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Liberty Mutual Insurance Review 2020

Jan. 2, 2020
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Liberty Mutual reviews and ratings

  • Customer satisfaction ratings are average or lower.
  • Received more than the expected number of complaints for auto insurance, relative to its size, and fewer than the expected number for home insurance.
  • Many options for coverage and discounts.

Liberty Mutual is the nation’s sixth-largest auto insurer based on direct premiums written. In addition to home and auto insurance, Liberty Mutual offers a vast array of personal and commercial insurance policies.

Liberty Mutual auto insurance

4.0 NerdWallet rating

Liberty Mutual auto insurance earned 4 stars out of 5 for overall performance. NerdWallet’s ratings are determined by our editorial team. The scoring formula takes into account a number of details including pricing, discounts and ease of filing a claim. Other factors analyzed include website transparency, financial strength, complaint data from the National Association of Insurance Commissioners and more.

Based on these ratings, Liberty Mutual is among NerdWallet’s Best Car Insurance Companies for 2020.

Liberty Mutual offers standard auto policies to which you can add several types of optional coverage, including:

  • Accident forgiveness. Your premium won’t increase as a result of your first accident if you’ve had no crashes or traffic violations for five years. This coverage is not available in California and may vary by state.
  • New car replacement. If your car is totaled in the first model year and first 15,000 miles, you’ll be reimbursed the cost of a new car, not just the depreciated value.
  • Better car replacement. This takes new car replacement a step further: If your car is totaled at any age or mileage, you’ll be reimbursed for a car one year newer and with 15,000 fewer miles on it than your totaled car.
  • Deductible fund. When you add this feature to your policy, Liberty Mutual creates a “fund” to lower your collision deductible. The insurer contributes $70 while you contribute $30 each year.
  • Repair guarantee. If you use an approved shop, Liberty Mutual will guarantee the repairs for as long as you own the vehicle.
  • Gap insurance. If your car is totaled and you owe more on your loan or lease than it was worth, gap insurance will pay the difference.

Teachers’ Auto Insurance is a unique offering from Liberty Mutual. Although it may not be available where you live, it comes at no extra cost to teachers and includes:

  • Vandalism loss protection. No deductible if your vehicle is vandalized during school-related events or on school property.
  • Personal property coverage. Liberty Mutual will reimburse you up to $2,500 per occurrence if your teaching materials or school-owned property are stolen or damaged while in your vehicle.
  • Collision coverage. There’s no deductible if your car is damaged in an accident while driving it for school business. (In Pennsylvania, a $100 deductible applies.)

Liberty Mutual’s auto insurance discounts:

Although Liberty Mutual’s discounts vary by state, the list of potential price breaks is long. You may be eligible for discounts for:

  • Owning a home.
  • Being an active, retired or reserve member of the U.S. military.
  • Getting a Liberty Mutual quote before your current policy expires.
  • For students, earning good grades or leaving the car at home while living away at school.
  • Driving a hybrid or electric car.
  • Having safety features like anti-lock brakes, lane departure warnings and anti-theft devices.
  • Avoiding accidents and traffic violations.
  • Insuring multiple cars.
  • Having more than one Liberty Mutual policy, such as bundling home and auto coverage.
  • Paying your full premium up front or enrolling in automatic payments.
  • Buying a policy online.
  • Receiving paperwork electronically.
  • Being affiliated with certain employers, alumni associations or professional groups.
  • Being a new Liberty Mutual customer.

The RightTrack program: In some states, you can also get a discount for allowing Liberty Mutual to monitor your driving. An app on your phone and a small device attached to your windshield measure habits like acceleration, braking, distance and time of day. You get a discount for signing up, which can change later based on how safely you drive during a 90-day evaluation.

» MORE: Compare car insurance rates

Liberty Mutual home insurance

Liberty Mutual offers homeowners insurance policies with standard features, plus the following additional coverage options:

  • Identity fraud expense coverage, which pays for lost expenses and provides a counselor if you’re a victim of identity theft.
  • Coverage for valuables, which pays for items such as jewelry, art or collectibles if they’re damaged or destroyed.
  • Inflation protection. Liberty Mutual will automatically adjust your coverage limits at renewal time to account for inflation and also apply a discount to your premium, but some limitations apply.

Liberty Mutual’s home insurance discounts:

Depending on your state, you may qualify for home insurance discounts for:

  • Bundling home and auto coverage.
  • Not filing a claim with your previous insurer for five years.
  • Not filing a claim with Liberty Mutual for three years.
  • Insuring a home that’s newly purchased, newly built or recently renovated.
  • Having a new roof.
  • Having safety features like smoke alarms, deadbolts and fire extinguishers.
  • Getting a Liberty Mutual quote before your policy with another carrier expires.
  • Being a veteran or active military service member.
  • Insuring the full cost to replace your home.
  • Paying premiums electronically.
  • Signing up for paperless billing.

Liberty Mutual complaints and customer satisfaction

Liberty Mutual had more than the expected number of complaints to state regulators relative to its size for auto insurance, according to three years’ worth of data from the National Association of Insurance Commissioners. But it had fewer than the expected number of complaints for home insurance.

2019 J.D. Power studyLiberty Mutual ranks ...
Auto insurance shoppingAbout average
Auto insurance claims satisfactionAbout average
Home insuranceBelow average
Property insurance claimsAbout average

More about Liberty Mutual

Website: The Liberty Mutual website is robust and useful, allowing you to manage your policies, pay your bill, access ID cards and report or track a claim.

Mobile app: You can track claims, pay bills, and view policy documents in the Liberty Mutual mobile app. The accident and roadside support feature lets you capture information and photos at the scene of an accident or call for emergency roadside services.

Insurance quotes from Alexa: You can get a Liberty Mutual quote using your Amazon Alexa device, as well as advice on common home and auto problems.

Other types of insurance from Liberty Mutual include:
CondoRentersLandlord
MotorcycleBoat and watercraftRV and trailer
FloodBusinessCritical illness
Coverage requiring an existing auto insurance policy:
UmbrellaAntique and classic carATV and off-road vehicle
Policies available through Liberty Mutual partner insurance companies:
Term and whole lifePetMobile home

Recap: Liberty Mutual pros and cons

ProsCons
Many types of coverage availableMore complaints to state regulators than expected for its size
Lots of discountsCustomer satisfaction ratings are average or below
Robust digital tools

Auto insurance ratings methodology

NerdWallet’s auto insurance ratings reward companies for customer-first features and practices. Ratings are based on weighted averages of scores in several categories, including financial strength, consumer complaints, website transparency and affordability. Using our editorial discretion, we also consider customer satisfaction surveys. These ratings are a guide, but we encourage you to shop around and compare several insurance quotes to find the best rate for you. NerdWallet does not receive compensation for any reviews. Read our editorial guidelines.

Methodology: Insurer complaints

NerdWallet examined complaints received by state insurance regulators and reported to the National Association of Insurance Commissioners in 2016-2018. To assess how insurers compare to one another, the NAIC calculates a complaint index each year for each subsidiary, measuring its share of total complaints relative to its size, or share of total premiums in the industry. To evaluate a company’s complaint history, NerdWallet calculated a similar index for each insurer, weighted by market shares of each subsidiary, over the three-year period. Ratios are determined separately for auto, home (including renters and condo) and life insurance.

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