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

Quick Facts

• In general, Farmers Union offers slightly more affordable rates than Allstate
• Allstate offers cheaper average premiums for drivers who have received a ticket within the last few years
• Farmers Union tends to be a much less expensive option for residents of suburban areas

Allstate vs. Farmers Union: 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 considerable discounts, you're probably wondering exactly how much you might be able to save.

You might be considering Allstate or Farmers Union as potential options, but between the two, which carrier has cheaper prices for car insurance?

Looking at nationwide averages, Farmers Union is about $10 per month more affordable than Allstate.

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

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

Allstate or Farmers Union: Average Car Insurance Rates by State

Allstate and Farmers Union compete against each other in four states, with Farmers Union offering more affordable prices to the average driver in all of them. If you live in Minnesota, Allstate is the less expensive of the two carriers when looking at the overall average premiums. Farmers Union is the cheaper option in Colorado, Kansas, and Utah.

But there's more to car insurance than just the state you live in. 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?

You might already know that teen drivers usually pay a lot more for car insurance than any group on the road. It's because young, inexperienced drivers are statistically much more likely to get into accidents since they have less experience on the roads.

But that doesn't mean that teen drivers have to just accept sky-high auto insurance premiums. Just look at the table above -- where 18-year-old drivers who have Farmers Union for their insurance pay nearly $75 less than those who use Allstate.

However, with both carriers, you'll see your rates drop significantly by the time drivers turn 25. For example, average prices for Allstate policyholders reduce almost $300 and Farmers Union's rates lower around $200 over that time.

Which is the Best Company for Retired Drivers?

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

But who has the best premiums for retired drivers between Allstate and Farmers Union? Farmers Union gets the slight edge here, with average prices coming in at about $148 monthly compared to Allstate's $152. That being said, the difference is only around 5%, so other factors (such as where you live or your driving record) will likely come into play when determining which carrier has the cheapest rates for you.

Which is the Best Company for Married Drivers?

You may not be aware, but car insurance prices tend to be less expensive for married policyholders than they are for those who are single. That's because policies for married drivers generally cover more than one car, which a lot of companies will offer you a discount for.

If you're in the market for insurance, Farmers Union tends to have the most affordable average rates regardless of if you're married or single, with prices about 1% cheaper for married couples and around 6% more affordable for single drivers.

Allstate vs. Farmers Union: Average Rates by Gender

You may not know, but men typically pay more for car insurance than women do. 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 premiums.

On average, men see prices about $10 a month higher with Allstate, and around $11 more with Farmers Union.

Looking at overall affordability, Farmers Union comes out on top for both men and women, with average rates $8 less for men and $10 cheaper for women.

Allstate or Farmers Union: 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 can be a complicated subject for most people. There are so many different coverages and terms that it can make it pretty confusing to find the right policy.

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

If you're looking for state minimum limits for liability insurance, Farmers Union generally offers slightly less expensive premiums of $107 compared to Allstate's $108. When it comes to full coverage policies with similar limits, Farmers Union again has the edge, with policies about $20 per month cheaper than Allstate, on average.

Is Allstate or Farmers Union Better for Drivers with Spotty Records?

It's no big secret that drivers who are accident-free get better deals on their insurance. But even if you have a spotty record, you can still find plenty of ways to save some cash on your monthly bill.

Tickets and at-fault collisions will most likely raise your prices, but is Allstate or Farmers Union more affordable for drivers with less-than-ideal driving records?

Which Company is Best for Drivers with Speeding Tickets?

Allstate policyholders can expect their rates to go up an average of $27 a month if they get a ticket, while Farmers Union usually raises premiums around $50 per month, on average.

If you have a clean record, Farmers Union tends to offer the best prices at about 12% less expensive, while Allstate has the edge for drivers with a speeding ticket.

Which Company is Best for Drivers After an Accident?

After an accident, drivers who have their car insurance through Allstate can expect to see around an $73 -- or about 32% -- increase in their auto insurance premiums. Drivers who use Farmers Union for their insurance will see a monthly bill around $69 (or 33%) more expensive after reporting a collision to their car insurance company.

Overall, drivers who use Farmers Union end up with the cheaper prices after an accident, with monthly rates averaging $207 compared to Allstate's $229.

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 ticket or even an accident. For example, Farmers Union increases average prices by over $85 a month -- that's just under a 40% increase.

If you have a DUI on your record and are looking for more affordable premiums, Farmers Union tends to be the much cheaper option with average rates of $225 per month compared to $227 from Allstate.

How does Credit Score Impact Allstate and Farmers Union Rates?

