Alliance United vs. Mercury: Which Company is the Best Fit for You?

Quick Facts

• Looking at the national averages for car insurance, Alliance United offers significantly less expensive prices than Mercury
• Alliance United tends to be a much cheaper option for policyholders who drive fewer than 12,000 miles every year
• Mercury may help you save more money -- they offer more discounts than Alliance United

Alliance United or Mercury: Which Company has the Cheapest Car Insurance?

Are you considering a new insurance policy? After all, you've seen ads from all sorts of companies offering hefty savings. But exactly how much can you save by switching?

You've maybe even narrowed it down to Alliance United or Mercury as your top options, but which company will save you the most?

Looking at the national average rates for both carriers, Mercury has average rates that are around 24% a month more expensive than those from Alliance United.

However, Alliance United may not be the lowest or best option for each driver out there. Auto insurance companies 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 whole range of other factors), you could see wildly different premiums from the ones above.

Luckily, we've broken down average rates from both Alliance United and Mercury by a range of different rate factors, so read on to find out which company is the best for you.

Alliance United vs. Mercury: Average Car Insurance Rates by State

Alliance United and Mercury only compete against each other in California, where Mercury offers the cheaper average prices. Mercury drivers tend to pay about $100 per month less on average compared to drivers who use Alliance United for their car insurance.

There are plenty of other factors that go into your insurance bill than just where you call home. Keep reading to find out more.

Which is the Best Company For Young Drivers?

You might already know that teen drivers usually pay a lot more for auto insurance than any other group of drivers out there on the road. It'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.

That being said, that doesn't mean teen drivers can't still save money on their insurance. Just look at the table above -- where 18-year-old drivers who have Alliance United for their car insurance pay over 40% less than those who use Mercury.

But both carriers will drop premiums by the time you turn 25. Mercury offers the steepest decrease, with 25-year-olds paying less than a third of what 18-year-old drivers are charged. That being said, Alliance United still has the most affordable prices at $229 a month.

Which is the Best Company for Retired Drivers?

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

When looking at Alliance United and Mercury specifically, which carrier is best for retired drivers? Alliance United gets the edge, with rates for drivers 65 and older $25 more affordable than the national average for Mercury.

Which is the Best Company for Married Drivers?

Did you know that car insurance prices are typically more expensive for those who are single than they are for married couples? That's normally because married policyholders tend to own and insure more than one vehicle, which can often earn you a discount.

For single drivers, the difference in average premiums between these two companies is significant, with Alliance United prices coming in at a third less than Mercury's. But for married drivers, that advantage is much less clear - Alliance United has the edge when it comes to average rates.

Alliance United or Mercury: Average Rates by Gender

Men are statistically more likely than women to cause a collision and get into accidents. That means when it comes to insurance men will typically end up paying a little more.

Men and women get the same monthly prices with Alliance United, but with Mercury, the difference is closer to $14 a month.

Looking at the data for each company specifically, Alliance United offers the lowest average rates for both men and women. On average, male drivers save about $77 per month and women save about $63 with Alliance United compared to the average Mercury policyholder.

Alliance United vs. Mercury: 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 a complicated subject for most people. There are so many different limits and coverages 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 passengers if you cause a collision) and full coverage (which usually refers to having collision and comprehensive coverages in addition to what you get with liability coverage).

Looking specifically at state minimum liability insurance, Alliance United has the significant edge, with average monthly premiums coming in at $102. If you want a full coverage policy with the same state minimum limits, Alliance United again has the edge, with policies averaging around $349 a month to Mercury's $406.

Is Alliance United or Mercury Better for Drivers with Spotty Records?

You've probably seen plenty of commercials from insurance carriers offering great prices 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 speeding tickets and accidents lead to higher premiums, but which carrier -- Alliance United or Mercury -- has the cheapest rates for drivers with less-than-perfect records?

Which Company is Best for Drivers with Speeding Tickets?

Policyholders who use Alliance United for their car insurance can generally expect their monthly bill to go up about 25% after getting a speeding ticket. Mercury policyholders can expect a less drastic increase of around 19%.

Even so, Alliance United has less expensive premiums for drivers in both categories -- their rates are around 41% more affordable for drivers with clean records and 37% cheaper for those with a ticket.

Which Company is Best for Drivers After an Accident?

Both companies will increase rates pretty significantly if you get into an at-fault collision with Alliance United raising by about 52%. Mercury has a less extreme climb, but you can still expect to pay more than 30% more than you were prior to your first accident.

At the end of the day, drivers who use Alliance United end up with the cheaper prices after an accident, with average prices coming in at $289 compared to Mercury Insurance's $346.

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. For example, Alliance United increases average premiums by $150 per month -- that's over a 50% increase.

How does Credit Score Impact Alliance United and Mercury Rates?

You may not have known, but your credit score can come into play when carriers calculate your monthly bill. This isn't true for everyone (for example, are two states that ban the practice entirely), but it does affect lots of drivers out there.

The reasoning car insurance companies use is that policyholders with bad credit will be less likely to pay their bills on time; so normally, they'll be asked to pay more, while those with good credit will be rewarded with more affordable prices.

