Allied Insurance Review: Auto & Home Insurance Customer Complaint Statistics, JD Power & AM Best Ratings

This Allied Insurance review will evaluate, for the most recent six year period where reliable statistics are available (2009, 2010, 2011, 2012, 2013, & 2014), the home & auto insurance complaint ratings for the subsidiary companies of Allied Insurance, to determine whether each subsidiary, such as AMCO Insurance Company or Depositors Insurance Company, has a better-than-average, average, or worse-than-average customer complaint record. I’ll look at increases & decreases in market share (as measured by annual written premiums) for each Allied subsidiary, as a possible indication of low or high insurance pricing.

This review will also analyze the JD Power score & ratings for Allied Insurance in the JD Power 2015 Auto Insurance Purchase Experience Study, and comparing Allied auto insurance rates to the rates of leading competitors, like State Farm, Progressive, & GEICO. I’ll review the AM Best Financial Strength Rating (FSR) for the Allied insurance subsidiaries insuring cars & homes, too.

Be sure to use the information in this Allied auto and homeowners insurance review and the ad below this paragraph (or the ad at the end of this review) to request price quotes from multiple insurance companies, and find the best auto or home insurance company for you.

The detailed information in this review compares Allied auto & homeowners insurance to the industry average and competing companies for customer service, customer complaints, claims processing performance, and insurance rates, but if If you don’t want to read all the details, you can go to this review on my website here, to see at a glance if Allied Insurance consistently performs better than average, average, or worse than average for customer service, claims, and pricing, and compare Allied to over 40 other U.S. auto & home insurance companies.

If you find this Allied auto & home insurance review useful, please like it on Facebook & share the link to this review or my site with your friends & family through social media. Bookmark this page for updates as new JD Power studies are published each year.

Allied Auto & Homeowners Insurance Review

Allied Insurance was formed as ALLIED Mutual Automobile Association in 1929, and primarily sold auto, home, and other types of insurance through independent insurance agents in the Midwestern states of the USA. In 1998, Allied was purchased by Nationwide Mutual Insurance Company. The Allied companies are now the Nationwide Insurance companies sold through independent insurance agencies throughout the USA. Another company, previously purchased by Nationwide from TIG Holdings, called Countrywide Insurance Company, was re-branded as Nationwide Insurance Company of America, and made part of the Allied / Nationwide companies distributed through independent insurance agencies. The Allied companies in this review, other than Nationwide Insurance Company of America, can be purchased only through independent insurance agents appointed to represent them.

Most auto & home insurance companies have several subsidiary companies. The use of more than one auto or home insurance subsidiary company is usually to offer different pricing to specific risk profiles (for example, drivers with a clean driving record vs. drivers with tickets and accidents), operate in a certain US state or group of states, or offer different lines of insurance, such as mobile home or motorcycle insurance. Different subsidiaries can also be used for different sales distribution methods, such as selling direct from the company, through Nationwide agents, or through independent insurance agents. Each subsidiary has its own rates, so the price you are quoted will vary, if you are eligible and receive quotes from multiple Allied subsidiaries. In 2014, Nationwide announced it was going to re-brand (re-name) all of the insurance company subsidiaries it owns under the Nationwide name, so the names of the Allied companies in this review may be changing soon.

This Allied Insurance review is divided into five sections, consisting of: 1. its AM Best Financial Strength Ratings, 2. its JD Power insurance study scores & ratings, 3. its auto insurance customer complaint ratings, 4. its home insurance customer complaint ratings, and 5. information about competing auto & home insurance companies, and how their complaint records compare to the Allied companies.

1. AM Best Financial Strength Ratings for the Allied Insurance Companies

The auto & home insurance subsidiaries of the Allied Insurance companies ( Allied P & C Insurance Company, AMCO Insurance Company, Depositors Insurance Company, & Allied Insurance Company of America) have an A+ (Superior) AM Best Financial Strength Rating with a stable outlook (no ratings upgrade or downgrade is expected in the near future) reaffirmed on 3/19/2015. A+ is the second highest rating for AM Best. I become concerned with any automobile or homeowners insurance company or subsidiary with less than an A- rating for financial strength from AM Best.

