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

Quick Facts

• Looking at the national averages for car insurance, The General offers significantly less expensive rates than AAA
• AAA offers more discounts than The General
• The General offers more affordable prices for residents of rural areas

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

So, you're thinking about switching your auto insurance. After all, you've seen ads from all sorts of companies offering large discounts. But exactly how much can you save by switching?

You might have narrowed it down to AAA or The General for your next policy, but between the two, which one will save you the most?

Looking at the national average rates for both companies, The General has average rates that are about 23% per month more affordable than those from AAA.

Even so, that doesn't necessarily mean The General will be the cheaper option for every single driver. After all, auto insurance carriers can offer drastically different rates to each driver depending on rating factors like your driving record, your age, where you call home, or even your credit score (among other things). So, at the end of the day, premiums from every company will differ quite a bit from person to person.

Luckily, we've broken down average rates from both AAA and The General by a variety of different rate factors, so read on to find out which carrier is the best for you.

AAA or The General: Average Car Insurance Rates by State

AAA and The General only compete against each other in two states, with The General offering more affordable prices to the average driver in all of them. Arizona has the most noticable difference, where The General premiums are over 40% less expensive than insurance prices at AAA.

But there's more to car insurance than just where you call home. As we mentioned above, there's a lot of things that go into how insurance companies calculate your rates. Keep reading to learn more.

Which is the Best Company For Young Drivers?

Young drivers -- especially teens -- generally pay a lot for auto insurance compared to older drivers. The reason is that 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.

However, that doesn't mean that teen drivers have to just accept sky-high car insurance premiums. As you can see above, teens who use The General save nearly $250 a month compared to those who use AAA.

That being said, both carriers will reduce prices by the time drivers turn 25. For example, average rates for AAA policyholders decrease almost 60% and The General's prices drop more than 45% over that time.

Which is the Best Company for Retired Drivers?

Drivers around retirement age usually enjoy some of the most affordable insurance premiums you'll ever see. After all, they've likely been driving for quite some time, which normally decreases their chances of accidents and other infractions that can increase rates.

But who has the best prices for retired drivers between AAA and The General? The General gets the edge, with premiums for drivers 65 and older nearly 20% cheaper than the national average for AAA.

Which is the Best Company for Married Drivers?

You may not be aware, but auto insurance rates tend to be more affordable for married couples than they are for those who are single. That's typically because married policyholders tend to own and insure several cars, which can often earn you a discount.

When it comes to relationship status, The General is the clear winner for single policyholders, with premiums around $90 per month less expensive than AAA, on average. For married drivers, the advantage is clear again - The General has the edge when it comes to average prices.

AAA vs. The General: Average Rates by Gender

You may not know, but car insurance is generally cheaper for women than it is for men. This is because men are statistically more likely than women to get into collisions and get speeding tickets, which leads to increased risk for insurers and, therefore, higher rates.

Usually, men see premiums over 10% a month higher with AAA, and more than 10% with The General.

Looking at the data for each company specifically, The General offers the cheapest average prices for both men and women, with average rates $74 less for men and $72 cheaper for women.

AAA or The General: 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.

It's no secret that auto insurance can be pretty complicated. Everyone needs insurance, but there are so many different terms and limits that it can be hard to find the right policy.

But most policies end up falling into two different types of coverage -- liability only (which provides bodily injury and property damage coverage for other drivers and their passengers if you cause an accident) and full coverage (which normally refers to having comprehensive and collision coverages alongside liability coverage).

If you're looking for state minimum liability insurance, The General typically offers slightly cheaper prices of $154 compared to AAA's $169. When it comes to full coverage policies with similar limits, The General again has the edge, with policies about $150 per month less expensive than AAA, on average.

Is AAA or The General 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.

It's no secret secret that at-fault collisions and tickets lead to higher rates, but which carrier -- AAA or The General -- has the most affordable premiums for drivers with less-than-perfect records?

Which Company is Best for Drivers with Speeding Tickets?

AAA policyholders can expect their prices to go up an average of $86 a month if they get a ticket, while The General usually raises rates around $48 per month, on average.

Even so, The General has more affordable prices for drivers in both categories, offering premiums that are 10% and 20% cheaper, respectively, compared to AAA Insurance.

Which Company is Best for Drivers After an Accident?

Both carriers will raise rates pretty significantly if you get into an at-fault accident with AAA raising by just under $150. The General has a less extreme climb, but you can still expect to pay over $85 more than you were prior to your first collision.