Looking at Alliance United and Mercury specifically, which carrier has the best rates for drivers at different credit levels?

Which Company is Best for Drivers with Good Credit?

You'll often be rewarded if you have fantastic credit. With Mercury Insurance, improving your score from "good" to "excellent" will typically save you around 15%. On the other hand, because undefined doesn't have data available for credit scores, they most likely don't use credit to calculate your prices.

Which Company is Best for Drivers with Bad Credit?

Having bad credit usually means you'll also see higher rates with Mercury Insurance. For drivers with less-than-stellar credit, at Mercury Insurance, you may pay about 25% a month more if you have "poor" credit compared to those with "fair" scores. It's an even larger difference when compared to drivers with "good" or "excellent" scores. On the other hand, because undefined doesn't have data available for credit scores, they might have better premiums for drivers with bad credit over Mercury Insurance.

Is Alliance United or Mercury 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. That's because the fewer miles you put on your car each year, the less likely you are to be in an accident and file an insurance claim.

As you can see in the table above, annual mileage doesn't have much of an impact on how much Mercury charges. However, there's a small difference in monthly premiums for Alliance United, with drivers who put 6,000 miles on their vehicle annually paying around $23 less each month compared to those who drive 12,000 miles yearly. Still, for drivers in both categories, Alliance United is the cheaper company.

Alliance United or Mercury: 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 auto insurance, but the type of area you live in can have a substantial impact as well. Generally, if you live in an urban area with more cars on the road, you'll pay a little more for insurance, while the opposite is true for people in rural areas.

Alliance United tends to offer the lowest premiums for drivers in all types of areas, no matter if they're urban, suburban, or rural.

If you live in a rural area, you can expect to pay about $206 per month with Alliance United and $209 with Mercury. Drivers in suburban ZIP codes pay a monthly premium of around $239 with Alliance United compared to $275 with Mercury. For drivers in urban ZIP codes, Alliance United's average prices are about $230 while Mercury offers rates around $401.

Alliance United vs. Mercury Discounts

No matter why you might be in the market for a new auto insurance policy, you're always going to want to save as much money as you can, and the best way to do that is by utilizing as many car insurance discounts as possible.

The difficult part is finding all of the discounts you qualify for, since it can feel sometimes like every company has different discounts and each one is advertised differently.

Luckily, we did the hard work for you and compared all of the different discounts offered by Alliance United and Mercury so that you can see which one can save you the most money each month.

Mercury knocks Alliance United out of the park when it comes to the sheer number of discounts available, offering 27 different discounts to Alliance United's 27.

Both carriers offer many of the same discounts -- like discounts for being a defensive driver and discounts for being a good driver -- but Mercury also offers discounts for ABS, advance quote, anti-theft, and more.

On the other hand, Alliance United has a proprietary discount of their own -- a renewal discounts.

Final Thoughts: Is Alliance United or Mercury Best for You?

You've seen the role certain variables have on your auto insurance and the different discounts companies offer. That's all well and good, but when it comes down to it, is Alliance United or Mercury the best carrier for you and your specific driver profile?

Alliance United might be best for you if....

• You have a clean record.
• Your neighborhood is in the suburbs.
• You want to save money while purchasing car insurance for a teenager.

Mercury might be best for you if...

• You're worried about the impact your credit score will have on your premiums.
• You have above-average credit.
• You want to save extra money with discounts.

Hopefully, this guide helps you get a good idea of the differences between Alliance United and Mercury and that you can now make a more informed 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 auto insurance -- comparing quotes from several carriers, not just Alliance United and Mercury. Luckily, sites like Compare.com do all the hard work for you. Simply enter your ZIP codes below and get free quotes from dozens of top insurance companies in your area, all in just a few minutes.

Alliance United vs. Mercury FAQs

Is Alliance United or Mercury cheaper?

Alliance United is the less expensive of the two carriers when looking at national average rates, with policies averaging $225 per month with Alliance United and $295 for Mercury. However, that doesn't mean Alliance United will be the most affordable carrier for every driver, since there are lots of different factors that are considered when it comes to your car insurance payment.

Who is better, Alliance United or Mercury?

Sadly, the only answer we can give you is "it depends.". One company is not "better" for everyone -- it all boils down to your unique insurance profile. For example, Mercury is more affordable for drivers who have less-than-stellar credit scores, while Alliance United offers less expensive prices for policyholders with an at-fault accident on their record.

Why do Alliance United and Mercury offer me different rates?

Car insurance companies use many different variables when determining the premiums they charge. Factors such as age, where you park your car, gender, your driving record, and sometimes even things like your credit score can all be used. Both Alliance United and Mercury calculate prices using different formulas, so it's likely they'll offer different rates. The best way to determine which carrier is the cheapest for you is by comparing personalized quotes from several different carriers.

How do I know if Alliance United or Mercury is right for me?

The only way to find the auto 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, Compare.com does all the hard work for you. Just enter your ZIP code and you'll get quotes from dozens of your local top car insurance carriers for free. That way, you can guarantee you're getting the best rate. And maybe you'll find that the best carrier for you isn't Alliance United or Mercury 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.