American National vs. Farmers Union: 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 Union
• American National offers more discounts than Farmers Union Insurance
• American National has cheaper rates for policyholders who don't have any speeding tickets, DUIs, or at-fault accidents on their record

American National vs. Farmers Union: Which Company has the Cheapest Car Insurance?

So, you're considering switching your auto insurance. You've probably seen commercials and billboards from companies offering huge discounts, but exactly how much money can you save by switching?

You might be considering American National or Farmers Union, but which carrier will offer you less expensive premiums?

Looking at the national average rates for both companies, Farmers Union is quite a bit more expensive than American National, with prices averaging $189 per month compared to just $87 with American National.

That being said, American National may not be the lowest or best option for every driver out there. Car insurance carriers use tons of complex algorithms to calculate premiums, so depending on how clean your driving record is or where you live (among quite a few other factors), you could see wildly different prices from the ones above.

Wanting to know if American National or Farmers Union 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 Union: Average Car Insurance Rates by State

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

That being said, there's a lot more that goes into your insurance payment than just the state you live in. Continue reading to see how other factors will affect your rates.

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 group out there on the road. That's typically because young, inexperienced drivers are statistically much more likely to cause collisions and other accidents that will result in an insurance claim.

Even so, that doesn't mean teen drivers can't still save money on their car insurance. As you can see above, teens who use American National save nearly $200 a month compared to those who use Farmers Union.

But with both companies, you'll see your prices drop significantly by the time drivers turn 25. For example, average premiums for American National policyholders decrease more than 60% and Farmers Union's rates lower almost 55% over that time.

Which is the Best Company for Retired Drivers?

Drivers around retirement age normally enjoy some of the most affordable insurance premiums out there. After all, they've likely been driving for quite some time, which generally decreases their chances of collisions and other infractions that can increase rates.

So, which company offers the best prices to retired drivers? American National gets the edge here, with average rates coming in at about $66 monthly compared to Farmers Union's $148.

Which is the Best Company for Married Drivers?

Single policyholders tend to get offered slightly more expensive car insurance premiums than married drivers. That's because policies for married couples usually cover multiple cars, which a lot of carriers will offer you a discount for.

When it comes to relationship status, American National is the clear winner for those who are single, with prices around $111 per month less expensive than Farmers Union, on average. The advantage for married policyholders with American National is also obvious, where drivers save nearly 60% a month.

American National vs. Farmers Union: Average Rates by Gender

Men are statistically more likely than women to get into collisions and get tickets, which means they'll typically end up paying more for auto insurance than women.

With American National, women generally pay about 1% per month less than men, and around 6% less with Farmers Union.

When it comes to the cheapest premiums for each gender, American National offers the most affordable average rates for both men and women. On average, women save about $97 a month and men save about $107 with American National compared to the average Farmers Union policyholder.

American National 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.

It's no secret that insurance can be a complicated subject for most people. Everyone needs auto insurance, but there are so many different limits and terms that it can be hard to find the right policy.

However, most policies end up falling into two different types of coverage -- liability only (which provides property damage and bodily injury coverage for other drivers and passengers if you cause an accident) and full coverage (which includes comprehensive and collision coverages that protect your own vehicle, in addition to liability).

If you're looking for state minimum liability limits, American National normally offers significantly more affordable prices of $52 compared to Farmers Union's $107. When it comes to full coverage policies with similar limits, American National again has the edge, with policies around $150 per month cheaper than Farmers Union, on average.

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

You've probably seen plenty of commercials from 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 tickets and accidents lead to higher premiums, but which carrier -- American National or Farmers Union -- has the lowest prices for drivers with less-than-perfect records?

Which Company is Best for Drivers with Speeding Tickets?

American National policyholders can expect their premiums to go up an average of $17 a month if they get a ticket, while Farmers Union generally raises prices about $50 per month, on average.

But American National has less expensive rates for drivers in both categories, offering prices that are $71 and $104 cheaper, respectively, compared to Farmers Union Insurance.

Which Company is Best for Drivers After an Accident?

Both carriers will raise premiums pretty significantly if you get into an at-fault accident with Farmers Union climbing by just under $70. American National has a less extreme rise, but you can still expect to pay nearly $30 more than you were prior to your first collision.

