What You Should Know About Costco Car Insurance

Costco Car Insurance Through Amerisafe and Other Partners

Costco does not sell car insurance directly. Instead, Costco members can get discounted rates through Amerisafe, which is the primary insurance partner Costco advertises. Costco also has partnerships with other carriers depending on your state — some members see options for Amica Mutual, Infinity, or National General. The discount you receive is typically 5 to 15 percent off the partner company's standard rates, though the exact amount varies by state, your driving record, and the coverage you choose.

When you buy through Costco's insurance program, you are purchasing a policy from the actual insurance company, not from Costco. Costco acts as a broker — it connects you to the insurer and negotiates group rates for its members. Your policy, claims, billing, and customer service all go through the insurance company itself, not through Costco.

Key Takeaways

• Costco offers discounted car insurance rates through partner companies like Amerisafe, not through Costco's own insurance product.
• The discount is typically 5 to 15 percent off the partner insurer's regular rates, depending on your state and driving history.
• You purchase the policy from the insurance company directly, and they handle your claims, billing, and customer service — Costco does not.
• Whether Costco insurance is a good choice depends on whether the partner company available in your state offers competitive rates and coverage options compared to other insurers you can shop.

How the Costco Insurance Program Works

To see what insurance options are available to you through Costco, you log into your Costco account online or visit the insurance section of the Costco website. You enter your zip code and vehicle information, and the site shows you which insurers partner with Costco in your state and what discount they offer. You can then get a quote from each one.

Once you choose an insurer and complete the quote, you are taken to that company's website to finish the purchase. You set up your policy, choose your coverage limits, and arrange payment directly with the insurance company. Costco's role ends once you are connected to the insurer — the company itself manages your policy from that point forward.

Comparing Costco Insurance Rates to Other Carriers

Whether Costco insurance is a good deal depends on what other insurers charge in your area. The Costco discount is meaningful, but it is only valuable if the underlying company's rates are competitive to begin with. A 10 percent discount on an expensive policy is not necessarily better than a full-price policy from a cheaper carrier.

The best approach is to get quotes from Costco's partner insurers and then compare those quotes to quotes from at least two or three other major carriers — State Farm, Geico, Progressive, or Allstate are common benchmarks. Many insurers offer their own discounts for bundling home and auto, safe driving, or paying in full, so factor those into your comparison as well. The lowest quote after all discounts is the one to choose, regardless of whether it comes through Costco.

What Coverage Costco Insurance Partners Typically Offer

Costco's partner insurers offer the same types of coverage as any other car insurance company: liability (bodily injury and property damage), collision, comprehensive, uninsured motorist, and medical payments. The coverage limits and deductibles you choose are up to you, just as they would be with any insurer.

One thing to note is that not every Costco partner may be available in your state, and not every partner offers the same coverage options. Some states have fewer choices than others. When you get a quote, you will see exactly what coverage is available and what the cost is for each option.

Customer Service and Claims With Costco Insurance Partners

When you have a question about your policy, need to file a claim, or want to make changes, you contact the insurance company directly — not Costco. Each partner company has its own customer service phone line, website, and mobile app. Your experience will depend on that company's service quality, not on Costco's.

If you have a problem with your policy or a claim, you can contact the insurance company's customer service department or file a complaint with your state's insurance commissioner. Costco cannot resolve insurance disputes because Costco does not manage the policies.

When Costco Insurance Makes Sense

Costco insurance is worth considering if a partner company is available in your state and the discounted rate is lower than what you would pay elsewhere. It is also a reasonable option if you already shop at Costco and want the convenience of managing multiple services in one place — though keep in mind that your insurance is still managed by the partner company, not by Costco itself.

Costco insurance is not a good choice if the partner insurer's rates are higher than competitors in your area, even with the discount. It is also not ideal if you need specific coverage options or service features that the partner company does not offer. In those cases, shopping directly with other insurers will serve you better.

How to Get a Quote Through Costco

Visit Costco.com and look for the insurance section, usually found under "Services" or in the member benefits area. Enter your zip code to see which insurers are available in your state. Click on each one to get a quote — you will need your driver's license, vehicle information, and current insurance details if you have them.

The quote process typically takes 10 to 15 minutes per insurer. Once you have quotes from all available partners, compare them to quotes from at least two other major carriers. Then choose the lowest total cost that includes the coverage you need.

Frequently Asked Questions

Do I have to be a Costco member to get Costco car insurance?

Yes, you must have an active Costco membership to see and purchase insurance through Costco's partner program. If you do not have a membership, you can still get quotes directly from the insurance companies themselves, though you would not receive the Costco member discount.

Can I bundle Costco car insurance with homeowners insurance?

That depends on the partner insurer available in your state. Some Costco partners offer homeowners insurance and bundle discounts; others do not. When you get your car insurance quote, you can ask about bundling options or check the insurer's website to see what other products they offer.

What if I have an accident or need to file a claim?

You report the claim directly to your insurance company, not to Costco. Contact the insurer's claims department using the phone number on your policy card or through their website or mobile app. The company will guide you through the claims process and arrange repairs or payment.

Can I cancel my Costco insurance policy anytime?

Yes, you can cancel your policy with the insurance company at any time, just as you would with any other insurer. Contact the company directly to request cancellation. Some insurers charge a cancellation fee if you cancel before your policy term ends, so check your policy documents for details.

Is Costco insurance cheaper than other insurance companies?

Not always. The Costco discount is real, but it only matters if the partner insurer's base rates are competitive in your area. The only way to know is to compare quotes from Costco's partners to quotes from other major insurers. Rates vary widely by location, driving history, and vehicle type.