American Select vs. Auto-owners: Which Company is the Best Fit for You?

Quick Facts

• Based on national averages for auto insurance, American Select offers slightly more affordable rates than Auto-owners
• American Select offers more affordable prices for policyholders who have a clean record
• Auto-owners offers more discounts than American Select Insurance Company

American Select vs. Auto-owners: 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 discounts. But exactly how much can you save by switching?

You might have narrowed it down to American Select or Auto-owners as your top options, but which one will save you the most?

As you can see, American Select is about $9 per month less expensive than Auto-owners when looking at the national average rates for insurance.

Even so, that doesn't necessarily mean American Select will be the cheaper option for every single driver. Car insurance companies use tons of complex algorithms to calculate rates, so depending on how clean your driving record is or how old you are (among quite a few other factors), you could see wildly different prices from the ones above.

Luckily, we've broken down average premiums from both American Select and Auto-owners by a variety of different rate factors, so read on to find out which carrier is the best for you.

American Select or Auto-owners: Average Car Insurance Rates by State

American Select and Auto-owners compete against each other in five states, with American Select offering more affordable prices to the average driver in all of them. Tennessee has the most noticable difference, where American Select premiums are over 40% less expensive than auto insurance rates at Auto-owners.

But there's more to calculating insurance prices than just your home state. Continue reading to learn more about how other factors will affect your rates.

Which is the Best Company For Young Drivers?

Young drivers -- especially teens -- typically pay a lot for auto insurance compared to older drivers. Usually, that's because young, inexperienced drivers are statistically much more likely to get into accidents since they have less experience on the roads.

However, 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 American Select for their insurance pay more than $80 less than those who use Auto-owners.

But both carriers will lower rates by the time drivers turn 25. Auto-owners offers the steepest drop, with 25-year-olds paying less than a third of what 18-year-old drivers are charged. American Select's average prices reduce over 45% during that same period.

Which is the Best Company for Retired Drivers?

Once you approach retirement age, you'll normally enjoy the cheapest car insurance premiums you can find. You've been on the road for years, and all that experience pays off when it comes to your monthly rates for insurance.

When looking at American Select and Auto-owners specifically, which company is best for retired drivers? Auto-owners gets the slight edge here, with average premiums coming in at around $133 a month compared to American Select's $136. That being said, the difference is only about 5%, so other variables will likely come into play when determining which carrier has the lowest prices for you.

Which is the Best Company for Married Drivers?

Those who are single tend to get offered slightly more expensive auto insurance rates than married couples. This usually boils down to married policyholders having several cars on their policy -- something several insurance companies will reward with discounts.

When it comes to relationship status, American Select is the winner for single drivers, with premiums around $20 a month more affordable than Auto-owners, on average.

American Select vs. Auto-owners: Average Rates by Gender

Because men are more likely to get speeding tickets and get into collisions, they have an increased chance of filing a claim with insurance. Therefore, insurance carriers will tend to charge men more than women.

Generally, women see prices about 1% per month less with American Select, and around 6% less with Auto-owners when compared to their male counterparts.

Looking at overall affordability, American Select offers the most affordable average rates for both men and women. On average, women save about $4 a month and men save about $14 with American Select compared to the average Auto-owners policyholder.

American Select or Auto-owners: 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.

For most people, auto insurance isn't the easiest topic to understand. There are so many different terms and limits that it can make it pretty confusing to find the right policy.

The two most common policies that many drivers look at fall into two categories -- liability only (that covers property damage and bodily injury for other drivers and their passengers if you cause an accident) and full coverage (which generally refers to having comprehensive and collision coverages in addition to what you get with a liability policy).

If you're looking for state minimum limits for liability insurance, American Select typically offers slightly cheaper prices of $90 compared to Auto-owners's $99. When it comes to full coverage policies with similar limits, American Select again has the edge, with policies around $10 per month less expensive than Auto-owners, on average.

Is American Select or Auto-owners Better for Drivers with Spotty Records?

It's no big secret that drivers who are accident-free get better deals on their car 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 accidents will most likely raise your rates, but is American Select or Auto-owners cheaper for drivers with less-than-perfect records?

Which Company is Best for Drivers with Speeding Tickets?

American Select policyholders can expect their premiums to go up an average of $32 a month if they get a ticket, while Auto-owners generally raises prices about $44 per month, on average.

However, American Select has less expensive rates for drivers in both categories. Drivers with a clean record can save around $4 a month and drivers with a speeding ticket can save about $16 per month with American Select Insurance Company.

