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

Quick Facts

• Based on national averages for insurance, Allstate offers slightly cheaper rates than Penn National
• Allstate offers more affordable premiums for single people who will be the only person on the car insurance policy
• Penn National tends to be a much more affordable option for drivers who have a speeding ticket on their driving record

Allstate or Penn National: Which Company has the Cheapest Car Insurance?

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

You've maybe even narrowed it down to Allstate or Penn National as potential options, but between the two, which company will offer you less expensive rates?

Looking at the national average rates for both carriers, Penn National is around $19 more a month than Allstate.

That being said, that doesn't mean Allstate will necessarily be more affordable than Penn National for every driver. After all, auto insurance companies can offer drastically different rates to every driver depending on rating factors like your driving record, your credit score, where you call home, or even your age (among other things). So, at the end of the day, premiums from each company will differ quite a bit from person to person.

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

Allstate vs. Penn National: Average Car Insurance Rates by State

Allstate and Penn National compete against each other in four states, with Penn National offering cheaper rates to the average driver in all of them. If you live in New Jersey or Virginia, Allstate is the less expensive of the two carriers when looking at the overall average premiums. Penn National is the more affordable option in North Carolina and Tennessee.

There's a lot more that goes into your insurance cost than just where you live. Keep reading to find out more.

Which is the Best Company For Young Drivers?

Teen drivers will almost always have the most expensive auto insurance prices of any group on the road. Typically, that's because teen drivers are statistically much more likely to get into accidents since they have less experience on the roads.

Even so, that doesn't mean that teen drivers have to just accept sky-high car insurance premiums. Just look at the table above -- where 18-year-old drivers who have Allstate for their insurance pay 5% less than those who use Penn National.

But both companies will offer you dramatically lower rates once you turn 25. Penn National offers the steepest drop, with 25-year-olds paying less than a third of what 18-year-old drivers are charged. That being said, Allstate still has the cheapest prices at $167 monthly.

Which is the Best Company for Retired Drivers?

When it comes to auto insurance, patience and experience pay off, with drivers around retirement age paying some of the most affordable premiums you can find.

When looking at Allstate and Penn National specifically, which company is best for retired drivers? Allstate gets the slight edge, with prices for drivers 65 and older about 7% less expensive than the national average for Penn National.

Which is the Best Company for Married Drivers?

You may not be aware, but insurance rates tend to be more expensive for single drivers than they are for married drivers. That's generally because married policyholders tend to own and insure several vehicles, which can often earn you a discount.

For those who are single, the difference in average prices between these two carriers is not very significant, with Allstate premiums coming in at around 10% less than Penn National's. But for married couples, the advantage is clear - Allstate has the edge when it comes to average rates.

Allstate or Penn National: Average Rates by Gender

Women tend to pay less for car insurance than men. That's because women are less likely to get into accidents and get speeding tickets, which decreases the chances of filing a claim with insurance.

With Allstate, men usually pay about $10 per month more than women, but with Penn National, the difference is closer to $5 a month.

Looking at the data for each carrier specifically, Allstate comes out as the lowest option for both genders. On average, male drivers save about $17 per month and women save around $21 with Allstate compared to the average Penn National policyholder.

Allstate vs. Penn National: 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 insurance can be a complicated subject for most people. There are lots of different coverages that account for many different things. Some protect you and your car, while others only provide coverage for other people's property and health if you cause a collision.

However, most policies that drivers look at fall into two categories -- liability coverage (that covers bodily injury and property damage for other drivers and passengers if you cause an accident) and full coverage (which includes two additional coverages -- collision and comprehensive -- in addition to what you get with a liability policy).

Looking specifically at state minimum liability limits, Allstate has the edge, with average monthly premiums 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 Penn National's $292.

Is Allstate or Penn National Better for Drivers with Spotty Records?

It's no secret -- drivers with good records end up getting the best deals on their auto 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 collisions on your record, but which of these two companies offers the most affordable rates to drivers with less-than-ideal driving records?

Which Company is Best for Drivers with Speeding Tickets?

Policyholders who use Allstate for their car insurance can normally expect their monthly bill to go up around 15% after getting a speeding ticket. Penn National policyholders can expect a bit more drastic of an increase of about 22%.

Even so, Penn National is typically the cheaper option for both drivers who have clean records and those with a recent ticket, offering prices that are 11% and 2% less expensive, respectively, compared to Allstate.

Which Company is Best for Drivers After an Accident?

Allstate drivers who get in a collision can expect to see their rates increase by just under $75, while those who have insurance through Penn National will see around a $65 increase.

