10 Best Auto Insurance Companies That Don’t Use LexisNexis in 2024

Nationwide is the top pick overall for the best auto insurance companies that don’t use LexisNexis, with State Farm and Geico following close behind. These companies have a strong track record of providing excellent customer service, competitive rates, and a variety of coverage options.

Many insurance companies use LexisNexis to collect data on applicants. LexisNexis gathers analytical data and sells it to companies, including car insurance providers.

Our Top 10 Picks: Best Auto Insurance Companies That Don't Use LexisNexis

However, not all companies use LexisNexis driving record data. Read on to explore companies that don’t use the LexisNexis system.

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#1 – Nationwide: Best Overall

Pros

• Strong Financial Stability: Nationwide has a strong financial standing, giving customers peace of mind knowing their claims will be paid.
• Wide Range of Coverage Options: Nationwide offers a variety of options to suit different needs and budgets. Find the right coverage for your needs in our Nationwide auto insurance review.
• Multiple Discounts Available: Discounts such as good driver discounts and multi-policy discounts help customers save money.

Cons

• Higher Premiums: Compared to other insurance companies, Nationwide’s average premium tends to be on the higher end.
• Limited Availability: Nationwide is only available in Washington D.C and 46 states.

#2 – State Farm: Best for Many Discounts

Pros

• Many Discounts: Customers can save up to 25% by bundling multiple policies and receive discounts for good driving habits, student performance, vehicle safety features, and more. Read our State Farm auto insurance review to see which discounts you qualify for.
• Strong Financial Standing: State Farm has a strong financial standing with an A++ rating from AM Best, indicating excellent financial stability and ability to pay out claims.
• Personalized Service: With over 19,000 agents nationwide, State Farm offers personalized service and support for their customers.

Cons

• Higher Premiums: State Farm’s premiums tend to be higher compared to other insurance companies.
• Limited Online Tools: State Farm’s online tools and resources for managing policies may not be as comprehensive as other insurers.

#3 – Geico: Best for Cheap Rates

Pros

• Competitive Rates: Geico is known for offering some of the most competitive rates in the insurance industry. Find out more about Geico’s rates in our Geico auto insurance review.
• User-Friendly Website and App: Geico’s website and app are highly rated for their ease of use to customers.
• Variety of Discounts Available: Geico’s wide range of discounts, including multi-policy discounts enables customers to save money on their premiums.

Cons

• Limited Local Agents: Geico may not offer as many coverage options as other insurance companies, limiting customization for customers.
• Potentially Higher Rates for Certain Demographics: Geico may have higher rates for certain demographics, such as young drivers or those with poor credit scores.

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#4 – Allstate: Best for Add-On Coverages

Pros

• Wide Range of Add-On Coverages: Allstate offers a wide range of add-ons like sound system insurance, roadside assistance, and personal umbrella policies, allowing customers to customize their insurance to fit their needs.
• Milewise Program: The Allstate Milewise program offers discounts for safe driving behaviors, potentially saving customers up to 25% on their premiums. Learn more about this UBI in our Allstate Milewise review.
• User-Friendly Mobile App: Allstate’s mobile app is highly rated and provides users with convenient features such as policy management, claim filing, and support.

Cons

• Can Be Pricey Without Discounts: While Allstate offers a range of discounts, rates can be relatively high for those who do not qualify for multiple discounts.
• Variable Customer Service: Customer service varies significantly depending on the region and the local agents, with some customers reporting less than satisfactory interactions.

#5 – Liberty Mutual: Best for Customizable Polices

Pros

• Wide Range of Coverage Options: Liberty Mutual offers a variety of coverage options, including unique offerings such as identity theft and pet insurance. Find more information about Liberty Mutual’s coverages in our Liberty Mutual auto insurance review. 
• Multi-policy Discounts: Customers can save money by bundling their home and auto policies with Liberty Mutual.
• 24/7 Claims Assistance: Liberty Mutual offers round-the-clock support for filing claims, making it convenient for customers.

Cons

• Potentially Higher Rates for Drivers With Accidents or Tickets: Liberty Mutual may have higher rates for drivers who have been involved in accidents or received traffic tickets.
• Limited Discounts Compared to Competitors: Some competitors may offer more discounts for various factors such as safe driving or being a good student.

#6 – Travelers: Best for Accident Forgiveness

Pros

• Accident Forgiveness Program: Travelers offers an Accident Forgiveness program as part of its IntelliDrive® program.
• IntelliDrive® Program: The IntelliDrive® program is a 90-day program that uses a smartphone app to capture and score driving behavior, potentially offering up to a 20% discount for safe driving. Read more about this program in our Travelers IntelliDrive review.
• Wide Range of Coverage Options: Travelers provides a variety of coverage options, including liability, comprehensive, collision, personal injury protection (PIP), and uninsured/underinsured motorist coverage, giving customers the flexibility to tailor their policy to their specific needs. Find out more about Travelers in our Travelers auto insurance review.