2. Allied JD Power Auto & Home Insurance Ratings

Although it parent company, Nationwide, is included in all the major JD Power insurance studies, Allied is rated only in the most recent JD Power Auto Insurance Purchase Experience Study, and I evaluate Allied’s performance in this study below, and compare the ratings for the price of Allied auto insurance to other major auto insurance companies.

Allied was not rated in the 2013 JD Power Homeowners Insurance Customer Satisfaction Study due to having too small of a sample size of Allied homeowners responding to the survey. But for a brief period of time, the JD Power website published how Allied was rated by its customers for the individual homeowners insurance factors considered in the 2013 study. Allied received a three power circle rating (about average) for overall home insurance customer satisfaction and the factors of policy offering, pricing, & claims. For the factors of company interaction and billing & payment, Allied received the lowest rating of two power circles.

The Annual JD Power Auto Insurance Purchase Experience Study

In my opinion, the JD Power Auto Insurance Purchase Experience Study is the least important JD Power study for choosing a car insurance company. A car insurance company with terrible claims handling and customer service, but with an easy purchasing experience, is not a reason to choose an auto insurance company. Besides, buying auto insurance with most companies is easier than ever in 2016, and even before technology simplified things, the ease & accuracy of the sales process always depended more on the experience and customer focus of the agent quoting you, not the choice of insurance company.

However, this study is useful as a sign of competitive pricing, since a company’s score is a reflection of the satisfaction of auto insurance shoppers with the prices they were quoted by the insurance company. This study considers and rates three categories: price, distribution channel (Website, Local Agent, Call Center Representative), and policy offerings, to determine a company’s numerical score for overall satisfaction in the purchasing experience.

2016: Allied scored 8 points (on a 1,000 point scale) or .8% above the 2016 JD Power Auto Insurance Purchase Experience study average, at 834 out of 1,000 points.

The 2016 U.S. Insurance Shopping Study was based on responses from more than 17,000 shoppers who requested an auto insurance price quote from at least one competitive insurer in the past 9 months and includes more than 50,000 unique customer evaluations of insurers. The study was fielded in April, July & October 2015, and January 2016.

Here is how Allied rated in the factors used to determine its overall satisfaction score for the auto insurance purchase experience in 2016:

Pricing: Three Power Circles (about average)

Website: Not rated

Local Agent: Five Power Circles (among the best)

Call Center Representative: Not rated

Policy Offerings: Three Power Circles (about average)

Overall Auto Insurance Purchase Satisfaction: Four Power Circles (better than most)

These companies rated better than average for lower auto insurance rates in the 2016 JD Power Auto Insurance Purchase Experience study: USAA, Erie, Liberty Mutual, The Hartford, American Family, Automobile Club Group, Travelers, Ameriprise, CSAA Insurance Group, and Mercury.

These companies rated worse than average for lower auto insurance rates in the 2016 JD Power Auto Insurance Purchase Experience study: Progressive, Allstate, 21st Century, and MetLife.

2015: Allied scored 31 points (on a 1,000 point scale) or 3.1% below the 2015 JD Power Auto Insurance Purchase Experience study average, at 802 out of 1,000 points.

The 2015 U.S. Insurance Shopping Study is based on responses from more than 15,600 shoppers who requested an auto insurance price quote from at least one competitive insurer in the past 9 months and includes more than 50,000 unique customer evaluations of insurers. The study was fielded in May, July and October 2014, and January 2015.

Here is how Allied rated in the factors used to determine its overall satisfaction score for the auto insurance purchase experience in 2015:

Pricing: Two Power Circles (lowest rating)

Website: Not rated.

Local Agent: Three Power Circles (about average)

Call Center Representative: Not rated.

Policy Offerings: Two Power Circles (lowest rating)

Overall Auto Insurance Purchase Satisfaction: Two Power Circles (lowest rating)

These companies rated better than average for lower auto insurance rates in the 2015 JD Power Auto Insurance Purchase Experience study: USAA, Erie, Ameriprise (available through Costco), The Hartford, California State Auto Association, Amica Mutual, Liberty Mutual, Auto Club Group, Travelers, & GEICO.

