AIG vs. Allstate: Which Company is the Best Fit for You?

Quick Facts

• Based on national averages for car insurance, Allstate offers significantly less expensive rates than AIG
• Allstate offers more affordable average prices for single people who will be the only person on the auto insurance policy
• Allstate has cheaper premiums for policyholders who live in urban areas

AIG or Allstate: Which Company has the Cheapest Car Insurance?

Are you in the market for a new insurance policy? You've probably seen commercials and billboards from companies offering pretty big savings, but exactly how much money can you save by switching?

You might have narrowed it down to AIG or Allstate, but between the two, which one will offer you less expensive prices?

Looking at nationwide averages, AIG has average rates that are around 25% a month more expensive than those from Allstate.

However, that doesn't mean Allstate will necessarily be more affordable than AIG for every single driver. Car insurance carriers use a variety of complex algorithms to determine rates, so depending on how old you are or how clean your driving record is (among a wide array of other factors), you could see wildly different premiums from the ones above.

Luckily, we've broken down average prices from both AIG and Allstate by a variety of different rate factors, so read on to find out which company is the best for you.

AIG vs. Allstate: Average Car Insurance Rates by State

AIG and Allstate only compete against each other in Florida, where AIG offers the cheaper average rates. Undefined drivers tend to pay about undefined per month less on average compared to drivers who use undefined for their auto insurance.

That being said, there's a lot more that goes into your insurance bill than just where you call home. Read on to learn more.

Which is the Best Company For Young Drivers?

You might already know that teen drivers generally pay a lot more for car insurance than any other group of drivers out there on the road. The reason is that teen drivers are statistically much more likely to get into an accident that results in an insurance claim, making them much riskier to insure.

But that doesn't mean that teen drivers have to just accept sky-high insurance prices. As you can see above, teens who use AIG save almost 7% a month compared to those who use Allstate.

Even so, both companies will lower rates by the time you turn 25. Allstate offers the steepest decrease, with 25-year-olds paying less than a third of what 18-year-old drivers are charged. AIG's average premiums drop nearly 35% during that same period.

Which is the Best Company for Retired Drivers?

Drivers around retirement age usually enjoy some of the most affordable auto insurance prices you'll ever find. After all, they've likely been driving for quite some time, which normally lowers their chances of collisions and other infractions that can raise rates.

So, which carrier offers the best premiums to retired drivers? Allstate gets the edge, with rates for drivers 65 and older $67 cheaper than the national average for AIG.

Which is the Best Company for Married Drivers?

Married drivers tend to get slightly less expensive car insurance premiums than single drivers. That's because policies for married policyholders typically cover several vehicles, which a lot of carriers will give you a discount for.

For single policyholders, the difference in average prices between these two companies is significant, with Allstate rates coming in at a quarter less than AIG's. The advantage for married couples with Allstate is also obvious, where drivers save about $85 per month.

AIG or Allstate: Average Rates by Gender

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

With AIG, men typically pay around $15 a month more than women, and about $10 with Allstate.

When it comes to the cheapest premiums for each gender, Allstate comes out on top for both men and women. On average, male drivers save about $71 per month and women save around $65 with Allstate compared to the average AIG policyholder.

AIG vs. Allstate: 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.

Auto insurance isn't the easiest topic to understand. There are so many different limits and terms that it can make it pretty confusing to find the right policy for you.

The two most common policies that drivers look at fall into two categories -- liability coverage (which provides property damage and bodily injury coverage for other drivers and their passengers if you cause a collision) and full coverage (which normally refers to having collision and comprehensive coverages alongside liability coverage).

Looking specifically at state minimum limits for liability insurance, Allstate has the edge, with average monthly rates coming in at $108. If you want a full coverage policy with the same state minimum limits, Allstate again has the edge, with policies averaging about $289 a month to AIG's $405.

Is AIG or Allstate Better for Drivers with Spotty Records?

It's no secret -- drivers with good records end up getting the best deals on their car insurance. But that's not to say you can't save money if you don't have the best driving record, either.

You'll probably end up paying more with speeding tickets and accidents on your record, but which of these two carriers offers the lowest prices to drivers with spotty records?

Which Company is Best for Drivers with Speeding Tickets?

Policyholders who use AIG for their insurance can generally expect their monthly bill to go up around 25% after getting a speeding ticket. Allstate policyholders can expect a less drastic increase of about 15%.

That being said, Allstate is normally the more affordable option for both drivers who have a recent ticket and those with clean records. With Allstate, drivers with a clean record can save around $66 per month and drivers with a speeding ticket can save about $112 a month.

Which Company is Best for Drivers After an Accident?

After an accident, drivers who have their auto insurance through AIG can expect to see around an $83 -- or about 27% -- rise in their insurance premiums. Drivers who use Allstate for their auto insurance will see a monthly bill around $73 (or 32%) more expensive after reporting an accident to their car insurance company.

