Liberty Mutual vs. GEICO: Which Insurer Is Better for You?

GEICO stands out as the cheapest car insurance company, with an average monthly rate of $88 compared to Liberty Mutual’s $146. GEICO also leads in industry reputation, although Liberty Mutual is ahead in customer satisfaction and user experience.

Both insurers are top car insurance companies, but coverage options, discounts, and perks can influence your decision. Let’s see how Liberty Mutual and GEICO stack up so you can decide for yourself.

Key Takeaways:

• GEICO offers better rates for different types of drivers, including teens and people with accidents or DUIs on their record.
• Liberty Mutual has more customizable coverage options and discounts to help you save money.
• GEICO’s mobile app offers more features, like roadside assistance to request help when you’re on the go.

How GEICO and Liberty Mutual Stack Up

You want to find a great deal on car insurance, but the cheapest option isn’t always the best when comparing auto insurance. We’ve researched dozens of top insurers to determine each company’s Compare.com Rating.

We look at key factors like cost, customer happiness, ease of use, availability, industry reputation, and more to come up with each company’s overall score.

The data below shows how Liberty Mutual and GEICO compare across these categories.

Both companies score well overall — but a few differences stand out. GEICO pulls ahead of Liberty Mutual in terms of cost and industry reputation, while Liberty Mutual has a slight edge in customer satisfaction and ease of use. Both options are widely available across the U.S.

Let’s take a closer look at how both companies stack up in each category.

Liberty Mutual vs. GEICO: Breaking Down Average Rates

Comparing car insurance rates is no simple task. Rates depend on various factors, from your ZIP code and driving history to your coverage type and more.

The table below breaks down how Liberty Mutual and GEICO compare on cost for different coverage levels and driver profiles, alongside the national average for context.

Looking at how Liberty Mutual and GEICO compare against each other and the national average is a helpful starting point, but don’t overlook the fine print.

Each driver’s situation is unique, and where you live plays a big role in how much you pay. Before you hit the road, take the time to compare quotes from multiple companies to make sure you’re getting the best deal.

GEICO vs. Liberty Mutual: Average Car Insurance Rates by State

Living in a different state could mean paying a very different premium for the same car insurance coverage. The price fluctuations are due to differences in population density, minimum-coverage requirements, road conditions, and the number of uninsured drivers in the state.

The table below compares average annual rates for GEICO and Liberty Mutual across states where both companies offer policies.

GEICO tends to have lower average premiums than Liberty Mutual in most states, but Liberty Mutual is cheaper in Maine, Pennsylvania, Rhode Island, and Vermont.

Liberty Mutual vs. GEICO: Average Rates by Age

Age is one of the top factors that influence how much you pay for car insurance. Auto insurance companies charge higher rates for younger drivers because they have less experience behind the wheel.

Here are the average full-coverage premiums across different age groups for Liberty Mutual and GEICO.

Which company is better for teens?

Teen drivers almost always pay the highest car insurance rates of any age group. Insurers charge young drivers more because they’re a greater gamble. Teens are more likely to take risks behind the wheel, according to the National Highway Traffic Safety Administration (NHTSA).

Teens pay an average of $236 per month with Liberty Mutual and $121 with GEICO.

Which company is better for seniors?

Senior drivers in their 60s and beyond generally get the cheapest car insurance prices. Their many years of experience make them a lower risk than other drivers. Older drivers also spend less time on the road, according to the NHTSA.

GEICO’s average rate for seniors is $67 per month, while Liberty Mutual’s is $118.

GEICO vs. Liberty Mutual: Average Rates by Driving Record

Insurers consider your driving record to be one of the most important factors when setting your car insurance premiums. Drivers with a clean record and no recent accidents or violations generally pay the lowest rates. Costs can jump considerably depending on what your record shows.

A speeding ticket, at-fault accident, or driving under the influence (DUI) conviction can raise your car insurance bill. That’s because insurance companies see these incidents as signs of risky driving behavior that can make you more likely to file a claim in the future.

Let’s compare Liberty Mutual and GEICO average rates for different driving records.

Which company is better for good drivers?

A clean driving record means you have no recent accidents or violations. Drivers in this category can cash in on their good driving behavior — they pay some of the lowest car insurance rates.

