AAA vs. Progressive: Which Company is the Best Fit for You?

Quick Facts

• Based on national averages for auto insurance, Progressive offers significantly cheaper prices than AAA
• Progressive offers more affordable premiums for couples purchasing insurance together
• Progressive offers less expensive average prices for policyholders who live in suburban areas

AAA vs. Progressive: Which Company has the Cheapest Car Insurance?

So, you're considering switching your auto insurance. With so many ads from all sorts of companies offering large discounts, you're probably wondering exactly how much you might be able to save.

You've maybe even narrowed it down to AAA or Progressive as your top options, but between the two, which one will save you the most?

Looking at nationwide averages, AAA has average rates that are about 45% per month more expensive than those from Progressive.

But Progressive may not be the most affordable or best option for each driver out there. Auto insurance companies use tons of complex algorithms to calculate premiums, so depending on how old you are or how good your credit score is (among a range of other factors), you could see wildly different rates from the ones above.

Wanting to know if AAA or Progressive is really the right company for you? Keep on reading to see how average premiums can change based on all of the factors we've mentioned above.

AAA or Progressive: Average Car Insurance Rates by State

AAA and Progressive compete against each other in eight states, with Progressive offering more affordable prices to the average driver in all of them. Missouri has the most noticable difference, where Progressive rates are over 70% less expensive than car insurance premiums at AAA.

That being said, there are plenty of other factors that go into your auto insurance cost than just where you live. Continue reading to learn more about how other factors will affect your rates.

Which is the Best Company For Young Drivers?

You might already know that teen drivers typically pay a lot more for insurance than any other group of drivers out there on the road. Usually, that's because young, inexperienced drivers are statistically much more likely to get into an accident that results in an auto insurance claim, making them much riskier to insure.

But still, even with seemingly sky-high prices, teen drivers can still find ways to save money. For example, 18-year-old drivers pay an average of nearly $250 less a month by choosing Progressive over AAA.

However, with both carriers, you'll see your rates reduce significantly by the time drivers turn 25. For example, average premiums for AAA policyholders decrease more than $400 and Progressive's rates drop around $300 over that time.

Which is the Best Company for Retired Drivers?

Once you approach retirement age, you'll generally enjoy the cheapest car insurance prices you'll ever see. You've been on the road for years, and all that experience pays off when it comes to your monthly premiums for auto insurance.

When looking at AAA and Progressive specifically, which carrier is best for retired drivers? Progressive gets the edge, with rates for drivers 65 and older $107 more affordable than the national average for AAA.

Which is the Best Company for Married Drivers?

You may not be aware, but insurance prices tend to be cheaper for married policyholders than they are for single policyholders. That's normally because married couples tend to own and insure more than one car, which can often earn you a discount.

When it comes to relationship status, Progressive is the clear winner for single drivers, with premiums about $148 per month more affordable than AAA, on average. For married drivers, the advantage is clear again - Progressive has the edge when it comes to average rates.

AAA vs. Progressive: Average Rates by Gender

Men usually pay more for car insurance than women. This is because men are statistically more likely than women to get into accidents and file an insurance claim, which leads to increased risk for insurers and, therefore, higher prices.

Women normally pay over 10% a month less than men with AAA, and around 3% less with Progressive.

Looking at the data for each company specifically, Progressive comes out on top for both men and women. On average, male drivers save about $148 per month and women save about $119 with Progressive compared to the average AAA policyholder.

AAA or Progressive: Compare State Minimum vs. Full Coverage Rates

*State minimum value indicates liability-only policies at each state's minimum bodily injury and property damage (BI/PD) limits

**Full coverage indicates state minimum BI/PD limits with collision and comprehensive coverages added to policy.

For most people, auto insurance isn't the easiest topic to understand. There are so many different terms and limits that it can make it pretty confusing to find the right policy.

Even so, the most common policies that many drivers look at fall into two categories -- liability only (that covers property damage and bodily injury for other drivers and their passengers if you cause an accident) and full coverage (which generally refers to having comprehensive and collision coverages alongside liability).

If you're looking for state minimum limits for liability insurance, Progressive typically offers significantly less expensive rates of $111 compared to AAA's $169. When it comes to full coverage policies with similar limits, Progressive again has the edge, with policies around $200 a month cheaper than AAA, on average.

Is AAA or Progressive Better for Drivers with Spotty Records?

You've probably seen plenty of commercials from car insurance companies offering great premiums for good drivers, but that doesn't mean people with less-than-perfect driving records can't save money, too.

Tickets and collisions will most likely raise your prices, but is AAA or Progressive more affordable for drivers with less-than-perfect records?

Which Company is Best for Drivers with Speeding Tickets?

AAA policyholders can expect their premiums to go up an average of $86 per month if they get a ticket, while Progressive normally raises prices about $31 a month, on average.

That being said, Progressive tends to offer the best prices for drivers both with a speeding ticket and with a clean record, offering rates that are $64 and $119 less expensive, respectively, compared to AAA Insurance.

Which Company is Best for Drivers After an Accident?

Both carriers will increase premiums pretty significantly if you get into an at-fault accident with AAA increasing by just under $150. Progressive has a less extreme increase, but you can still expect to pay $65 more than you were prior to your first collision.

Overall, drivers who use Progressive end up with the cheaper prices after an accident, with monthly prices averaging $214 compared to AAA Insurance's $339.

