Aig vs. GEICO: Which Company is the Best Fit for You?

So, you're in the market for a new auto insurance policy. You may have even narrowed down your search to Aig and GEICO. But which of these two companies is the best one for you? Read on to find which carrier has the best premiums and biggest discounts.
Newly insured car driving down the road
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Quick Facts

  • Based on national averages for car insurance, GEICO offers significantly less expensive rates than Aig
  • Aig offers more affordable average prices for drivers with a DUI
  • GEICO offers more affordable rates for drivers who have below-average credit


Aig or GEICO: Which Company has the Cheapest Car Insurance?

Are you considering a new insurance policy? You've probably seen commercials and billboards from companies offering hefty savings, but exactly how much money can you save by switching?

You might have narrowed it down to Aig or GEICO for your next policy, but between the two, which company will offer you cheaper premiums?

Aig GEICO
$267$185

Looking at the national average rates for both carriers, Aig has average rates that are around 30% a month more expensive than those from GEICO.

But GEICO may not be the most affordable or best option for each driver out there. Insurance companies vary their prices depending on things like how old you are, where you live, how good your credit score is, how clean your driving record is, and tons of other factors, so premiums will differ quite a bit from person to person.

Luckily, we've broken down average prices from both Aig and GEICO by multiple different rate factors, so read on to find out which company is the best for you.

Aig vs. GEICO: Average Car Insurance Rates by State

State Aig GEICO
FL$267$176

Aig and GEICO only compete against each other in Florida, where GEICO offers the cheaper average rates. GEICO drivers tend to pay about $91 per month less on average compared to drivers who use Aig for their car insurance.

There are plenty of other factors that go into your auto insurance cost than just the state you live in. Keep reading to learn more.


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Which is the Best Company For Young Drivers?

Aig GEICO
18-year-old drivers$415$369
25-year-old drivers$273$163

Young drivers -- especially teens -- typically pay a lot for insurance compared to older drivers. Usually, that's because teen 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 teen drivers can't still save money on their auto insurance. As you can see above, teens who use GEICO save over 10% a month compared to those who use Aig.

Even so, both carriers will decrease prices by the time you turn 25. GEICO offers the steepest decrease, with 25-year-olds paying less than half what 18-year-old drivers are charged. Aig's average premiums reduce almost 35% during that same period.

Which is the Best Company for Retired Drivers?

Aig GEICO
65+-year-old drivers$219$148

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

When looking at Aig and GEICO specifically, which carrier is best for retired drivers? GEICO gets the edge, with prices for drivers 65 and older $71 more affordable than the national average for Aig.

Which is the Best Company for Married Drivers?

Aig GEICO
Single$286$208
Married$242$154

Those who are single tend to get offered slightly more expensive car insurance rates than married policyholders. That's because policies for married couples usually cover more than one vehicle, which many companies will give you a discount for.

For single drivers, the difference in average prices between these two carriers is significant, with GEICO premiums coming in at a quarter less than Aig's. The advantage for married drivers with GEICO is also obvious, where drivers save more than 35% per month.

Aig or GEICO: Average Rates by Gender

Aig GEICO
Male$274$189
Female$259$181

Did you know women generally pay less for insurance than men? This is because men are statistically more likely than women to get pulled over for speeding or get into a collision, which leads to increased risk for insurers and, therefore, higher rates.

Usually, women see prices about 5% a month less with Aig, and around 4% less with GEICO when compared to their male counterparts.

Looking at the data for each company specifically, GEICO comes out as the cheapest option for both genders. On average, women save about $78 per month and men save about $85 with GEICO compared to the average Aig policyholder.


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Aig vs. GEICO: Compare State Minimum vs. Full Coverage Rates

Aig GEICO
State Minimum*$129$101
Full Coverage**$405$269

*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 terms and limits that it can make it pretty confusing to find the right policy for you.

The two most common policies end up falling into two different types of coverage -- liability coverage (which covers the other party's property damage and injuries if you cause an accident) and full coverage (which includes two additional coverages -- collision and comprehensive -- alongside what you get with a liability policy).

Looking specifically at state minimum liability insurance, GEICO has the edge, with average monthly premiums coming in at $101. If you want a full coverage policy with the same state minimum limits, GEICO again has the edge, with policies averaging around $269 a month to Aig's $405.

Is Aig or GEICO Better for Drivers with Spotty Records?

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

Speeding tickets and at-fault accidents will most likely raise your premiums, but is Aig or GEICO less expensive for drivers with less-than-ideal driving records?

Which Company is Best for Drivers with Speeding Tickets?

Aig GEICO
Clean Record$222$115
1 Speeding Ticket$295$150

Policyholders who use Aig for their auto insurance can typically expect their monthly bill to go up about 25% after getting a speeding ticket. GEICO policyholders can expect a less drastic increase of around 23%.

That being said, GEICO tends to offer the best prices for both drivers who have a recent ticket and those with clean records -- their rates are around 48% cheaper for drivers with clean records and 49% less expensive for those with a ticket.

Which Company is Best for Drivers After an Accident?

Aig GEICO
Clean Record$222$115
1 At-Fault Accident$305$200

Aig drivers who get in a collision can expect to see their rates rise by over 25%, while those who have insurance through GEICO will see about a 45% increase.

At the end of the day, GEICO offers the lowest prices for drivers with an at-fault collision on their records, with average premiums coming in at $200 compared to AIG's $305.

Which Company is Best for Drivers with a DUI?

Aig GEICO
Clean Record$222$115
1 DUI$246$275

If you get a DUI charge on your record, it's probably going to cost you more than a simple speeding ticket or even an accident. GEICO drivers usually see a 58% increase in their insurance prices after a DUI charge, while Aig will normally raise rates by around 10%.