These companies rated worse than average for lower auto insurance rates in the 2015 JD Power Auto Insurance Purchase Experience study: Progressive, Allied, & Mercury.

JD Power Auto Insurance Purchase Experience Summary: Allied was rated in 2015 by auto insurance shoppers as one of the companies with the least competitive auto insurance rates, although the experience of getting a price quote from an agent representing Allied was rated about average. In 2016, Allied scored slightly above the study average, with its pricing now rated at about average, so Allied may have more competitive auto insurance rates now.

Don’t rely on how Allied performed in this auto insurance shopping study to tell you if you are getting a good price or you are paying too much for your auto insurance coverage. The opinions of people in a survey about the auto insurance rates they were quoted, are not reliable for knowing the company with the best price for you, because so many individual rating factors specific to you are used to determine your insurance rates. A company with a low rate for one person (or even many people) may not have a low rate for you, and vice versa, companies with a reputation for high auto insurance rates may have the best rate for you.

3. Allied Auto Insurance Complaint Statistics & Ratings

A measure of quality for an auto or home insurance company is the number of upheld complaints filed against it with a state’s insurance regulatory authority, adjusted for the company’s market share. Sections #3 & #4 of this review will show you if Allied auto & home insurance has a better-than-average, average, or below-average complaint record for 2009, 2010, 2011, 2012 & 2013.

Do positive or negative customer reviews help you choose a better auto or home insurance company? Can customer reviews at least help you avoid insurance companies with bad customer service? You may really like your car or homeowners insurance company, or you may have heard from relatives or friends about the insurance companies they think are best, but you never really know how good your insurance company will be, until you have a serious claim. The good news is many insurance companies settle a good portion of their claims in a manner acceptable to the majority of their customers. However, the wise consumer should avoid insurance companies with a worse than average history of auto or home insurance complaints.

The most common reasons, for people to file auto & home insurance complaints with a state insurance department against insurance companies, are for delays in a claim payment, unsatisfactory payment of a claim, and denial of a claim. The complaint statistics, called complaint ratios, used in this Allied Insurance review are the number of upheld complaints filed against the Allied companies with a state’s insurance regulatory authority, adjusted for the company’s market share, as determined by the National Association of Insurance Commissioners. This review provides valuable information to help you decide if Allied is best for you. By choosing a company with a better-than-average complaint history, or at least avoiding companies with consistent, worse-than-average complaint records, you reduce the likelihood you will have a negative experience, when you need your auto or home insurance company.

Complaint ratios lower than “1” have less complaints than average, and complaint ratios over “1” have more complaints than average. The lower the complaint ratio, the less complaints against the company. Ideally, you want to choose an auto or home insurance company with complaint ratios less than 1.00 each year, at least over the most recent three years.

So you don’t have to worry about comparing complaint ratio numbers, I devised a rating system to help you identify if Allied has a good or bad complaint record.

Here’s how I establish my auto & homeowners insurance complaint ratings:

B = Better than average. Insurance companies with complaint ratios less than 75% of the average insurance company.

C = Average. Insurance companies with complaint ratios from 75% to 125% of the average insurance company. I use a minus sign (-) to indicate auto insurance complaint ratios slightly worse than average (1.05 to 1.25) and a plus sign (+) for auto insurance complaint ratios slightly better than average (.95 to .75).

W = Worse than average. Insurance companies with complaint ratios more than 125% of the average insurance company.

I prefer companies with the longest recent history of “B” ratings each year (or at least in the most recent three years). Companies with “B” or “C+” ratings are okay, too, particularly if they have less market share, with less than $50,000,000 in premiums for a line of insurance (such as auto or home) each year. I prefer to avoid companies with a consistently higher than average number of complaints, or with inconsistent complaint records, unless there are mitigating factors, such as very small market share.

Allied has four subsidiary companies insuring private passenger vehicles in the states where the company sells auto insurance. One of the four subsidiaries is Nationwide Insurance Company of America, which is included in my review of the Nationwide subsidiaries using the Nationwide name, so it is not included in this review.