Overall, drivers who use The General end up with the cheaper prices after an accident, with monthly prices averaging $279 compared to AAA Insurance's $339.

Which Company is Best for Drivers with a DUI?

If you get a DUI charge on your record, it's probably going to cost you more than a simple speeding ticket or even a collision. For example, AAA increases average premiums by nearly $200 a month -- that's over a 45% increase.

If you have a DUI on your record and are looking for more affordable rates, The General tends to be the much more affordable option with average premiums of $254 monthly compared to $403 from AAA.

How does Credit Score Impact AAA and The General Rates?

Did you know that many auto insurance companies take your credit score into account when calculating rates? This isn't always the case (California, for example, has banned the use of credit score as a rating factor) but it will come into play for several drivers.

Insurance carriers argue that someone with bad credit is less likely to pay their bills on time, which makes them riskier to insure. Because of that, policyholders with bad credit will often be forced to pay more.

Looking specifically at AAA and The General, which carrier has the best prices for drivers at different credit levels?

Which Company is Best for Drivers with Good Credit?

If you have great credit, you'll usually find a better deal with The General. Policyholders with "excellent" credit can save 5% compared to AAA, and those with "good" scores can also expect to see savings -- about $30 or 12% less expensive each month.

Which Company is Best for Drivers with Bad Credit?

The General typically offers lower premiums than AAA when it comes to drivers with bad credit. Drivers with "fair" credit pay around $58 per month less with The General compared to AAA, and those with "poor" scores generally save an average of about $214 a month.

Is AAA or The General 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 your monthly rates. Normally, 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 The General charges. However, there's a small difference in monthly prices for AAA, with policyholders who drive the least paying around $13 less every month compared to those who drive 12,000 miles each year. Still, The General is the cheaper option for drivers in both categories.

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

Where you call home can play a sizable role in how much you pay for car insurance. Usually, those who live in rural areas will pay less than drivers in urban areas due to the small number of cars that are on the roads in those areas.

The General tends to offer the cheapest prices for drivers in all types of areas, no matter if they're urban, suburban, or rural.

For policyholders in urban ZIP codes, The General offers rates about $310 per month compared to AAA's $384. People who live in suburban ZIP codes can expect to pay around $225 a month for The General and $301 for AAA. Lastly, those in rural areas tend to get the most affordable premiums from both companies, with average monthly prices coming in at $189 and $256 for The General and AAA respectively.

AAA vs. The General Discounts

Regardless of why you might be in the market for a new insurance policy, you're always going to want to save as much money as possible, and the best way to do that is by taking advantage of as many auto 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.

In the table below, we've compared all of the different discounts offered by AAA and The General so that you can see which company can save you the most money each month.

AAA knocks The General out of the park when it comes to the sheer number of discounts available, offering 33 different discounts to The General's six.

Both carriers offer quite a few of the same discounts -- like discounts for being a defensive driver, discounts for being a homeowner, and paid in full discounts -- but AAA also offers AAA discounts, academic discounts, advance quote discounts, and more that The General does not.

On the flip side, The General has a couple unique discounts of its own -- liability only discounts and star level discounts.

Final Thoughts: Is AAA or The General Best for You?

So, you've seen how different factors can affect your car insurance rates. We've shown you all the discounts each carrier offers, too. That's all well and good, but when it comes down to it, is AAA or The General the best one for you and your specific profile and needs?

The General might be best for you if....

• You have received a ticket within the last few years.
• You and your spouse are buying auto insurance together.

AAA might be best for you if...

• You care about discounts (Aaa offers the most).

We hope this guide helps you get a good idea of the differences between AAA and The General. We also hope we've given you the information you need to make the best decision when it comes to your 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 car insurance -- comparing quotes from multiple companies, not just AAA and The General. Luckily, Compare.com makes it easy for you to do just that. Simply enter your ZIP codes below and get multiple free quotes from some of the best insurance carriers in your area, all in just a few minutes.

AAA vs. The General FAQs

Is AAA or The General cheaper?

Looking just at the national average prices, The General is the less expensive of the two companies, offering average rates of $241 per month compared to $314 for AAA. However, The General won't necessarily be the lowest company for every policyholder, since there are multiple different variables that come into play when it comes to your auto insurance payment.

Who is better, AAA or The General?

Unfortunately, the real answer is "it depends.". No single carrier is "better" for everyone -- it all depends on the makeup of your unique car insurance profile.

Why do AAA and The General offer me different rates?

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

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

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