Liberty Mutual charges an average of $146 per month for drivers with a clean record, while GEICO’s rates average $88.

Which company is better for drivers with a ticket?

Speeding is risky behavior and can lead to car accidents. It was a factor in 29% of all traffic deaths in 2022, according to the NHTSA. It’s no wonder a speeding ticket increases car insurance rates by 27% on average nationwide, according to Compare.com data.

Liberty Mutual’s average cost for drivers with a recent speeding violation is $196 per month, compared to $101 with GEICO.

Which company is better for drivers with a recent accident?

Following an at-fault accident, motorists typically experience an average car insurance price increase of 34%, according to our data analysis. An at-fault accident can stay on your record for a few years.

Drivers with an at-fault accident pay an average of $108 per month with GEICO, while Liberty Mutual comes in at $209.

Which company is better for drivers with a DUI?

A DUI or DWI causes auto insurance premiums to spike by 50% nationally, according to our data. Both Liberty Mutual and GEICO reflect this trend in their average rates for drivers. Liberty Mutual charges an average premium of $226 per month if you have a recent DUI on your record, while GEICO charges $136.

Comparing GEICO and Liberty Mutual Car Insurance Coverages

Affordable rates don’t paint the entire picture when choosing an auto insurance companie. You must also consider the available coverage options. After all, even the cheapest premium is no bargain if the coverage doesn’t protect you. All major car insurers provide basic liability insurance, but the availability of additional coverages can vary by company.

Liberty Mutual and GEICO offer a full range of standard and optional auto insurance coverages beyond liability insurance. Here’s a look at the coverages you’ll find from each company.

Liberty Mutual gives you more options to customize your coverage. It offers add-ons that GEICO doesn’t, like new car replacement if you total your car, gap insurance, and vanishing deductibles that lower your out-of-pocket costs after an accident. But GEICO offers mechanical breakdown insurance that pays for repairs and replacement parts that you won’t find with Liberty Mutual.

Comparing GEICO and Liberty Mutual Car Insurance Discounts

Car insurance discounts are a great way for insurers to reward their customers for certain behaviors. Discounts for safe driving habits and customer loyalty are common in the auto insurance industry, but insurers offer many options to help reduce your bill.

Want to know how Liberty Mutual and GEICO compare? Check out the table below.

Liberty Mutual has more discounts overall — 19 compared to GEICO’s 14. With Liberty Mutual, you can lower your rates by driving alternative-energy vehicles and signing up for automatic payments or paperless billing. You’ll also find special deals for homeowners, teachers, and students attending college away from home.

But GEICO offers discounts for insuring a new car, which Liberty Mutual doesn’t have. You can also save with GEICO if you’re a federal employee or military member, which isn’t surprising considering the company got its start by serving federal government employees.

Comparing Liberty Mutual and GEICO Customer Satisfaction

Liberty Mutual and GEICO reviews are mixed. An analysis of major review sites reveals some common pain points for policyholders, primarily in customer service. Between the two insurers, GEICO earned higher ratings from Trustpilot and Clearsurance, but Liberty Mutual’s ConsumerAffairs rating is higher. Still, the scores are dismal — a common trend across the industry.

The table below shows Liberty Mutual’s and State Farm’s customer satisfaction ratings across four popular review platforms.

Liberty Mutual customers complain they’ve had trouble removing vehicles from policies and unexplained rate increases. One reviewer said they opted for an annual premium but were put on a payment plan, which can cost more because of installment fees.

The top complaint from GEICO customer reviews was the long wait times to speak to representatives. Consumers report being on hold for over an hour when trying to get quotes, make payments, or file claims.

More About GEICO and Liberty Mutual

Cost and customer satisfaction are essential considerations when choosing an auto insurance company, but a few other factors can also influence your decision. Each company has unique perks, claims processes, mobile apps, and more that can make or break your decision between GEICO and Liberty Mutual.

Let’s take a closer look at how each company compares.

Company perks

GEICO works with more than 800 groups that can qualify for member and employee discounts or reduced premiums. Its DriveEasy program can potentially reduce your rates, depending on your driving habits.

Likewise, Liberty Mutual’s RightTrack program can lower your bill for safe driving behavior. It also has Better Car Replacement coverage to protect against your vehicle’s depreciation if you total it.