Which Company is Best for Drivers with a DUI?

On average, a DUI offense is going to cost you much more than a single accident or ticket when it comes to your insurance bill. For example, AAA increases average rates by nearly $200 per month -- that's over a 45% increase.

How does Credit Score Impact AAA and Progressive Rates?

Often times, your credit score can come into play when companies determine your monthly bill. Certain states and carriers do not allow for credit score to be used as a rating factor, but it does affect lots of drivers out there.

Auto insurance companies argue that someone with good credit is more likely to pay their bills on time, which makes them less risky to insure. Because of that, policyholders with good credit will often be rewarded with cheaper prices.

So, which carrier offers the best rates for drivers with poor, average, or good credit?

Which Company is Best for Drivers with Good Credit?

Which Company is Best for Drivers with Bad Credit?

Is AAA or Progressive Better for Drivers who Work from Home or Have Short Commutes?

The amount of time you spend behind the wheel of your car plays a big role in how much car insurance carriers will charge for coverage. Typically, the more miles you put on your vehicle each year, the more you can expect to pay for coverage.

As you can see in the table above, annual mileage doesn't have much of an impact on how much Progressive charges. However, there's a small difference in monthly premiums for AAA, with policyholders who drive 6,000 miles annually paying around $13 less each month compared to those who drive 12,000 miles yearly. Still, Progressive is the more affordable option for drivers in both categories.

AAA vs. Progressive: Compare Rates for Urban, Suburban, and Rural Drivers

We've already mentioned how your home state can play a role in how much you pay for insurance, but the type of area you live in can have a considerable impact as well. Generally, if you live in an urban area with more cars on the road, you'll pay a little more for auto insurance, while the opposite is true for people in rural areas.

Progressive boasts the most affordable average prices for drivers in all types of areas, no matter if they're urban, suburban, or rural.

Policyholders in rural ZIP codes see the cheapest premiums from both companies, but Progressive comes out on top with average prices about $154 a month. Progressive also has cheaper average premiums for drivers in urban and suburban ZIP codes -- a 46% and 41% a month respective difference when compared to AAA policyholders in similar areas.

AAA vs. Progressive Discounts

You want to save as much money as possible, right? The best way to do that is by utilizing as many car insurance discounts as you can.

But where do you even start? With what seems like a million different discounts out there, it may be challenging to find all the ones you qualify for.

Below, we've broken down all of the different discounts offered by both AAA and Progressive so that you can see which company can save you the most money each month.

Overall, Progressive comes out ahead with 34 discounts to AAA's 33.

A couple of those are overlapping for things like anti-theft discounts, discounts for being a defensive driver, distant student discounts, and discounts for being a good student. Progressive also offers ABS discounts, advanced safety feature discounts, agency transfer discounts, and more that AAA does not.

On the flip side, AAA has a couple unique discounts of its own -- AAA discounts, academic discounts, discounts for getting driver training, and more.

Final Thoughts: Is AAA or Progressive Best for You?

You've seen the effect certain variables have on your insurance and the different discounts carriers offer. But, when it comes down to it, is AAA or Progressive the right carrier for you and your specific needs?

Progressive might be best for you if....

• Your driving record contains an at-fault collision.
• You live in a rural neighborhood.

AAA might be best for you if...

• You have a more unique driver profile than those we mentioned above.

We hope this guide helps you get a good idea of the differences between AAA and Progressive and that you can now make a more informed decision when it comes to your car insurance.

But, at the end of the day, there's only one way to know for sure that you're getting the best possible deal on auto insurance -- comparing quotes from several companies, not just AAA and Progressive. Luckily, Compare.com does all the hard work for you. Just enter your ZIP code below and get free quotes from dozens of top insurance carriers in your area, all in just a few minutes.

AAA vs. Progressive FAQs

Is AAA or Progressive cheaper?

Looking just at the national average rates, Progressive is the less expensive of the two companies, offering average rates of $180 per month compared to $314 for AAA. However, Progressive won't necessarily be the lowest carrier for every driver, since there are a range of different factors (things like driving record, age, gender, etc.) that play a role in how much you pay.

Who is better, AAA or Progressive?

Sadly, the real answer is "it depends.". No single company is necessarily "better" for everyone -- it all depends on what your unique auto insurance profile looks like.

Why do AAA and Progressive offer me different rates?

Insurance carriers take a look at a lot of different variables when calculating the premiums they charge drivers. Things like your driving record, gender, where your home is, age, and sometimes even things like your credit score can all be used. Both AAA and Progressive calculate prices using different factors, so each one will most likely offer different rates. The only real way to see which carrier is the cheapest for you is by comparing personalized quotes from a bunch of different companies.

How do I know if AAA or Progressive is right for me?

The only way to find the car insurance company that's right for you is by getting quotes from multiple carriers and finding the one best suited for your individual budget. Luckily, sites like Compare.com do all the hard work for you. Just enter your information once and you'll get free quotes from dozens of the best auto insurance companies in your area. That way, you can guarantee you're getting the best price. And who knows, the best carrier for you might not be AAA or Progressive at all!

Methodology

All of the data referenced in this article has been gathered in collaboration with Quadrant Information Services. We analyzed more than 2.5 million rows of carrier-reported data to calculate the average rates referenced above. All rates are based on an insurance profile of a single-vehicle policy for a driver that owns a 2016 Honda Accord. For more information on how we calculate rates, please reference our data methodology.