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Headquartered in Boston, Liberty Mutual is among those rare companies that can boast more than a century of being in business. It was founded in 1912, when the Titanic sinking made headlines, William Howard Taft was president, and the Ford Model T was America’s most popular car.
But like any successful, long-running company, Liberty Mutual has evolved with the times. Today, it's the country's best car insurer (by written premium) and a company that offers insurance for cars, homes, businesses, and more.
Liberty Mutual Auto Insurance
Liberty Mutual Auto Insurance
Pros & cons:
Pros:
- Wide selection of coverage options and discounts
- Better pricing than competitors in multiple categories
- Potential 30% discount by participating in its RightTrack UBI program
- A.M. Best A rating for financial strength
Cons:
- Some states do not appear to be served by an agent
- Middling claims and customer service ratings
TIME’S Take
With many choices for car insurance, it's often difficult to differentiate among companies. But there are certain things to look for: Coverages you need and options that allow you to customize a policy. Discounts to help you save money. Highly rated service. High ratings for financial strength, so the company will be there when you need it. And, of course, you want all of this at a reasonable cost.
Liberty Mutual doesn't beat the competition in every category. In fact, some of its claims and customer service ratings are concerning. But the company does offer a wide range of policy options and discounts on top of its very competitive pricing. It may not be the top car insurance company out there, but it is an overall good choice.
Liberty Mutual car insurance: Pros and cons
| Pros | Cons |
|---|---|
Wide selection of coverage options and discounts | Some states do not appear to be served by an agent |
Better pricing than competitors in multiple categories | Middling claims and customer service ratings |
Potential 30% discount by participating in its RightTrack UBI program | |
A.M. Best A rating for financial strength |
How Liberty Mutual’s car insurance rates compare to its competitors’
To determine Liberty Mutual’s price competitiveness, we compared its rates to those of three other leading car insurance providers across five pricing categories.
| Liberty Mutual | Allstate | State Farm | Progressive | |
|---|---|---|---|---|
Teen | $2,604.00 | $7,441.00 | $3,958.00 | $8,585.00 |
Age 35-45 | $1,092.00 | $1,978.00 | $1,234.00 | $1,417.00 |
Senior | $1,080.00 | $1,869.00 | $1,120.00 | $1,240.00 |
DUI | $2,328.00 | $3,017.00 | $1,711.00 | $1,983.00 |
Speeding ticket | $1,656.00 | $2,326.00 | $1,409.00 | $2,015.00 |
Sources: WalletHub.com, USNews.com
Note: We gathered policy pricing information from publicly available online sources and share it for informational purposes only. Your cost may vary dramatically from what is shown here.
How much does Liberty Mutual car insurance cost?
Teens
Teens are among the most expensive drivers to insure. Their lack of experience behind the wheel makes them more prone to automobile accidents.
If you’re a teen, or a family who needs to insure one, check Liberty Mutual. The company’s $2,604 annual premium for teens is not only the lowest in our review, but it’s $1,354 cheaper than the closest competitor. That’s also less than one-third the cost of the most expensive competitor.
Age 35-45
More experienced drivers pay less for insurance—that’s true for all the companies in this comparison.
Liberty Mutual edges out its competition on pricing for those in the 35-45 age range. Its $1,092 annual premium is $142 less than its closest competitor.
Seniors
Liberty Mutual may also be a great choice for seniors. At $1,080, the company’s cost for seniors is $40 less than its closest competitor.
DUI
A conviction for driving under the influence (DUI) can affect your insurance cost. Liberty Mutual’s $2,328 annual premium for a DUI is the second highest of the companies in our review.
Speeding ticket
Liberty Mutual charges $1,656 in annual premium for a driver with a speeding ticket. This is the second cheapest in our review, and $247 more than the cheapest premium.
More about Liberty Mutual
Cost is just one of the factors you should evaluate when shopping for insurance. Here’s how Liberty Mutual does for product features, expert rankings, and more.
Discounts
Liberty Mutual offers a wide range of discounts to help you save money. According to the company's website, they include the following:
- Claim-free.
- Early shopper.
- Good student.
- Homeowner.
- Military.
- Multi-car.
- Multi-policy.
- Online purchase.
- Paperless.
- Student away at school.
- Usage-based insurance (UBI).
- Violation-free.
Like many other leading insurance companies, Liberty Mutual offers a UBI program. Called RightTrack, the program advertises discounts of up to 30% if you agree to share driving data with the company, and that data proves you exhibit safe driving habits.
Coverage offerings
Liberty Mutual offers the coverages you need to drive legally and protect your investment in your vehicle. These include liability, personal injury protection, uninsured motorist, collision, and comprehensive coverages.
The company also offers a good selection of additional coverages to customize a policy. According to the Liberty Mutual website, these options include accident forgiveness, better car replacement, deductible savings fund, gap, OEM parts coverage, rental reimbursement, and roadside assistance.
Claims service ratings
Liberty Mutual ranked 11th nationally in the J.D. Power 2022 U.S. Auto Insurance Claims Satisfaction Study. Its 870-point score in the study was slightly below the national average of 873 points.