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How does Credit Score Impact Aig and GEICO Rates?

You may not have known, but your credit score can come into play when carriers determine your monthly bill. This isn't true for everyone (for example, Massachusetts and California are two states that ban the practice entirely), but it will come into play for quite a few policyholders.

Car insurance companies argue that those with poor credit scores are less likely to pay their bills on time every month, which raises the risk involved on their end, while the opposite is true for those with good credit.

Looking specifically at Aig and GEICO, which one has the best premiums for drivers at different credit levels?

Which Company is Best for Drivers with Good Credit?

Aig GEICO
Excellent Credit Score$252$131
Good Credit Score$263$164

Which Company is Best for Drivers with Bad Credit?

Aig GEICO
Fair Credit Score$267$197
Poor Credit Score$284$253

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Is Aig or GEICO Better for Drivers who Work from Home or Have Short Commutes?

Aig GEICO
6,000 Annual Miles$263$181
12,000 Annual Miles$271$189

The amount of time you spend behind the wheel of your car plays a big role in your monthly insurance payment. Generally, the more milage you put on your car, the more you can expect to pay for coverage.

GEICO tends to be the more affordable option for both remote workers and those taking short commutes. Aig's average rates for drivers with 6,000 annual miles come in about 31% more expensive than GEICO. Those who drive 12,000 miles each year can expect to pay around 30% more with Aig over GEICO.

Aig or GEICO: Compare Rates for Urban, Suburban, and Rural Drivers

Where your home is can play a sizable role in how much you pay for auto insurance. Usually, if you live in an urban area with more cars on the road, you'll pay a little more for car insurance, while the opposite is true for people in rural areas.

Aig GEICO
Urban Areas$330$211
Suburban Areas$284$185
Rural Areas$187$159

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

For drivers in urban ZIP codes, GEICO's average prices are about $211 while Aig offers rates around $330. People in suburban areas pay a monthly premium of about $185 with GEICO compared to $284 with Aig. If you live in a rural area, you can expect to pay around $159 monthly with GEICO and $187 with Aig.

Aig vs. GEICO 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.

But with what seems like a million different discounts out there, it can be challenging to nail down the company that has the most discounts for your unique driver profile and to find all the discounts you qualify for.

Luckily, we did the hard work for you and broke down all of the different discounts offered by both Aig and GEICO so that you can easily see which company offers the most discounts and, therefore, the largest savings.

Aig GEICO
ABS Discount
Advance Quote Discount 
Anti-Theft Discount
Commercial Drivers License Discount 
Covid-19 Relief Discount 
Defensive Driver Discount
Deployed Driver Discount 
Distant Student Discount
Driver Training Discount 
DRL Discount 
EFT Discount 
Employee Discount 
Full Coverage Discount 
Good Driving Discount
Good Student Discount 
Group Discount 
Guard Gated Discount 
Hybrid Vehicle Discount 
Low Mileage Discount 
Mature Driver Discount 

GEICO blows Aig away when it comes to the sheer amount of discounts available, offering 15 more discounts than Aig.

Both carriers offer a lot of the same discounts -- like anti-theft discounts, distant student discounts, and discounts for being a good driver -- but GEICO also offers discounts for commercial drivers license, COVID-19 relief, deployed driver, and more.

On the other hand, Aig has a few proprietary discounts of their own for things like advance quote discounts, guard gated discounts, hybrid vehicle discounts, and more.


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Final Thoughts: Is Aig or GEICO Best for You?

So, we've broken down the average premiums for many of the variables car insurance companies look at, and walked through the different discounts each carrier offers, too. But, when it comes down to it, which insurance company is the right carrier for you and your specific profile and needs?

GEICO might be best for you if....

  • Your driving record contains an at-fault accident.
  • Your neighborhood is in a city.
  • You and your spouse are buying auto insurance together.


Aig might be best for you if...

  • Your driving record includes a DUI charge.

Hopefully, this guide helps you get a good idea of the differences between Aig and GEICO. We also hope we've given you the information you need to make the best decision about your car 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 several carriers, not just Aig and GEICO. Luckily, sites like Compare.com do all the hard work for you. Just enter your ZIP code below and get free quotes from dozens of top auto insurance companies in your area, all in just a few minutes.


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Aig vs. GEICO FAQs

Is Aig or GEICO cheaper?

GEICO is the cheaper of the two carriers when looking at national average prices, with policies averaging $185 per month with GEICO and $267 for Aig. But that doesn't mean GEICO will be the lowest carrier for every driver, since there are several different factors that are considered when it comes to your insurance bill.

Who is better, Aig or GEICO?

Sadly, the answer truly is "it depends.". One company is not "better" for everyone -- it all depends on the makeup of your unique car insurance profile. For example, GEICO is less expensive for drivers with excellent credit, while Aig offers more affordable premiums for drivers with a recent DUI.

Why do Aig and GEICO offer me different rates?

Auto insurance companies use a lot of different variables when determining the prices they charge. Things such as where you live, gender, where you park your vehicle, age, and sometimes even things like your credit score can all be used. Both Aig and GEICO use different formulas, so it's likely they'll offer different rates. The best way to determine which carrier is the most affordable for you is by comparing personalized quotes from many different carriers.

How do I know if Aig or GEICO is right for me?

The only way to find the car insurance company that's right for you is by getting quotes from multiple companies and finding the one best suited for your individual budget. Luckily, sites like Compare.com make it easy for you to do just that. Just enter your ZIP code and you'll get quotes from dozens of your local top insurance carriers for free. With those, you can guarantee you're getting the cheapest rate. And maybe you'll find that the best carrier for you isn't Aig or GEICO 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.

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