Arizona’s Best & Worst Auto Insurance & Home Insurance Companies

Does your auto insurance company have a lot of complaints? Will you have difficulty placing a claim, or have a valid claim delayed or denied? Is your company is good or bad? Most consumers fail to check the complaint records of their insurance companies. Here are a list of 20 auto insurance companies, and a list of 12 homes insurance companies, ranked from best to worst, by the number of complaints filed against them in Arizona.

I used the Arizona Department of Insurance Web site to find this data.

Here are three things to know before you consider my lists:

1. The complaint ratio used by Arizona is determined by the number of written complaints submitted against the home or auto insurance company per 1,000 exposures. An exposure is one vehicle or home. The complaints consist of all written complaints about the company, and may not be a valid complaint.

For example, people sometimes write to complain about high insurance rates or a rate increase. Although a high insurance rate, or a rate increase when you have had no claims, upsets customers, it is not a valid reason to file a complaint against an insurance company with the department of insurance.

As long as the insurance company is charging you the proper rate the insurance company filed with the state, the company did not do anything improper. If you don’t like the rates your insurance company charges you, the best use of your time is to shop for low home & auto insurance rates , rather than write a complaint.

A valid complaint is when an insurance company breaks the law, or does not follow regulations. For example, when an insurance declines a valid claim.

Despite not all of these written complaints are actionable by the department of insurance, the fact people are taking the time to write letters, complaining about their insurance company, should tell you something.

2. Complaint ratios are not available for all insurance companies offering home & auto insurance in Arizona, and not all the important insurance subsidiaries have complaint ratios provided by the Arizona Department of Insurance.

For example, Farmers Insurance Company of Arizona is the second largest insurer of homes in Arizona for 2010. The only homeowners insurance complaint ratio for Farmers is for Farmers Insurance Exchange, which is the 5th largest home insurer in Arizona for 2010.

I noticed Farmers Insurance Company of Arizona has been losing market share over the last 3 years, so it may be when you contact a Farmers agent, they no longer offer homeowners insurance through Farmers Insurance Company of Arizona, and quote you home insurance through Farmers Insurance Exchange instead.

Also, I suspect the Arizona Department of Insurance may be listing the complaint ratio for all the insurance group’s subsidiaries under the one subsidiary name.

3. I list & rank only the insurance companies which I consider to have a large enough market share to be worth noting. However, there are many insurance companies, some of them with name recognition, like Nationwide Insurance, with a very small share of the Arizona home & auto insurance market.

Use my lists here as a starting point for finding the best insurance company for you, but don’t rely on this information alone.

Please click the link below for national complaint information, JD Power & AM Best ratings for all the leading insurance companies. If you really want to save $100s on your insurance, you have to shop with ALL the leading insurance companies to find the best price & coverage for you.

Arizona Auto Insurance Companies Ranked from Best to Worst by their Arizona 2010 Complaint Ratios

1. Farm Bureau Mutual Insurance Company (.042)

2. Safeway Insurance Company (.044)

3. United Services Automobile Association (USAA) (.044)

4. Allstate Fire & Casualty Insurance Company (.048)

5. Country Preferred Insurance Company (.049)

6. State Farm Mutual Automobile Insurance Company (.063)

7. Peak Property & Casualty Insurance Corp. (Sentry Insurance Group) (.065)

8. Metropolitan Casualty Insurance Company (.067)

9. Farmers Insurance Company of Arizona (.083)

10. Government Employees Insurance Company (Geico) (.091)

11. Progressive Preferred Insurance Company (.093)

12. Hallmark Insurance Company (.107)

13. United Automobile Insurance Company (.112)

14. AAA Members Insurance Company (.113)

15. American Family Mutual Insurance Company (.128)

16. Travelers Home & Marine Insurance Company (.163)

17. Safeco Insurance Company of America (.180)

18. Infinity Insurance Company (.204)

19. Permanent General Assurance Group (The General) (.211)

20. Coast National Insurance Company (Farmers Insurance Group) (.314)

Arizona Homeowners Insurance Companies Ranked from Best to Worst by their Arizona 2010 complaint ratios

1. Metropolitan Property & Casualty Insurance Company (.000 — No Complaints)

2. United Services Automobile Association (USAA) (.032)

3. Travelers Home & Marine Insurance Company (.048)

4. Country Mutual Insurance Company (.072)

5. State Farm Fire & Casualty Insurance Company (.090)

6. Allstate Property & Casualty Insurance Company (.120)

7. American Family Mutual Insurance Company (.130)

8. Farmers Insurance Exchange (.165)

9. Safeco Insurance Company of America (.189)

10. Sentinel Insurance Company LTD (Hartford Insurance Group) (.197)

11. IDS Property & Casualty Insurance Company (Ameriprise) (.235)

12. Homesite Insurance Company (.669)

Many people pay too much for their insurance because they never shop for better rates, or if they do shop, they don’t check the rates of enough companies. For a lot of people, the best auto & home insurance companies are the ones with the coverage they need at a lower price. With auto & home insurance, you don’t get better service or coverage because you pay more. Some of the best companies have competitive rates. Some companies charge twice as much as others for the same coverage. But no single company has low rates for everyone. You have to shop with all the leading companies, to find the company with the best coverage and best price for you. The ad below will take you to links to get online quotes from leading Home, Auto, Health, & Life insurance companies in your area. Choose the type of insurance, put in your zip, and start shopping now!

Do you have questions about these Arizona auto or home insurance company complaint ratings? Tell me about it. Please leave a comment on my facebook page. Or, you can e-mail me at help@smartshopyourcarinsurance.com if you have questions and would like my help. Follow me on Twitter for important insurance consumer news and new blog entries at CarInsWatch.