American National vs. Farmers: Which Company is the Best Fit for You?

Quick Facts

• Looking at the national averages for insurance, American National offers significantly more affordable prices than Farmers
• American National offers less expensive average rates for policyholders who drive a short distance to work everyday
• Farmers offers more discounts than American National Insurance Company

American National vs. Farmers: 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 big discounts, you're probably wondering exactly how much you might be able to save.

You might have narrowed your search down to American National or Farmers, but which carrier will save you the most?

Looking at nationwide averages, Farmers has average rates that are about 55% per month more expensive than those from American National.

But American National may not be the lowest or best option for every single driver out there. Auto insurance companies vary their prices depending on things like how clean your driving record is, how good your credit score is, where you live, how old you are, and tons of other factors, so premiums will change quite a bit from person to person.

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

American National or Farmers: Average Car Insurance Rates by State

American National and Farmers compete against each other in five states, with American National offering cheaper premiums to the average driver in all of them. Nebraska has the most noticable difference, where American National prices are over 70% more affordable than car insurance rates at Farmers.

There are plenty of other factors that go into your insurance payment than just your home state. Read on to learn more.

Which is the Best Company For Young Drivers?

You might already know that teen drivers typically pay a lot more for car insurance than any other group of drivers. It's because young, inexperienced drivers are statistically much more likely to get into an accident that results in a car insurance claim, making them much riskier to insure.

That being said, that doesn't mean teen drivers can't still save money on their auto insurance. For example, 18-year-old drivers pay an average of nearly $350 less a month by choosing American National over Farmers.

Even so, with both carriers, you'll see your premiums decrease significantly by the time you turn 25. For example, average rates for American National policyholders reduce more than $100 and Farmers's prices drop almost $400 over that time.

Which is the Best Company for Retired Drivers?

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

When looking at American National and Farmers specifically, which company is best for retired drivers? American National gets the edge, with rates for drivers 65 and older $77 cheaper than the national average for Farmers.

Which is the Best Company for Married Drivers?

You may not be aware, but car insurance prices tend to be more expensive for single drivers than they are for married drivers. That's usually because married couples tend to own and insure several cars, which can often earn you a discount.

When it comes to relationship status, American National is the clear winner for those who are single, with rates around $140 per month less expensive than Farmers, on average. The advantage for married policyholders with American National is also obvious, where drivers save over 55% a month.

American National vs. Farmers: Average Rates by Gender

You may not know, but men generally pay more for auto insurance than women do. This is because women are less likely to get into accidents and get tickets, which decreases the chances of an insurance claim.

With American National, men normally pay about 1% more per month than women., and around 3% more with Farmers.

Looking at the data for each carrier specifically, American National offers the cheapest average premiums for both men and women, with average prices 57% less for men and 56% cheaper for women.

American National or Farmers: 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.

Insurance isn't the easiest topic to understand. There are several different coverages that account for a range of different things. Some protect you and your vehicle, while others only provide coverage for other people's property and health if you cause an accident.

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 a collision) and full coverage (which includes two additional coverages -- comprehensive and collision -- in addition to liability).

If you're looking for state minimum liability limits, American National typically offers significantly more affordable premiums of $52 compared to Farmers's $126. When it comes to full coverage policies with similar limits, American National again has the edge, with policies about $150 a month cheaper than Farmers, on average.

Is American National or Farmers Better for Drivers with Spotty Records?

You've probably seen plenty of commercials from auto 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.

It's no secret secret that at-fault accidents and tickets lead to higher prices, but which company -- American National or Farmers -- has the most affordable rates for drivers with less-than-ideal driving records?

Which Company is Best for Drivers with Speeding Tickets?

American National policyholders can expect their premiums to go up an average of $17 per month if they get a ticket, while Farmers usually raises prices around $44 a month, on average.

However, American National is normally the less expensive option for drivers both with a speeding ticket and with a clean record -- their rates are around 59% cheaper for drivers with clean records and 59% more affordable for those with a ticket.

Which Company is Best for Drivers After an Accident?

American National drivers who get in an accident can expect to see their rates rise by just under $30, while those who have insurance through Farmers will see about a $60 increase.

Overall, the less expensive premiums come from American National, with monthly prices averaging $95 compared to Farmers Insurance's $224.

Which Company is Best for Drivers with a DUI?