Claims processing

The companies have similar scores for claims processing. The J.D. Power 2023 U.S. Auto Claims Satisfaction Study rated Liberty Mutual at 866 and GEICO at 871. Liberty Mutual advertises that you can file a claim online in about five to 10 minutes.

GEICO can settle claims within 48 hours but requires a damage inspection before choosing a body shop to handle the repairs.

Mobile apps

To manage your policy on the go, an easy-to-navigate mobile app can make all the difference. Luckily, both Liberty Mutual and GEICO offer mobile apps for iPhone and Android phones.

But GEICO’s app has more features. It lets you request roadside assistance and has a built-in virtual assistant that answers questions you might have about your insurance policy.

Liberty Mutual vs. GEICO FAQs

Liberty Mutual and GEICO are two of the largest and most well-known car insurance companies in the U.S. Here are answers to some common questions to help you compare the two companies.

What are the best car insurance companies?

A single “best” car insurance company doesn’t exist. Every driver should choose the car insurance company that best suits their needs. That said, compared to Liberty Mutual, GEICO offers the cheapest rates overall — across most categories and states.

Companies such as USAA, Allstate, Nationwide, and Travelers are also top choices for car insurance.

Which company is GEICO’s biggest competitor?

State Farm is generally GEICO’s biggest competitor in the auto insurance industry. Both are among the top three largest insurers by market share and have a nationwide presence.

Why is GEICO so cheap?

GEICO can offer cheap car insurance rates because of its direct-to-consumer business model. By removing the “middlemen,” the company avoids paying agent commissions. It also provides plenty of discounts to help cut down on auto insurance costs.

Data Methodology:

Data scientists at Compare.com analyzed more than 50 million real-time auto insurance quotes from more than 75 partner insurers in order to compile the rates and statistics seen in this article. Compare.com’s auto insurance data includes coverage analysis and details on drivers’ vehicles, driving records, insurance histories, and demographic information.

All the rates listed in this article have been collected from a combination of real Compare.com quotes and external insurance rate data gathered in collaboration with Quadrant Information Services. Compare.com uses these observations to provide readers with insights into how auto insurance companies determine their premiums.

Rating Methodology:

Compare.com’s mission is to help our readers make more informed decisions about their personal finances. Our editorial staff has crafted a proprietary, objective rating formula — the Compare.com Rating — to make it easier for our readers to analyze and compare many of the industry’s most well-known insurers.

The score you see referenced in this article is based on several factors, including:

• Cost: How the insurer’s average rates compare to its direct competitors and the industry as a whole. This includes available savings opportunities, such as discounts and other factors.
• Customer satisfaction: How satisfied existing customers are with the service they receive. This includes the insurer’s scores among various third-party studies, such as the J.D. Power U.S. Insurance Shopping and Claims Satisfaction studies, and the National Association of Insurance Commissioners (NAIC) Complaint Index, among others.
• Ease of use: How easy it is for policyholders to utilize their policies. This includes mobile app availability, customer service availability, payment flexibility, and other related factors.
• Availability: The overall scope of the company’s insurance offerings. This includes available coverage types, national footprint, and other related factors.
• Industry reputation: A measure of the insurer’s overall standing within the industry. This includes its AM Best financial strength rating, BBB accreditation, and other related factors.

Sources:

1. National Highway Traffic Safety Administration, “Teen Driving,” last accessed June 4, 2024.
2. National Highway Traffic Safety Administration, “Understanding the Problem,” last accessed June 4, 2024.
3. Trustpilot, “GEICO,” last accessed June 6, 2024.
4. Trustpilot, “Liberty Mutual,” last accessed June 6, 2024.
5. Clearsurance, “Liberty Mutual,” last accessed June 6, 2024.
6. Clearsurance, “GEICO,” last accessed June 6, 2024.
7. ConsumerAffairs, “Liberty Mutual,” last accessed June 6, 2024.
8. ConsumerAffairs, “GEICO,” last accessed June 6, 2024.
9. Better Business Bureau, “GEICO,” last accessed June 6, 2024.
10. J.D. Power, “2023 U.S. Auto Claims Satisfaction Study,” last accessed June 6, 2024.
11. NAIC, “2023 Top 25 Groups and Companies by Countrywide Premium,” last accessed June 6, 2024.