Allstate has been offering insurance products in the U.S. for the past nearly 90 years. What started as an auto insurance company has grown to one of the largest overall insurance companies and the 6th most popular nationwide. Allstate has a lot to offer in terms of renters insurance since it offers more discounts than its competitors and is near the top of the list for customer satisfaction.
Allstate Renters Insurance Overview
Allstate was founded in 1931 and has grown to become the largest publicly held personal lines insurance company in the United States. Overall, Allstate has a good reputation among consumers. According to YouGov, 47% of people have a positive opinion of the company, compared with just 13% who have a negative opinion. The company is also very strong financially, with great ratings across the board.
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Allstate Highlights
Methodology
For the Allstate renters insurance review, we evaluated the company based on its customer rating and experience, financial stability, and coverage. To compare renters insurance companies across the board, we calculated a Reviews.com score based on the following:
- Customer Ratings– Customer ratings are an indication of satisfaction with the process of filing a claim. We measured this using J.D. Power Homeowners Satisfaction ratings.
- Coverage– As there isn’t one company to fit everyone’s needs, we evaluated companies by the amount of coverage options available and add-ons available.
- Confidence– It is extremely important for insurance companies to fulfill customers’ claims. Companies with sound financial strength will not have issues paying out claims, regardless of the amount. However, companies with weak financial strength might not be able to pay out claims. We measured this using AM Best.
- Customer Experience– The amount of complaints a company receives is an indicator of the overall customer experience as it expresses dissatisfaction. We have based this measure on the NAIC National Complaint Index.
The Competition
| Company | Reviews.com Score | AM Best Financial Strength Rating | J.D. Power 2019 Score (On a 1,000-point scale) | NAIC Customer Complaints |
| Allstate Renters Insurance | 3.5/5 | A+ | 841/1000 | More complaints than average |
| Geico | 2.75/5 | A++ | Not Rated | Fewer complaints than average |
| Lemonade | 2.66/5 | Not Rated | 866/1000 | More complaints than average |
| USAA | 3.75/5 | A++ | 888/1000 | Fewer complaints than average |
| State Farm | 3.25/5 | A++ | 836/1000 | Fewer complaints than average |
| American Family | 3.75/5 | A | 840/1000 | Fewer complaints than average |
| Nationwide | 3.75/5 | A+ | 831/1000 | Fewer complaints than average |
| Farmers | 3.5/5 | A | 839/1000 | Fewer complaints than average |
*All information accurate as of October 29, 2020.
Allstate vs. State Farm
Allstate and State Farm are both solid choices for renters insurance companies. They offer the same average price — $15 per month. Both have pros and cons in terms of customer service. Allstate has more customer complaints but also ranks higher in customer satisfaction. The area where Allstate really shines is its discounts. State Farm offers fewer discounts for renters insurance, while Allstate has more than nearly all of its competitors.
Allstate vs. Lemonade
Lemonade is far newer to the market — it was only founded in 2015. But it has quickly gained popularity. In the 2020 J.D. Power renters insurance study, Lemonade ranked first in overall satisfaction. Allstate ranked third. However, both companies receive more complaints than the industry average. When it comes to price, Lemonade is very competitive. Its rates start at $5 per month but only include minimum coverage. When you increase the coverage limits, it gets closer to Allstate’s $15 per month. Because it’s newer to the market, Lemonade’s financial strength hasn’t been rated by AM Best.
The Bottom Line
If you’re in the market for renters insurance, Allstate is a solid option. They offer good coverage options, and you can easily expand coverage with an add-on umbrella policy. You can also take advantage of discounts to save a significant amount on your premium.
Allstate is a great company for first-time renters. The company’s website provides online tools and resources that can help you learn about renters insurance and decide how much coverage you need. It’s also easy to manage your policy online or through the mobile app.
The biggest drawback to Allstate is its customer service. While it ranks well in overall customer satisfaction and claims satisfaction, it has more complaints than its competitors.
Allstate Renters Insurance FAQ
About the Authors
Elizabeth Rivelli is an insurance writer for Reviews.com. Over the last year, she has covered insurance providers, best policies, industry trends and more. Elizabeth has been featured in The Simple Dollar, Bankrate and Coverage.com, among others. She holds a bachelor's degree in Communication Studies from Northeastern University in Boston, MA. The Best Term Life Insurance Companies is Elizabeth’s favorite review on Reviews.com.