The company also received a D+ grade in the Crash Network Insurer Report Card. This grade reflects how well the company works to ensure quality repairs and customer service for the claims process. For reference, competing companies Progressive and State Farm both earned C grades, while Allstate earned a D+.
Customer service ratings
Liberty Mutual has a 33% Net Promoter Score (NPS), according to clearsurance. Widely used in many industries, NPS measures a company based on its customers’ likelihood of referring it to friends, family, or colleagues. A score of over 50% is considered excellent. The insurance industry average is 44%.
The company’s consumer complaint index from the National Association of Insurance Commissioners(NAIC) is worryingly high. An index below 1.0 means the NAIC receives fewer-than-average complaints about a particular company. Liberty Mutual’s index is 2.46. Allstate, Progressive, and State Farm all have indexes under 1.0.
Ease of use
Many car insurance companies offer online policy quotes. Only a few allow you to complete a purchase of the quoted policy online. Liberty Mutual is one of them, and we like that.
The company also offers a network of local, independent agents, which is a plus if you prefer more guidance when buying insurance. Be aware, though, that some states appear to have few or no Liberty Mutual agency locations. So, if you're in one of these states and want to buy a policy, you may have no choice but to do it at the company's website.
Liberty Mutual’s digital experiences had mixed results in the J.D. Power 2023 U.S. Insurance Digital Experience Study. The company ranked fourth nationally for shopping and a below-average 13th for service.
Financial strength
Liberty Mutual has an A rating for financial strength from A.M. Best. This means you can be confident the company can pay claims and provide other services when you need them the most.
A.M. Best is an independent credit and financial rating agency focusing on the insurance industry. Its financial strength ratings demonstrate a company's ability to meet its financial obligations, such as claims payouts. It rates companies on a scale from A++ (Superior) to D (Poor). Liberty Mutual's A rating is labeled as "Excellent," and is the second highest on the scale.
Where can you buy Liberty Mutual?
Liberty Mutual car insurance is available in all 50 U.S. states. Quotes and policies are available online and through the company’s network of local agents.
Other types of insurance
Liberty Mutual sells a variety of insurance products besides car insurance. According to the company’s website, insurance offerings include:
| Vehicle | Property | Business | Other |
|---|---|---|---|
Car | Home | Small business | Life |
Motorcycle | Renters | Midsize and large business | Accident |
Boat | Condo | Critical illness | |
Antique and classic car | Landlord | Identity theft | |
ATV | Mobile Home | Pet | |
Recreational Vehicle | Flood* | Tuition | |
Umbrella | Umbrella |
*In partnership with the National Flood Insurance Program (NFIP)
Bottom line
Liberty Mutual is a bit of a mixed bag. It offers low pricing plus a wide range of discounts, numerous coverage options, popular sales and service features, and has demonstrated a high degree of financial strength. However, some of its ratings for claims and customer service are below the industry average.
Nevertheless, the company matches up well with other providers in a crowded car insurance marketplace. You owe it to yourself to check with Liberty Mutual when shopping around for coverage.
Liberty Mutual Auto Insurance
Liberty Mutual Auto Insurance
Pros & cons:
Pros:
- Wide selection of coverage options and discounts
- Better pricing than competitors in multiple categories
- Potential 30% discount by participating in its RightTrack UBI program
- A.M. Best A rating for financial strength
Cons:
- Some states do not appear to be served by an agent
- Middling claims and customer service ratings
Frequently asked questions (FAQs)
Who is Liberty Mutual Insurance?
Headquartered in Boston since 1912, Liberty Mutual is one of America’s oldest insurance companies. The company today offers insurance for cars, homes, powersports vehicles, and businesses, among other categories.
Who is cheaper than Liberty Mutual?
Liberty Mutual car insurance is on the cheaper side of the four leading companies we reviewed, including Allstate, Progressive, and State Farm. Liberty Mutual had the lowest rate for teens, those aged 35-45, and those aged 60. It had the second-cheapest rate for speeding tickets, and the third-cheapest rate for DUI. In these last two categories, State Farm offers the cheapest rates.
Is Liberty Mutual good at paying claims?
It's challenging to provide a simple answer to whether or not a particular insurance company is good at paying claims. We know that Liberty Mutual has an A "Excellent" Financial Strength Rating from A.M. Best. This means the company is financially sound and should be able to pay customer claims.
However, expert ratings of the company's claims service present a more mixed result. Crashnetwork gives Liberty Mutual a D+ grade in its Insurer Report Card, while J.D. Power ranked the company below average (compared to other leading insurance companies) in its 2022 U.S. Auto Insurance Claims Satisfaction Study.
These results don't necessarily need to dissuade you from choosing Liberty Mutual. However, if you have a claim with Liberty Mutual, be sure to be very proactive in following the claims representative's instructions, providing all requested information, and heeding any deadlines. Do all you can to help ensure the claims process goes smoothly.
What is Liberty Mutual Comparion?
Liberty Mutual launched the Comparion brand in 2021. This is a countrywide network of independent insurance agencies that sell insurance products from Liberty Mutual and other regional and national insurance companies.
The information presented here is created independently from the TIME editorial staff. To learn more, see our About page.