Cons

• Complex Discount Structure: The discount structure can be complex and confusing for some customers, making it difficult for them to understand how much they can save and on which part of their policy.
• Limited Availability: Travelers is not available in all states.

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#7 – Farmers: Best for Local Agents

Pros

• Wide Network of Local Agents: Farmers offers a broad network of local agents for personalized service, simplifying the process for customers to get tailored assistance and guidance.
• Customizable Coverage Options: Policyholders can personalize their coverage by choosing from a variety of add-ons such as towing and roadside assistance, rental reimbursement, and new car replacement. 
• User-Friendly App: Farmers’ mobile app allows customers to manage their policy, make payments, and file claims with ease. Take a look at our Farmers insurance company review to learn more.

Cons

• Slow Roadside Assistance: Farmers insurance does not have a dedicated roadside assistance service, which means that their customers may experience longer wait times during emergencies
• Potentially Higher Rates for High-Risk Drivers: Similar to other insurance companies, Farmers may have higher rates for high-risk drivers.

#8 – AAA: Best for Membership Discounts

Pros

• Membership Benefits: Customers who are members of AAA have access to additional benefits, such as roadside assistance and travel discounts.
• Strong Financial Rating: AAA has a strong financial rating, providing customers with peace of mind that their claims will be paid out. Learn more: AAA Auto Insurance Company Review
• Variety of Coverage Options: AAA offers a wide range of coverage options, allowing customers to tailor their policies to fit their specific needs.

Cons

• Potentially Higher Rates for Non-Members: Non-members of AAA may face higher rates compared to those who are members and receive membership discounts.
• Different Products Across Different States: AAA insurance offers different products in each state, which makes it difficult for customers to compare and find the best coverage and price.

#9 – Progressive: Best for Online Convenience

Pros

• User-Friendly Website: Progressive has a user-friendly website that makes it easy for customers to get a quote, manage their policy, and file claims.
• Discounts: Progressive offers various discounts for safe driving habits, bundling policies, and more. Learn more about discounts in our Progressive auto insurance company review
• 24/7 Customer Service: Progressive has 24/7 customer service availability.

Cons

• Rate Increases for Accidents and Tickets: Progressive may increase rates for customers who have a history of accidents or traffic violations.
• Possible Long Wait Times: Some customers have reported long wait times when trying to reach a customer service representative or file a claim with Progressive.

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#10 – USAA: Best for Military Savings

Pros

• Exclusive to Military and Families: USAA offers insurance only to military members, veterans, and their families.
• Competitive Rates: USAA is known for offering competitive rates that often beat other insurers, especially for those who are active duty or have a good driving record.
• Comprehensive Coverage Options: Besides the standard coverage options, USAA offers additional benefits such as accident forgiveness, car replacement assistance, and personal injury protection. Check out insurance savings for military members and their families in our complete USAA auto insurance review.

Cons

• Membership Restrictions: USAA’s services are only available to military members, veterans, and their immediate family members, limiting access for the general public.
• Limited Physical Locations: While USAA excels in online and mobile services, it has fewer physical locations compared to competitors.

Car Insurance Companies That Don’t Use the LexisNexis System

LexisNexis offers car insurance companies a quick and easy way to look at the riskiness of their applicants. Using the LexisNexis system, an insurance company can look at your last seven years of driving and claims history, including how much your claims cost.

Due to the usefulness of LexisNexis’ data, most car insurance companies use it. While you can probably find a smaller local provider that doesn’t use LexisNexis, it’s hard to find a larger company that doesn’t.

In states where it’s permitted, some insurance companies also factor in a credit-based insurance score when determining car insurance rates.

This practice can significantly influence the terms of an auto insurance policy, as it assesses the financial risk of insuring a driver based on their credit standing alongside their driving history and claims record. The debate around the use of credit scores in setting car insurance rates is ongoing, with some states explicitly prohibiting this practice, thereby affecting how premiums are calculated.

Check out the table table below to see the top auto insurance companies that don’t use LexisNexis.

Auto Insurance Monthly Rates by Coverage Level From Companies That Don’t Use LexisNexis

Of all the major companies in the U.S., State Farm is the only one that doesn’t use LexisNexis.

Rather than using the LexisNexis case management system, State Farm has developed its own system to assess applicants. Instead of looking at seven years, State Farm considers traffic violations and claims from the last three years.

If you’re interested in skipping LexisNexis, you can get a quote from State Farm. However, you’ll probably encounter higher rates than the national average. The average cost for full coverage auto insurance with State Farm is around $220, while the national average is $162.

The LexisNexis System Explained

How do insurance companies know about previous claims? The answer lies in the partnership between the insurers and data brokers like LexisNexis. LexisNexis Risk Solutions is a company that gathers consumer data through public records, cookies, and other digital services. You might be surprised to learn how much data LexisNexis can collect on you — everything from what jobs you’ve had to what licenses you possess.