Which Company is Best for Drivers After an Accident?

After an accident, drivers who have their insurance through American Select can expect to see around an $41 -- or about 26% -- increase in their auto insurance premiums. Drivers who use Auto-owners for their car insurance will see a monthly bill around $47 (or 28%) more expensive after reporting a collision to their insurance company.

Overall, American Select offers the lowest rates for drivers with an at-fault accident on their records, with monthly premiums averaging $158 compared to Auto-Owners Insurance's $168.

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, Auto-owners increases average prices by just under $150 a month -- that's just under a 55% increase.

How does Credit Score Impact American Select and Auto-owners Rates?

Did you know that many auto insurance companies take into account your credit score when calculating rates? This isn't always the case (California, for example, has banned the use of credit score as a rating factor) but it will come into play for quite a few drivers.

Car insurance carriers argue that those with good credit scores are more likely to pay their bills on time each month, which reduces the risk involved on their end, while the opposite is true for those with bad credit.

So, which carrier offers the best 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 Select or Auto-owners 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 substantial impact on how much auto insurance companies will charge for coverage? Normally, the more miles you put on your vehicle, the more you can expect to pay for coverage.

As you can see in the table above, annual mileage doesn't have much of an impact on how much American Select charges. However, there's a small difference in monthly prices for Auto-owners, with drivers who put 6,000 miles on their car every year paying about $1 less each month compared to those who drive 12,000 miles yearly. Still, American Select is the more affordable option for drivers in both categories.

American Select vs. Auto-owners: Compare Rates for Urban, Suburban, and Rural Drivers

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

American Select vs. Auto-owners 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 insurance discounts comes into play.

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

In the section below, we've compared all of the different discounts offered by American Select and Auto-owners 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, Auto-owners has the advantage when it comes to total number of discounts. American Select offers a grand total of 20 discounts, while Auto-owners has 24.

A couple of those are overlapping for things like advance quote discounts, company car discounts, discounts for being a defensive driver, and discounts for being a good student. Auto-owners also offers COVID-19 relief discount, education discounts, good driving discounts, and more that American Select does not.

On the flip side, American Select has a couple unique discounts of its own -- account relationship discounts, agency transfer discounts, companion auto discounts, and more.

Final Thoughts: Is American Select or Auto-owners Best for You?

You've seen the role certain factors have on your car insurance and the different discounts carriers offer. That's all well and good, but when it comes down to it, which carrier is the right carrier for you and your specific driver profile?

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

• You're single and purchasing insurance by yourself.
• Your neighborhood is in a city.
• You drive fewer than 12,000 miles annually.

Auto-owners might be best for you if...

• You already have plans to move to another state -- undefined only offers policies to residents.
• You care about discounts (Auto-owners offers the most).
• You and your spouse are buying car insurance together.

We hope this guide helps you get a better idea of the difference between American Select and Auto-owners and that it aids in making a more informed decision about 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 companies, not just American Select and Auto-owners. Luckily, sites like Compare.com do all the hard work for you. Just enter your ZIP code below and get free quotes from dozens of top car insurance carriers in your area, all in just a few minutes.

American Select vs. Auto-owners FAQs

Is American Select or Auto-owners cheaper?

Looking just at the national average premiums, American Select is the less expensive of the two companies, offering average rates of $170 per month compared to $179 for Auto-owners. Even so, American Select won't necessarily be the cheapest company for every driver, since there are multiple different variables (things like gender, age, driving record, etc.) that play a role in how much you pay.

Who is better, American Select or Auto-owners?

Sadly, the real answer is "it depends.". One carrier is not necessarily "better" for everyone -- it all boils down to your unique auto insurance profile. For example, American Select offers more affordable rates for drivers with a recent DUI, while Auto-owners is cheaper for drivers with excellent credit.

Why do American Select and Auto-owners offer me different rates?

Car insurance carriers take a look at many different factors when determining the prices they charge drivers. Variables like your driving record, gender, where your home is, age, and sometimes even things like your credit score can all be taken into consideration. Both American Select and Auto-owners calculate rates differently, so each one will most likely offer different prices. The only real way to see which company is the most affordable for you is by comparing personalized quotes from a range of different companies.

How do I know if American Select or Auto-owners is right for me?

The only way to find the auto insurance carrier that's right for you is by getting quotes from several carriers and finding the one best suited for your individual budget. Luckily, Compare.com makes it easy for you to do just that. Just enter your information once and you'll get free quotes from dozens of the best 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 Select or Auto-owners 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.