At the end of the day, the more affordable premiums come from Penn National, with average prices coming in at $206 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 speeding ticket or even an accident. Penn National drivers usually see a 60% climb in their auto insurance rates after a DUI charge, while Allstate will normally raise prices by about 31%.

But if you end up with a DUI charge and are looking for more affordable premiums, Allstate tends to be cheaper for the average driver, with monthly premiums coming in at around $227 to Penn National's $346.

How does Credit Score Impact Allstate and Penn National Rates?

Did you know many car insurance carriers take into account your credit score when determining prices? This isn't true for everyone (Massachusetts, for example, has banned the use of credit score as a car insurance factor) but it does affect lots of policyholders out there.

The reasoning insurance companies use is that drivers 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 generally be forced to pay more.

So, which company offers the best rates for policyholders with good, average, or poor credit?

Which Company is Best for Drivers with Good Credit?

If you have a solid credit score, Allstate will usually reward you the most. For drivers with "excellent" credit scores, Allstate comes in nearly NaN more affordable. Drivers with "good" credit scores normally save about 5% with Allstate compared to average prices from Penn National.

Which Company is Best for Drivers with Bad Credit?

Allstate typically offers lower rates than Penn National when it comes to drivers with less-than-stellar credit. Drivers with "fair" credit pay around 2% per month less with Allstate compared to Penn National, and those with "poor" scores usually save an average of about 14% a month.

Is Allstate or Penn National 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 car insurance payment. Typically, the more milage you drive, the more you can expect to pay for auto insurance.

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

Allstate or Penn National: 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 insurance, but the type of area you live in can have a sizable impact as well. Generally, 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 carriers side-by-side, Allstate typically comes out as the less expensive option for drivers in urban and suburban areas, while Penn National wins in rural areas.

Those in rural areas can expect to save about 5% with Penn National compared to Allstate. People who live in suburban areas pay around 6% less with Allstate compared to Penn National. For policyholders in urban ZIP codes, Allstate's average prices are about 19% less than Penn National Insurance.

Allstate vs. Penn National Discounts

You want to save as much money as you can, right? The best way to do that is by utilizing as many insurance discounts as possible.

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 can take advantage of.

Luckily, we did the hard work for you and looked at all of the different discounts Allstate and Penn National 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 Penn National away when it comes to the sheer amount of discounts available, offering 40 different discounts to Penn National's 16.

A couple of those are overlapping for things like advance quote discounts, discounts for being a defensive driver, distant student discounts, and discounts for being a good student. Allstate also offers discounts for agency transfer, alert driving, annual mileage, and more.

On the other hand, Penn National has a few proprietary discounts of their own for things like added pip option discounts, group discounts, and pennid discounts.

Final Thoughts: Is Allstate or Penn National Best for You?

So, you've seen how different variables can affect your auto insurance premiums. We've shown you all the discounts each carrier offers, too. But, at the end of the day, which insurance company is the right one for you, your vehicle, and your wallet?

Allstate might be best for you if....

• You're thinking about moving to another state -- Penn National Insurance only offers policies in five states.
• Your home is in a busy urban area.
• You have a short commute.

Penn National might be best for you if...

• You live in one of the following states: Maryland, North Carolina, New Jersey, Tennessee, and Virginia.
• You want to save money on your insurance after a collision.
• Your neighborhood is in a rural area.

Hopefully, this guide has ben a valuable resource as you compare Allstate and Penn National and that it aids in making a more informed decision about your auto 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 a handful of companies, not just Allstate and Penn National. Luckily, Compare.com does all the hard work for you. 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.

Allstate vs. Penn National FAQs

Is Allstate or Penn National cheaper?

Allstate is the cheaper of the two companies when looking at national average rates, with policies averaging $199 a month with Allstate and $218 for Penn National. That being said, that doesn't mean Allstate will be the cheapest carrier for everyone, since there are several different factors (things like gender, age, driving record, etc.) that play a role in how much you pay.

Who is better, Allstate or Penn National?

Unfortunately, the answer truly is "it depends.". Neither company is "better" for everyone -- it all comes down to what your unique car insurance profile looks like. For example, Allstate is more affordable for drivers who have less-than-stellar credit scores, while Penn National offers less expensive prices for drivers with an at-fault collision on their record.

Why do Allstate and Penn National offer me different rates?

Auto insurance carriers use several different variables when calculating the premiums they charge. Factors like where you live, gender, age, where your home is, and sometimes even things like your credit score can all come into play. Both Allstate and Penn National calculate prices using 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 a bunch of different companies.

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

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