out the 4th Circuit Court of Appeals to investigate the matter and address the alleged errors by the district court. The company brought up 21 issues questioning the original dismissal of the case by the district court.

Erie home insurance has a Bankrate Score of 3.1 out of 5 based on an assessment of its product availability, financial strength ratings, digital capabilities and customer and claims service and accessibility. Erie's limited coverage availability and digital tools generated a score of 2.3 out of 5 under Bankrate's support category. However, Erie receives high customer satisfaction scores from J.D. Power and is one of the cheaper home insurance companies. 

Erie has 24/7 support for policyholders and a variety of coverage options. Erie offers guaranteed replacement cost coverage as part of its standard homeowners policies and recently added flood coverage as an optional endorsement. Unlike many other insurance providers, Erie also has coverage up to $500 for animals, birds and fish. Although Erie does not allow policyholders to file a claim through their mobile app, the company has more than 13,000 local agents and advertises a 90 percent customer retention rate year over year.

Erie offers a variety of auto, home and life insurance products, but it does not write policies in all states. Comparing car insurance rates and other insurance products between different companies can help you find the best price. If you live outside Erie’s service area or need an insurer that offers a more diverse portfolio of products, you might consider getting an online car insurance or home insurance quote from one of these carriers:

Erie insurance reviews indicate excellent financial strength ratings and the company earned high marks in J.D. Power’s customer and claims satisfaction studies. Additionally, the provider has NAIC Complaint Indexes that are far lower than the baseline.

While Erie includes some perks in its standard auto insurance policies, like roadside assistance and rental car reimbursement, the carrier falls behind in the market by not offering a comprehensive mobile app or telematics program.

Erie’s standard homeowners policies feature guaranteed dwelling replacement cost coverage, which most insurers only offer as an endorsement, but they extend few optional coverages and discounts. Overall, Erie offers a solid portfolio of auto, home and life insurance products, but the provider only writes policies in a handful of states.

Erie customer complaints

The NAIC (National Association of Insurance Commissioners) complaint index provides consumers with a comparative measure of an insurance company's complaint history relative to its market size. Established on a baseline score of 1.00, a company with an index below this threshold has received fewer complaints than average for its size, whereas an index above 1.00 suggests more complaints than average. Importantly, the NAIC differentiates between product types, such as auto, or home insurance, by appointing different indices ensuring that consumers have a clearer perspective of a company's performance specific to each insurance category.

Other Erie tools and benefits

• Life insurance calculator: Erie provides a life insurance calculator on its website to help customers decide which type of policy may best fit their needs. From there, customers can request to be paired with an independent Erie agent to get a quote.
• Business insurance products: Erie also offers business insurance, including business automobile insurance. Business policies may protect a variety of businesses, including breweries, contractors, religious organizations, retailers and veterinarians.
• Financial services: Erie offers Medicare supplemental coverage (Medigap) and retirement accounts, including annuities and individual retirement accounts (IRAs).
• Renters, condo and mobile home insurance: Erie offers a variety of insurance policies for other dwellings and living situations.
• Flood insurance: Homeowners who live in a flood zone or anywhere that experiences occasional flooding may want to consider flood insurance, since flooding is not included in a standard home insurance policy. Erie sells flood insurance backed by a federally funded flood carrier, American Bankers Insurance company.
• Personal valuables insurance: This coverage may be purchased to financially protect jewelry, art, sports equipment, collections, musical instruments and more.

Frequently asked questions about Erie

Bankrate utilizes Quadrant Information Services to analyze 2023 rates for ZIP codes and carriers in all 50 states and Washington, D.C. Auto insurance rates are weighted based on the population density in each geographic region. 

Auto

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 coverage that meets each state’s requirements. Our base profile drivers own a 2021 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. 

Age: Rates were calculated by evaluating our base profile with the ages 16-60 (base: 40 years) applied. Depending on age, drivers may be a renter or homeowner. Age is not a contributing rating factor in Hawaii and Massachusetts.

The rates for drivers ages 16-20 added to their parent's policy reflect the good student and driver's training discounts applied. The rates for drivers aged 16-20 on their own policy do not include the good student and driver's training discounts. Additionally, 25-year-old rates are based on the driver as a renter and 30+ on the driver as a homeowner. 

Incidents: Rates were calculated by evaluating our base profile with the following incidents applied: clean record (base), single speeding ticket and single at-fault accident.

Homeowners

Quoted rates are based on 40-year-old male and female homeowners with a clean claim history, good credit and the following coverage limits:

• Coverage A, Dwelling: $150,000, $250,000, $350,000, $450,000, $750,000
• Coverage B, Other Structures: $15,000, $25,000, $35,000, $45,000, $75,000
• Coverage C, Personal Property: $75,000, $125,000, $175,000, $225,000, $375,000
• Coverage D, Loss of Use: $30,000, $50,000, $70,000, $90,000, $150,000
• Coverage E, Liability: $300,000, $300,000, $300,000, $300,000, $500,000
• Coverage F, Medical Payments: $1,000

The homeowners also have a $1,000 deductible and a separate wind and hail deductible (if required).

These are sample rates and should be used for comparative purposes only. Your quotes will differ.

Bankrate Scores

Our 2023 Bankrate Score considers variables our insurance editorial team determined impacts policyholders’ experiences with an insurance company. These rating factors include a robust assessment of each company’s product availability, financial strength ratings, online capabilities and customer and claims support accessibility. Each factor was added to a category, and these categories were weighted in a tiered approach to analyze how companies perform in key customer-impacting categories.

Like our previous Bankrate Scores, each category was assigned a metric to determine performance, and the weighted sum adds up to a company’s total Bankrate Score — out of 5 points. This year, our 2023 scoring model provides a more comprehensive view, indicating when companies excel across several key areas and better highlighting where they fall short.

• Tier 1 (Cost & ratings): To determine how well auto and home insurance companies satisfy these priorities, 2023 quoted premiums from Quadrant Information Services (if available), as well as any of the latest third-party agency ratings from J.D. Power, AM Best and the NAIC, were analyzed.
• Tier 2 (Coverage & savings): We assessed companies’ coverage options and availability to help policyholders find a provider that balances cost with coverage. Additionally, we evaluated each company’s discount options listed on its website.
• Tier 3 (Support): To encompass the many ways an auto and home insurance company can support policyholders, we analyzed avenues of customer accessibility along with community support. This analysis incorporated additional financial strength ratings from S&P and Moody’s and factored a company’s corporate sustainability efforts.

Tier scores are unweighted to show the company's true score in each category out of a possible five points.