The Hanover Insurance Group is a Massachusetts-based insurance company that is also one of the oldest continuously-operating businesses in the United States, founded all the way back in 1852. Today, The Hanover employs 4,600 people across the United States while insuring drivers in every state.
Hanover Insurance History
The Hanover Insurance Group was established in 1852, making it one of the oldest continuously operating businesses in the United States. The company has also paid a cash dividend to shareholders every year since 1853.
For the first 125 years of its history, Hanover Insurance remained a relatively small operation. In the 1970s and 1980s, however, the company exploded with growth. Hanover Insurance’s common stock price multiplied 23 times between 1971 and 1983. It was one of the hottest stocks one of the 1980s.
In 1994, Hanover Insurance changed its name to Allmerica Property & Casualty Companies, Inc. By 1995, the new company had spun off Allmerica Financial Corporation. In 2005, Allmerica Financial Corporation changed its name to The Hanover Insurance Group, Inc., which was reorganized as the parent company of Hanover Insurance and Citizens Insurance. Today, The Hanover Insurance Group insures customers across the United States. However, the company has a particularly significant presence in New England and the northeastern United States.
Hanover Insurance Rankings
The Hanover isn’t one of the top 20 largest insurance companies nationwide, so it doesn’t appear on J.D. Power’s nationwide rankings. However, The Hanover is one of the top insurance companies in J.D. Power’s New England subregion, where it scores about average based on the following factors:
Overall Satisfaction: 3 out of 5
Policy Offerings: 3 out of 5
Price: 2 out of 5
Billing Process and Policy Information: 3 out of 5
Interaction with Policyholders: 4 out of 5
Claims Satisfaction: 3 out of 5
Overall, The Hanover scored average to high compared to its competitors in New England. Only four companies scored better than 3/5 overall (Allstate, GEICO, State Farm, and USAA) for the New England subregion.
We also analyze insurance companies based on financial strength, which examines the company’s ability to pay its claims and cover its liabilities. In recent years, The Hanover has consistently scored an “A” or “Excellent” rating from A.M. Best, indicating that the company has an excellent ability to cover its liabilities and pay off its claims.
What Makes Hanover Unique?
You have dozens of major insurance companies to choose from in the United States. What makes The Hanover unique? Here are several of the company’s distinguishing features:
Multiple Insurance Products: The Hanover is one of America’s oldest insurance companies and has a range of insurance products and policies to match. You can bundle home, auto, business, and life insurance through the company, for example.
Business Insurance: The Hanover is particularly well-known among small and medium-sized business owners. The Hanover’s business insurance includes liability and business property coverage, commercial auto coverage, professional liability policies, workers’ compensation, and more.
Purchase Insurance Through Agents: It can be difficult to compare The Hanover’s insurance prices online because their insurance is sold exclusively through agents. Some drivers like the personal connection, while others prefer the convenience of online shopping.
Superior Service for Higher Prices: The Hanover doesn’t try to compete with other companies on price. Instead, it tries to compete with others on value by delivering premium service at a premium price tag. If you’re willing to pay higher rates for comprehensive insurance that comes standard on every policy, then The Hanover may be the right option for you. If you want good coverage at a rock-bottom price, then The Hanover may not be the right choice.
Is Hanover a Good Insurance Company? Our Review
The Hanover is a unique insurance company: its prices are significantly higher than most of its competitors, but drivers also get considerably more coverage with even the most basic policies. If you’re willing to pay more money for better peace of mind, then The Hanover might be the right choice for you. If you’re looking for decent coverage at a rock bottom price, however, then you might want to look elsewhere.
Despite the high prices, The Hanover scores about average in terms of customer service and claims satisfaction. It’s not among the best companies in the latest J.D. Power rankings, for example, with an overall rating of 3 stars out of 5.
Despite the average rankings, most reviewers online have good things to say about The Hanover – especially reviewers who don’t mind paying higher prices for higher coverage. If you’re willing to spend more money to get more coverage, then The Hanover might be the right choice for you.
Hanover Auto Insurance Policies and Products
The Hanover has a range of standard auto insurance policies and products. Here are some of the features, policy options, and coverage options, however, that make The Hanover unique:
Platinum Essential: The Hanover’s base policy is called Platinum Essential. This policy includes features like a deductible waiver for multi-policy claims, child restraint replacement coverage, enhanced rental car coverage, and enhanced towing and labor coverage – all of which rarely come standard with other car insurance policies from competing companies.
Platinum Auto Elite: This option policy adds the highest level of coverage, including everything listed above along with rental car benefits, pet medical coverage, trip interruption coverage, and more.
Travel Right Enhancement: The Hanover’s Travel Right enhancement is an optional policy that reimburses up to $1,000 for lodging and travel so drivers can reach their destination without interruption.
Insurance for Pets Injured in Accidents: The Hanover is one of the few car insurance companies that extends coverage to any pets injured in a car accident, including up to $500 in veterinary expenses and $500 in burial services.
Home Care Services: Home Care Services is another optional enhancement available through The Hanover. It covers housekeeping, cooking, transportation, lawn mowing, snow removal, and similar tasks around the house for drivers seriously injured in a car accident and recuperating at home.
The Hanover is one of the costlier insurance providers in the United States. However, the company doesn’t try to compete with competitively priced providers like GEICO and Allstate; instead, The Hanover competes based on value, providing extended value even on the most basic plans. The Hanover also offers a range of business, life, home, and auto insurance products to cater to all needs. Massachusetts-based The Hanover is particularly popular in the New England area, where it’s one of the region’s most prominent and best-known insurance providers.