When it comes to car insurance, LexisNexis analyzes data to predict the likelihood of future claims. Most companies use LexisNexis’ Comprehensive Loss Underwriting Exchange (CLUE) database to access information about drivers.

 

You might be wondering what shows up in LexisNexis report. The CLUE database contains information about your insurance claims for the last seven years, including the following:

• Dates
• Type of loss
• How much your insurance company paid
• Claim numbers

The LexisNexis CLUE report also provides information about which companies you’ve had insurance with and your previous policy numbers.

LexisNexis encourages consumers to look at their CLUE report from time to time to ensure there are no inaccuracies that might drive up your rates due to mistakenly assigned auto insurance points or other errors. You can access a limited version of your CLUE report once a year for free. Any subsequent viewings require you to pay a small fee.

How LexisNexis Collects Data

LexisNexis collects data from a variety of sources, some of which you might not know exist. There are four primary sources that LexisNexis gathers information from:

• Data You Provide: LexisNexis encourages consumers to provide information, including email addresses, social media information, phone numbers, job titles, education, and payment information.
• Data From Organizations: If you’re affiliated with an organization, LexisNexis can collect related data.
• Third-Party Data: LexisNexis collects data from various third-party sources, including social networks, service providers, businesses, and publicly available services.
• Service Use Data: Service use data includes cookies, device information, location detection, educational services, and streaming services.

This is only a small selection of the data LexisNexis collects about you. Most people interact with technology multiple times throughout their day, and LexisNexis capitalizes on this usage by collecting every bit of data it can.

Insurance companies use LexisNexis for this reason — your likelihood of being involved in future claims can be reliably predicted from your collected data.

LexisNexis Data Is Used by Various Entities

So, who uses LexisNexis data? Insurance providers aren’t the only companies to use LexisNexis. If you’re concerned about your personal data being used, you should know that LexisNexis works with the following industries:

• Other insurance companies, like life and healthcare insurance firms
• Collection agencies
• Local government programs
• Financial services
• Department of Homeland Security

As you can see, LexisNexis provides information to a vast network of businesses. Keeping your data out of the hands of collection companies like LexisNexis is difficult, but there are a few things you can do.

You can skip accepting cookies and deny information requests on some websites. You can also skip filling out personal information on some forms. However, there’s only so much you can do to keep your personal information private. In this digital world, companies like LexisNexis can easily gather your data.

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Tips to Save on Car Insurance

Since insurance companies can look into your driving history for the last seven years with LexisNexis, you might be worried about how it will affect your rates. It’s true that having previous claims, accidents, or lapses in insurance will make your rates higher, but there are ways to save.

No matter what a LexisNexis report will find, here are some easy ways to lower your rates:

• Compare quotes. One of the most important things to do when shopping is to compare different companies. You might have high prices with one provider and much lower prices with another. Learn how to get multiple quotes before buying auto insurance in our comprehensive guide.
• Lower your coverage. If your insurance rates are simply too high, you might be able to lower your coverage. Speak with an insurance representative to learn what you can cut.
• Raise your deductible. You can save money on your monthly bill by raising your auto insurance deductible. Be cautious, though — the higher your deductible, the more you’ll have to pay out of pocket.
• Look for discounts. Most companies offer auto insurance discounts for things like buying more than one policy, being a good driver, and having multiple cars. Ask your insurance representative to check your policy for savings. 
• Ask about low mileage. Many companies offer discounted rates for people who drive less than the average driver. Usage-based insurance plans can also save you money. Find out how much you can save in our low-mileage auto insurance discount guide.
• Keep your credit high. Insurance companies can look at your credit scores in most states. Maintaining a good credit score can help lower your rates.
• Switch companies. If your rate jumps after you make a claim, you might need to switch to another company. Most policies don’t have an early cancellation fee, so there’s no reason to stick with high rates.

Although most insurance companies use LexisNexis to decide how much insurance will cost you, you can keep your rates down by following these tips.

Because many insurance companies use the LexisNexis system, you should never lie on an insurance application. They have access to so much of your driving history, so it’s easy to detect a lie. You might be denied coverage if you lie on your application.

How to Find Auto Insurance Companies That Don’t Use the LexisNexis System

Many people are alarmed to learn how much of their personal data is collected by systems like LexisNexis. Unfortunately, it’s one of the drawbacks of spending so much time digitally connected. There is a movement to limit how much personal data companies can collect. However, for now, everyone is stuck with LexisNexis driving record checks.

Read More: Buying No-Credit-Check Auto Insurance: What You Need To Know

If you want to avoid companies that use LexisNexis, State Farm or local insurance providers are your best bet. Remember to compare quotes when you shop for insurance to make sure you find the best rates possible. Instantly compare car insurance quotes from the top providers by entering your ZIP code into our free comparison tool below.

 

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