On average, a DUI offense is going to cost you much more than a single accident or ticket when it comes to your car insurance bill. Farmers drivers usually see a 27% raise in their insurance premiums after a DUI charge, while American National will generally increase rates by around 36%.

How does Credit Score Impact American National and Farmers Rates?

Often times, your credit score can come into play when carriers calculate your monthly bill. Certain states and companies do not allow for credit score to be used as a rating factor, but it will come into play for several policyholders.

Auto insurance carriers argue that someone with good credit is more likely to pay their bills on time, which makes them less risky to insure. Because of that, drivers with good credit will often be rewarded with more affordable prices.

So, which carrier offers the lowest premiums for policyholders with good, average, or poor credit?

Which Company is Best for Drivers with Good Credit?

Which Company is Best for Drivers with Bad Credit?

Is American National or Farmers 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 sizable impact on how much insurance companies will charge for coverage? Typically, those who drive fewer miles will end up with cheaper prices 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 charges. However, there's a small difference in monthly rates for American National, with policyholders who drive 6,000 miles annually paying about $9 less each month compared to those who drive 12,000 miles every year. Still, American National is the less expensive option for drivers in both categories.

American National vs. Farmers: Compare Rates for Urban, Suburban, and Rural Drivers

Where you call home can have a pretty big impact on your monthly car insurance bill. Usually, if you live in a rural area with fewer cars on the road, you'll pay a little less for insurance, while the opposite is true for people in urban areas.

American National boasts the cheapest average prices for drivers in all areas, regardless of if they're urban, suburban, or rural.

Drivers in rural ZIP codes see the lowest premiums from both carriers, but American National comes out on top with average rates around $73 per month. American National also has cheaper average premiums for policyholders in urban and suburban ZIP codes -- a 59% and 55% per month respective difference when compared to Farmers drivers in similar areas.

American National vs. Farmers Discounts

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

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

In the table below, we've taken a look at all of the different discounts American National and Farmers offer their customers so that you can easily see which company offers the most discounts and, therefore, the biggest savings.

Farmers blows American National away when it comes to the sheer amount of discounts available, offering 28 different discounts to American National's 14.

There are a couple discounts both companies offer, but Farmers also offers ABS discounts, advance quote discounts, alternative fuel discounts, and more that American National does not.

On the flip side, American National has a couple unique discounts of its own -- claim free discounts, COVID-19 relief discount, excess vehicle discounts, and more.

Final Thoughts: Is American National or Farmers Best for You?

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

American National might be best for you if....

• You have a DUI charge on your record.
• You have above-average credit.
• You are over 65 years old and want to save some money on your auto insurance.

Farmers might be best for you if...

• You are considering moving to another state -- undefined is only available in.
• You're looking for the carrier with the most discounts.

We hope this guide helps you get a good idea of the differences between American National and Farmers and that it aids in making a more informed decision about 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 car insurance -- comparing quotes from multiple companies, not just American National and Farmers. Luckily, sites like Compare.com do all the hard work for you. Simply enter your ZIP code below and get free quotes from dozens of the top auto insurance carriers in your area, all in just a few minutes.

American National vs. Farmers FAQs

Is American National or Farmers cheaper?

Looking just at the national average rates, American National is the more affordable of the two companies, offering average rates of $87 a month compared to $203 for Farmers. That being said, American National won't necessarily be the most affordable company for everyone, since there are a bunch of different variables (things like age, gender, driving record, etc.) that play a role in how much you pay.

Who is better, American National or Farmers?

Sadly, the real answer is "it depends.". One carrier is not necessarily "better" for everyone -- it all depends on the makeup of your unique car insurance profile.

Why do American National and Farmers offer me different rates?

Insurance carriers take a look at a lot of different factors when calculating the premiums they charge policyholders. Things such as gender, your driving record, age, where your home is, and sometimes even things like your credit score can all come into play. Both American National and Farmers calculate rates differently, so each one will most likely offer different prices. The only real way to see which company is the cheapest for you is by comparing personalized quotes from multiple different companies.

How do I know if American National or Farmers is right for me?

The only way to find the auto insurance carrier that's right for you is by getting quotes from a handful of carriers 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 information once and you'll get free quotes from dozens of the best car insurance companies in your area. With those, you can guarantee you're getting the best rate. And who knows, the best company for you might not be American National or Farmers 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.