At the end of the day, drivers who use Allstate end up with the cheaper prices after an accident, with average rates coming in at $229 compared to AIG's $305.

Which Company is Best for Drivers with a DUI?

On average, a DUI offense is going to cost you much more than a single collision or ticket when it comes to your insurance bill. On average, Allstate will increase your prices about 31% after a DUI, while AIG's average premiums rise by nearly 10%.

How does Credit Score Impact AIG and Allstate Rates?

Did you know many auto insurance companies take your credit score into account when determining prices? This isn't true for everyone (for example, California and Massachusetts are two states that ban the practice entirely), but it will come into play for quite a few drivers.

The reasoning car insurance carriers use is that policyholders with good credit will be more likely to pay their bills on time; so they'll reward them with cheaper premiums, while those with poor credit will usually be forced to pay more.

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 AIG or Allstate Better for Drivers who Work from Home or Have Short Commutes?

Did you know that the amount of time you spend in your car have a large impact on your monthly auto insurance cost? That's because the fewer miles you drive, the less likely you are to be in a collision and file an insurance claim.

For both remote workers and those taking short commutes, Allstate offers less expensive prices than AIG. Allstate's average premiums for drivers with 6,000 annual miles come in more than 25% more affordable than AIG. Those who drive 12,000 miles annually can expect to pay over 25% less with Allstate over AIG.

AIG or Allstate: Compare Rates for Urban, Suburban, and Rural Drivers

Where your home is can have a substantial impact on your monthly car insurance payment. Typically, those who live in rural areas will pay less than policyholders in urban areas because of the small number of cars that are on the roads where they live.

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

For drivers in urban ZIP codes, Allstate's average prices are around $222 while AIG offers premiums about $330. People in suburban areas pay a monthly rate of around $199 with Allstate compared to $284 with AIG. If you live in a rural area, you can expect to pay about $174 monthly with Allstate and $187 with AIG.

AIG vs. Allstate Discounts

No matter why you might be in the market for a new insurance policy, you're always going to want to save as much money as you can. That's where auto insurance discounts comes into play.

The challenging part is finding all of the discounts you're eligible for, since it can feel sometimes like every carrier has different discounts and each one is advertised differently.

Luckily, we did the hard work for you and looked at all of the different discounts AIG and Allstate offer their customers so that you can easily see which company offers the most discounts and see which ones you might be able to take advantage of.

Allstate blows AIG away when it comes to the sheer amount of discounts available, offering 27 more discounts than AIG.

There are a couple discounts both companies offer, but Allstate also offers discounts for agency transfer, alert driving, annual mileage, and more.

On the other hand, AIG has a few proprietary discounts of their own for things like guard gated discounts, hybrid vehicle discounts, low mileage discounts, and more.

Final Thoughts: Is AIG or Allstate Best for You?

So, we've broken down the average prices for many of the variables insurance carriers look at, and we've shown you all the discounts each company offers. But, when it comes down to it, which carrier is the best carrier for you and your specific driver profile?

Allstate might be best for you if....

• You're planning on moving to another state soon -- undefined only offers policies in.
• Your credit is less-than-stellar.
• Your neighborhood is in the suburbs.

AIG might be best for you if...

• You want to save money while purchasing car insurance for a teenager.

Hopefully, this guide has ben a valuable resource as you compare AIG and Allstate and that it aids in making a more informed decision about your auto insurance.

At the end of the day, the sure-fire way to make sure you're getting the best deal on your insurance policy is to compare quotes from a handful of companies, not just AIG and Allstate. Luckily, Compare.com does all the hard work for you. Just enter your ZIP code below and get multiple quotes from some of the best car insurance carriers in your area, all for free.

AIG vs. Allstate FAQs

Is AIG or Allstate cheaper?

Allstate is the cheaper of the two companies when looking at national average rates, with policies averaging $199 per month with Allstate and $267 for AIG. But that doesn't mean Allstate will be the lowest company for everyone, since there are multiple different factors that come into play when it comes to your insurance cost.

Who is better, AIG or Allstate?

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

Why do AIG and Allstate offer me different rates?

Auto insurance carriers use several different variables when calculating the premiums they charge. Factors such as gender, age, your driving record, where you live, and sometimes even things like your credit score can all come into play. Both AIG and Allstate use different formulas, so it's likely they'll offer different prices. The best way to determine which company is the cheapest for you is by comparing personalized quotes from a range of different companies.

How do I know if AIG or Allstate is right for me?

The only way to find the insurance carrier that's right for you is by getting quotes from multiple carriers and finding the one best suited for your individual budget. Luckily, Compare.com makes it easy for you to do just that. Just enter your information once and you'll get quotes from dozens of your local top car insurance companies for free. That way, you can guarantee you're getting the lowest price. And maybe you'll find that the best company for you isn't AIG or Allstate at all, but another you hadn't even thought of!

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.