Allied Property & Casualty Insurance Company Auto Insurance Complaint Statistics & Ratings

B = Better than Average C = Average W = Worse than Average

2014 Auto Insurance Complaint Ratio = C+ (.81)

2014 US auto insurance premium = $382,151,663

2013 Auto Insurance Complaint Ratio = C+ (.83)

2013 US auto insurance premium = $391,292,050

2012 Auto Insurance Complaint Ratio = B (.63)

2012 US auto insurance premium = $393,822,813

2011 Auto Insurance Complaint Ratio = B (.42)

2011 US auto insurance premium = $392,569,712

2010 Auto Insurance Complaint Ratio = B (.49)

2010 US auto insurance premium = $416,581,804

2009 Auto Insurance Complaint Ratio = B (.44)

Allied Property & Casualty Insurance Company is authorized to do business, but may not be selling auto insurance, in all of the following states: AZ; CA; CO; DE; FL; GA; ID; IL; IN; IA; KS; KY; MD; MI; MN; MO; MT; NC; NE; NV; NM; ND; OH; OR; PA; SC; SD; TN; TX; UT; VA; WA; WI; WY.

The Allied Property & Casualty Insurance Company subsidiary has a lower than average number of auto insurance complaints each year since 2009, with its number of auto insurance complaints in its worst year during this period at 83% of the industry average. The auto insurance market share for Allied Property & Casualty Insurance Company decreased from 2013 to 2014, which may be an indication Allied Property & Casualty Insurance Company no longer has competitive auto insurance rates.

AMCO Insurance Company Auto Insurance Complaint Statistics & Ratings

B = Better than Average C = Average W = Worse than Average

2014 Auto Insurance Complaint Ratio = B (.49)

2014 US auto insurance premium = $523,628,805

2013 Auto Insurance Complaint Ratio = B (.36)

2013 US auto insurance premium = $479,878,659

2012 Auto Insurance Complaint Ratio = B (.38)

2012 US auto insurance premium = $442,611,106

2011 Auto Insurance Complaint Ratio = B (.48)

2011 US auto insurance premium = $425,549,066

2010 Auto Insurance Complaint Ratio = B (.54)

2010 US auto insurance premium = $425,281,598

2009 Auto Insurance Complaint Ratio = B (.36)

AMCO Insurance Company is authorized to do business, but may not be selling auto insurance, in all of the following states: AZ; CA; CO; DE; GA; ID; IL; IN; IA; KS; KY; MI; MD; MN; MO; MT; NC; NE; NV; NM; ND; OH; OR; PA; SC; SD; TN; TX; UT; VA; WA; WI; WY.

The AMCO Insurance Company subsidiary has a better-than-average auto insurance complaint history over the last six years, with its number of auto insurance complaints in its worst year during this period at 54% of the industry average. The auto insurance market share for AMCO Insurance Company has increased each year since 2010, which may be an indication of competitive pricing for its auto insurance.

Depositors Insurance Company Auto Insurance Complaint Statistics & Ratings

B = Better than Average C = Average W = Worse than Average

2014 Auto Insurance Complaint Ratio = C+ (.80)

2014 US auto insurance premium = $226,878,490

2013 Auto Insurance Complaint Ratio = B (.34)

2013 US auto insurance premium = $224,499,721

2012 Auto Insurance Complaint Ratio = B (.27)

2012 US auto insurance premium = $228,437,638

2011 Auto Insurance Complaint Ratio = B (.67)

2011 US auto insurance premium = $229,324,886

2010 Auto Insurance Complaint Ratio = B (.35)

2010 US auto insurance premium = $240,534,199

2009 Auto Insurance Complaint Ratio = B (.30)

Depositors Insurance Company is authorized to do business, but may not be selling auto insurance, in all of the following states: AZ; AR; CA; CO; DE; FL; GA; ID; IL; IN; IA; KS; KY; MD; MI; MN; MO; MT; NE; NC; NV; NM; ND; OH; OR; PA; SC; SD; TN; TX; UT; VA; WA; WI; WY.