You may not have known, but your credit score can come into play when carriers determine your monthly bill. This isn't always the case (for example, Hawaii and Michigan are two states that ban the practice entirely), but it will come into play for several drivers.

The reasoning auto insurance companies 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 normally be forced to pay more.

Looking specifically at Allstate and Farmers Union, which one has the cheapest rates for drivers at different credit levels?

Which Company is Best for Drivers with Good Credit?

If you have solid credit, you'll usually find a better deal with Farmers Union. Policyholders with "excellent" credit can save 3% compared to Allstate, and those with "good" scores can also expect to see savings -- about $8 or 5% more affordable each month.

Which Company is Best for Drivers with Bad Credit?

Farmers Union typically offers lower prices than Allstate when it comes to drivers with bad credit. Drivers with "fair" credit pay around $13 per month less with Farmers Union compared to Allstate, and those with "poor" scores typically save an average of about $14 a month.

Is Allstate or Farmers Union 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 how much insurance carriers will charge for coverage? Generally, those who drive fewer miles will end up with less expensive rates since there's less of a chance of getting into a collision and causing an insurance claim.

As you can see in the table above, annual mileage doesn't have much of an impact on how much Farmers Union charges. However, there's a small difference in monthly premiums for Allstate, with policyholders who drive 6,000 miles every year paying around $3 less each month compared to those who drive 12,000 miles annually. Still, Farmers Union is the more affordable option for drivers in both categories.

Allstate vs. Farmers Union: 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 big impact as well. Typically, if you live in a rural area with fewer cars on the road, you'll pay a little less for car insurance, while the opposite is true for people in urban areas.

When comparing these two companies side-by-side, Farmers Union boasts the most affordable average premiums in rural and suburban areas, while Allstate wins in urban areas.

For drivers in urban ZIP codes, Allstate's average prices are about $222 while Farmers Union offers rates around $226. Drivers in suburban ZIP codes pay about $172 with Farmers Union compared to Allstate's $199 monthly. Those in rural areas can expect to pay around $170 a month with Farmers Union and $174 with Allstate.

Allstate vs. Farmers Union 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. That's where auto insurance discounts comes into play.

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

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

Allstate knocks Farmers Union out of the park when it comes to the sheer number of discounts available, offering 40 different discounts to Farmers Union's 11.

A couple of those are overlapping for things like discounts for being a defensive driver, farm discounts, discounts for being a good student, and multi-policy discounts. Allstate also offers ABS discounts, advance quote discounts, agency transfer discounts, and more that Farmers Union does not.

On the flip side, Farmers Union has a couple unique discounts of its own -- group discounts and minor child discounts.

Final Thoughts: Is Allstate or Farmers Union Best for You?

So, you've seen how different variables can affect your car insurance prices. We've broken down the different discounts each company offers, too. That's all well and good, but when it comes down to it, is Allstate or Farmers Union the right one for you, your vehicle, and your wallet?

Farmers Union might be best for you if....

• You have a clean driving record, free of accidents, tickets, or DUIs.
• You have less-than-stellar credit.
• You're buying auto insurance for a teen and looking for a wallet-friendly option.

Allstate might be best for you if...

• You've been pulled over for speeding recently.
• You're looking for discounts -- Allstate has the most.

We hope this guide has ben a valuable resource as you compare Allstate and Farmers Union. We also hope we've given you the information you need to make the best decision about 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 insurance -- comparing quotes from multiple carriers, not just Allstate and Farmers Union. Luckily, Compare.com makes it easy for you to do just that. Just enter your ZIP code below and get multiple quotes from some of the best car insurance companies in your area, all for free.

Allstate vs. Farmers Union FAQs

Is Allstate or Farmers Union cheaper?

Looking just at the national average rates, Farmers Union is the cheaper of the two carriers, offering average rates of $189 a month compared to $199 for Allstate. However, Farmers Union won't necessarily be the lowest carrier for every policyholder, since there are multiple different factors (things like age, gender, driving record, etc.) that play a role in how much you pay.

Who is better, Allstate or Farmers Union?

Unfortunately, the only answer we can give you is "it depends.". No single company is "better" for each driver -- it all depends on the makeup of your unique auto insurance profile.

Why do Allstate and Farmers Union offer me different rates?

Insurance companies take a look at quite a few different variables when calculating the premiums they charge drivers. Things like where you call home, age, where you park your vehicle, gender, and sometimes even things like your credit score can all be taken into consideration. Both Allstate and Farmers Union calculate prices using different factors, so each one will most likely offer different rates. The only real way to see which carrier is the most affordable for you is by comparing personalized quotes from many different carriers.

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

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