Safeco Insurance is drawing attention from brokers and consumers alike as it continues to hold a strong position in the U.S. insurance market. Known for its solid financial backing and a wide range of products, the company is a subsidiary of Liberty Mutual Insurance, one of the largest insurance groups in the country. Recent ratings from top agencies show that Safeco is financially stable and capable of honoring claims, but customer satisfaction scores suggest some room for improvement.
Major insurance rating agencies such as A.M. Best, Moody’s, and S&P Global have given Safeco high marks for its financial strength. A.M. Best awarded the company an “A” rating for financial strength, which stands for excellent and highlights Safeco’s strong balance sheet and careful risk management. Moody’s gave it an A2 for both financial strength and issuer credit rating, reflecting a low credit risk and stable outlook. S&P Global also rated Safeco with an “A,” pointing to its solid capacity to meet financial commitments and maintain steady operation. These ratings reflect the company’s overall health and the advantage of being part of Liberty Mutual’s diversified network.
On the flip side, Safeco did not receive a rating from Fitch, though this absence doesn’t necessarily signal a problem but may just be due to Fitch’s focus and Safeco’s decisions about which agencies to engage. More customer-focused ratings from J.D. Power reveal that Safeco ranks lower than many competitors. In the 2024 Auto Insurance Shopping study, Safeco was 15th out of 17, and in the Auto Insurance Claims Satisfaction study, it ranked 16th out of 21. Both scores fall slightly below national averages, suggesting that while Safeco’s finances are strong, its customer experience may not be leading the pack.
The Better Business Bureau (BBB) gives Safeco an A- rating. This shows the company has good business practices and generally handles customer complaints well, but there is still some room for improvement in customer relations.
Safeco’s insurance products cover a broad spectrum. The company offers auto, home, renters, condo, landlord, umbrella, motorcycle, boat, RV, classic car, pet health, identity theft, and home warranty insurance. However, not all products are available everywhere. Safeco does not offer auto or home insurance in Alaska, Delaware, Hawaii, or Washington D.C., and there are additional restrictions in Florida and parts of California.
The insurer also stands out with some unique features. For example, its claims-free cash back program gives customers 2.5% of their premium back every six months that they don’t file a claim, adding up to 5% a year. Safeco also offers a diminishing deductible for auto insurance, reducing collision deductibles by $100 each claim-free year, up to $500 total. Additional perks include new vehicle replacement, better car replacement programs, and an emergency assistance package that covers more than just towing — it includes meals, lodging, and personal property coverage after a roadside incident.
While there are positives, there are some drawbacks. Besides the lower customer satisfaction ratings, Safeco’s digital services are limited. Policy management and quotes often require the help of an independent agent, rather than being fully accessible online.
In summary, Safeco Insurance has a solid financial foundation and plenty of insurance options, making it a good choice for customers who value stability and a wide product range. If you prioritize top-tier customer service or prefer a fully digital experience, you might want to look elsewhere. Also, availability varies by state, so that might impact your choice. Overall, Safeco remains a viable option for clients whose needs align with its offerings.