The Depositors Insurance Company subsidiary has had a lower than average number of auto insurance complaints each year from 2009 to 2014, with its number of auto insurance complaints in its worst year during this period at 80% of the industry average. The auto insurance market share for Depositors Insurance Company is lower than it was in 2010, which may be an indication Depositors Insurance Company no longer has competitive pricing for its auto insurance.

4. Allied Home Insurance Complaint Statistics & Ratings

Allied Insurance sells home insurance through four subsidiary companies. Nationwide Insurance Company of America is not included here, because it is included in my Nationwide Insurance review.

Allied Property & Casualty Insurance Company Home Insurance Complaint Statistics & Ratings

B = Better than Average C = Average W = Worse than Average

2014 Home Insurance Complaint Ratio = B (.37)

2014 US home insurance premium = $222,031,427

2013 Home Insurance Complaint Ratio = B (.42)

2013 US home insurance premium = $211,235,765

2012 Home Insurance Complaint Ratio = B (.73)

2012 US home insurance premium = $196,117,317

2011 Home Insurance Complaint Ratio = C+ (.84)

2011 US home insurance premium = $184,481,722

2010 Home Insurance Complaint Ratio = C (1.02)

2010 US home insurance premium = $178,733,070

2009 Home Insurance Complaint Ratio = C (.97)

Allied Property & Casualty Insurance Company is authorized to do business, but may not be selling home, condo, or renters insurance, in all of the following states: AZ; CA; CO; DE; FL; GA; ID; IL; IN; IA; KS; KY; MD; MI; MN; MO; MT; NC; NE; NV; NM; ND; OH; OR; PA; SC; SD; TN; TX; UT; VA; WA; WI; WY.

The Allied Property & Casualty Insurance Company subsidiary has a close to average or better than average home insurance complaint history over the last six years, with its number of home insurance complaints, in its worst year during the 2009-2014 period at only 2% more than the industry average. The home insurance market share for Allied Property & Casualty Insurance Company has increased each year since 2010, which may be an indication of competitive pricing or advantages for its home insurance.

AMCO Insurance Company Home Insurance Complaint Statistics & Ratings

B = Better than Average C = Average W = Worse than Average

2014 Home Insurance Complaint Ratio = B (.57)

2014 US home insurance premium = $305,740,430

2013 Home Insurance Complaint Ratio = B (.58)

2013 US home insurance premium = $305,942,292

2012 Home Insurance Complaint Ratio = B (.70)

2012 US home insurance premium = $307,433,329

2011 Home Insurance Complaint Ratio = B (.57)

2011 US home insurance premium = $313,579,911

2010 Home Insurance Complaint Ratio = B (.63)

2010 US home insurance premium = $330,851,312

2009 Home Insurance Complaint Ratio = B (.48)

AMCO Insurance Company is authorized to do business, but may not be selling home, renters or condo insurance, in all of the following states: AZ; CA; CO; DE; GA; ID; IL; IN; IA; KS; KY; MI; MD; MN; MO; MT; NC; NE; NV; NM; ND; OH; OR; PA; SC; SD; TN; TX; UT; VA; WA; WI; WY.

The AMCO Insurance Company subsidiary has a consistent, lower than average number of home insurance complaints each year from 2009 to 2014, with its number of home insurance complaints, in its worst year during this period, at 70% of the industry average. The home insurance market share for AMCO Insurance Company has decreased slightly each year since 2010, which may indicate AMCO Insurance Company no longer has competitive pricing for its home insurance.