Overall, American National offers the cheapest rates for drivers with an at-fault accident on their records, with monthly premiums averaging $95 compared to Farmers Union Insurance's $207.

Which Company is Best for Drivers with a DUI?

If you get a DUI charge, you can expect some pretty significant increases in your monthly car insurance bill -- typically a lot more than a collision or speeding ticket. For example, Farmers Union increases average rates 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 prices, American National tends to be the much more affordable option with average rates of $104 a month compared to $225 from Farmers Union.

How does Credit Score Impact American National and Farmers Union Rates?

Did you know that many insurance companies take into account your credit score when calculating premiums? This isn't always the case (for example, Massachusetts and Hawaii are two states that ban the practice entirely), but it does affect lots of drivers out there.

Auto insurance carriers argue that those with poor credit scores are less likely to pay their bills on time each month, which increases the risk involved on their end, while the opposite is true for those with good credit.

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

Which Company is Best for Drivers with Good Credit?

If you have solid credit, you'll usually find a better deal with American National. Drivers with "excellent" credit can save nearly 65% compared to Farmers Union, and those with "good" scores can also expect to see savings -- around $98 or 60% less expensive every month.

Which Company is Best for Drivers with Bad Credit?

American National typically offers lower premiums than Farmers Union when it comes to drivers with bad credit. Drivers with "fair" credit pay about $104 per month less with American National compared to Farmers Union, and those with "poor" scores normally save an average of around $114 per month.

Is American National or Farmers Union Better for Drivers who Work from Home or Have Short Commutes?

How much you drive can have a sizable impact on your monthly prices. Usually, those who drive less will end up with more affordable rates since there's less of a chance of getting into an accident 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 prices for American National, with policyholders who drive the least 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 Union: Compare Rates for Urban, Suburban, and Rural Drivers

Where your home is can have a substantial impact on your monthly car insurance bill. Typically, those who live in rural areas will pay less than policyholders in urban areas due to the small number of cars that are on the roads in those areas.

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

Drivers in rural ZIP codes see the most affordable prices from both companies, but American National comes out on top with average premiums around $73 monthly. American National also has cheaper average rates for policyholders in urban and suburban ZIP codes -- a 54% and 51% a month respective difference when compared to Farmers Union drivers in similar areas.

American National vs. Farmers Union Discounts

Regardless of 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 possible. That's where car insurance discounts comes into play.

But where do you even start? With so many discounts out there, it may seem hard to find all the of the ones you qualify for.

Below, we've taken a look at all of the different discounts American National and Farmers Union 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.

Overall, American National comes out ahead with 14 discounts to Farmers Union's 11.

There are a couple discounts both carriers offer, but American National also offers anti-theft discounts, claim free discounts, COVID-19 relief discount, and more that Farmers Union does not.

On the flip side, Farmers Union has a couple unique discounts of its own -- farm discounts, discounts for being a good driver, discounts for being a homeowner, and more.

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

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

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

• You have a clean driving record, free of collisions, tickets, or DUIs.
• Your neighborhood is in a city.
• You're buying car insurance for a teen and looking for a wallet-friendly option.

Farmers Union might be best for you if...

• You have a more unique driver profile than those we mentioned above.

We hope this guide helps you get a better idea of the difference between American National and Farmers Union and that you can now make a more informed decision when it comes to your auto insurance.

At the end of the day, the best way to make sure you're getting the best deal on your insurance policy is to compare quotes from a handful of carriers, not just American National and Farmers Union. Luckily, Compare.com makes it easy for you to do just that. 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.

American National vs. Farmers Union FAQs

Is American National or Farmers Union cheaper?

Looking just at the national average rates, American National is the less expensive of the two carriers, offering average rates of $87 per month compared to $189 for Farmers Union. That being said, American National won't necessarily be the cheapest company for everyone, since there are a bunch of different factors that are considered when it comes to your insurance cost.

Who is better, American National or Farmers Union?

Unfortunately, the only answer we can give you is "it depends.". No single carrier is "better" for each driver -- it all boils down to your unique car insurance profile.

Why do American National and Farmers Union offer me different rates?

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

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

The only way to find the auto insurance carrier 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 do all the hard work for you. Just enter your ZIP code and you'll get free quotes from dozens of the best car insurance carriers in your area. With those, you can guarantee you're getting the best premium. And who knows, the best company for you might not be American National 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.