Depositors Insurance Company Home Insurance Complaint Statistics & Ratings

B = Better than Average C = Average W = Worse than Average

2014 Home Insurance Complaint Ratio = C (1.05)

2014 US home insurance premium = $112,443,932

2013 Home Insurance Complaint Ratio = B (.11)

2013 US home insurance premium = $104,891,244

2012 Home Insurance Complaint Ratio = B (.49)

2012 US home insurance premium = $96,585,407

2011 Home Insurance Complaint Ratio = C+ (.83)

2011 US home insurance premium = $88,067,770

2010 Home Insurance Complaint Ratio = B (.32)

2010 US home insurance premium = $85,823,951

2009 Home Insurance Complaint Ratio = C+ (.83)

Depositors Insurance Company is authorized to do business, but may not be selling Homeowners, condo, or renters insurance, in all of the following states: AZ; AR; CA; CO; DE; FL; GA; ID; IL; IN; IA; KS; KY; MD; MI; MN; MO; MT; NE; NC; NV; NM; ND; OH; OR; PA; SC; SD; TN; TX; UT; VA; WA; WI; WY.

The Depositors Insurance Company subsidiary had a lower than average number of home insurance complaints from 2009 to 2013, but its number of home insurance complaints in 2014 was 5% above the industry average. The home insurance market share for Depositors Insurance Company has increased each year since 2010, which may be an indication of competitive pricing for its home insurance.

5. Allied Auto & Home Insurance Complaint Ratings Compared to Major Competitors

The comparisons below include the three Allied companies reviewed above, & Nationwide Insurance Company of America, which had worse auto & home insurance complaint ratios, than the other three Allied companies.

Allstate Insurance

Auto insurance complaint record: Most of the Allstate subsidiaries have a history of about the same or better annual auto insurance complaint ratios than the Allied companies.

Home insurance complaint record: Most of the Allstate subsidiaries have a history of about the same annual home insurance complaint ratios as the Allied companies, except compared to Nationwide Insurance Company of America, which has worse home insurance complaint ratios than the Allstate companies.

You can check Allstate’s complaint statistics in my Allstate Insurance complaints & ratings review here.

State Farm Insurance

Auto insurance complaint record: The State Farm subsidiaries have a history of about the same or better annual auto insurance complaint ratios than the Allied companies.

Home insurance complaint record: The State Farm subsidiaries have a history of better annual home insurance complaint ratios than the Allied companies.

You can check the State Farm complaint statistics in my State Farm Insurance complaints & ratings review here.

Farmers Insurance

Auto insurance complaint record: The majority of the many Farmers Insurance Group companies have a history of worse annual auto insurance complaint ratios than most of the Allied companies. But these Farmer subsidiaries have about the same or better auto insurance complaint ratios than most of the Allied companies, and better than Nationwide Insurance Company of America: Farmers Insurance Company of Arizona, Farmers Insurance Company of Washington, Farmers Texas County Mutual Insurance Company, Mid-Century Insurance Company, & Illinois Farmers Insurance Company.

Home insurance complaint record: Most of the Farmers Insurance Group companies have a history of about the same or worse annual home insurance complaint ratios, compared to the Allied companies, except compared to Nationwide Insurance Company of America, which has worse home insurance complaint ratios than many of the Farmers companies.

You can check the Farmers complaint statistics in my Farmers Insurance complaints & ratings review here.

GEICO Insurance

Auto insurance complaint record: The GEICO companies, except the worse-performing GEICO Casualty Company designed for higher risk drivers, have a history of about the same or better annual auto insurance complaint ratios than the Allied companies.

You can check the GEICO complaint statistics in my GEICO Insurance complaints & ratings review here.

Progressive Insurance

Auto insurance complaint record: Most of the many Progressive Insurance Group companies have a history of about the same or better auto insurance complaint ratios than the Allied companies. These Progressive subsidiaries have worse auto insurance complaint ratios than the Allied companies: Progressive Casualty Insurance Company, Progressive Classic Insurance Company, Progressive Express Insurance Company, Progressive Southeastern Insurance Company, & United Financial Casualty Company.

You can check the Progressive complaint statistics in my Progressive Insurance complaints & ratings review here.

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Thanks for reading this review about Allied auto & home insurance complaints. You can find other reviews of leading auto, home, & life insurance companies on my website & blog. What do you think of Allied auto & home insurance? Did you find this review useful? Comment on my facebook page. If you have questions, you can reach me at help@smartshopyourcarinsurance.com. Follow me on Twitter for important insurance consumer news & new blog entries at CarInsWatch.