American Select vs. Great Northern: Which Company is the Best Fit for You?

Quick Facts

• In general, American Select offers significantly cheaper prices than Great Northern
• American Select has less expensive premiums for drivers who have received a ticket within the last few years
• American Select offers more affordable average rates for residents of rural areas

American Select vs. Great Northern: 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 big discounts, but exactly how much money can you save by switching?

You might have narrowed it down to American Select or Great Northern as your top options, but between the two, which company will offer you cheaper premiums?

Looking at the national average rates for both companies, Great Northern has average rates that are about 65% per month more expensive than those from American Select.

That being said, American Select may not be the cheapest or best option for every driver out there. Car insurance carriers use a variety of complex algorithms to calculate prices, so depending on how old you are or how good your credit score is (among a wide array of other factors), you could see wildly different premiums from the ones above.

So, if you want to find out which of American Select or Great Northern is really the best for you, keep reading to see average rates for each company broken down by a range of different rate factors.

American Select or Great Northern: Average Car Insurance Rates by State

American Select and Great Northern only compete against each other in Michigan, where American Select offers the cheaper average prices. For Michigan residents, American Select offers auto insurance for $213 monthly on average. Great Northern's average rates come out to be over 70% more expensive, at $496 per month.

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?

Young drivers -- especially teens -- generally pay a lot for car insurance compared to older drivers. The reason is that young, inexperienced drivers are statistically much more likely to cause collisions and other accidents that will result in an insurance claim.

But that doesn't mean that teen drivers have to just accept sky-high auto insurance premiums. As you can see above, teens who use American Select save more than $500 a month compared to those who use Great Northern.

Even so, both companies will offer you dramatically lower prices by the time drivers turn 25. Great Northern offers the steepest reduction, with 25-year-olds paying less than half what 18-year-old drivers are charged. That being said, American Select still has the most affordable rates at $165 a month.

Which is the Best Company for Retired Drivers?

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

When looking at American Select and Great Northern specifically, which carrier is best for retired drivers? American Select gets the edge here, with average prices coming in at around $136 monthly compared to Great Northern's $346.

Which is the Best Company for Married Drivers?

Did you know that auto insurance rates are normally more expensive for single policyholders than they are for married drivers? That's because policies for married couples typically cover multiple cars, which many carriers will offer you a discount for.

When it comes to relationship status, American Select is the clear winner for single drivers, with premiums about $362 per month more affordable than Great Northern, on average. The advantage for married policyholders with American Select is also obvious, where drivers save nearly $300 a month.

American Select vs. Great Northern: Average Rates by Gender

Men are statistically more likely than women to cause a collision and get into accidents. That means when it comes to car insurance men will normally end up paying a little more.

With American Select, women typically pay around $1 per month less than men; and with Great Northern, everyone ends up paying the same monthly prices regardless of gender.

Looking at overall affordability, American Select offers the lowest average premiums for both men and women, with average rates 66% less for men and 66% cheaper for women.

American Select or Great Northern: 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. Everyone needs 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 covers the other party's injuries and property damage if you cause an accident) and full coverage (which includes two additional coverages -- comprehensive and collision -- alongside liability coverage).

If you're looking for state minimum liability limits, American Select generally offers significantly less expensive prices of $90 compared to Great Northern's $255. When it comes to full coverage policies with similar limits, American Select again has the edge, with policies about $500 a month more affordable than Great Northern, on average.

Is American Select or Great Northern Better for Drivers with Spotty Records?

It's no big secret that drivers who are accident-free get better deals on their auto 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 Great Northern cheaper for drivers with less-than-perfect records?

Which Company is Best for Drivers with Speeding Tickets?

Drivers with Great Northern car insurance policies don't report seeing their premiums increase after getting a ticket, but American Select policyholders can expect to see their monthly bill increase by around 20%.

That being said, American Select is usually the less expensive option for both drivers who have clean records and those with a recent ticket, offering prices that are $379 and $347 cheaper, respectively, compared to Great Northern Insurance.

Which Company is Best for Drivers After an Accident?

American Select policyholders who get in a collision can expect to see their rates increase by over $40, while those who have insurance through Great Northern will see about a $0 increase.

Overall, the more affordable premiums come from American Select, with monthly prices averaging $158 compared to Great Northern Insurance's $496.

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 insurance bill -- generally a lot more than an accident or speeding ticket. American Select drivers usually see a 55% climb in their car insurance rates after a DUI charge, while Great Northern will typically increase premiums by around 0%.

If you have a DUI on your record and are looking for more affordable rates, American Select tends to be the much less expensive option with average prices of $258 a month compared to $496 from Great Northern.

How does Credit Score Impact American Select and Great Northern Rates?

Did you know that many auto insurance companies take into account your credit score when calculating premiums? Certain states and carriers do not allow for credit score to be used as a rating factor, but it might come into play for a lot of drivers.

Insurance companies 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, policyholders with good credit will often be rewarded with cheaper rates.

Looking at American Select and Great Northern specifically, which carrier has the most affordable premiums for drivers at different credit levels?

Which Company is Best for Drivers with Good Credit?

Michigan is one of a just a few states that bans car insurance carriers from using credit scores to determine prices. And since Great Northern is only available in Michigan, there is no data available on how credit score impacts premiums because it's not a factor at all. This may be a good thing, since American Select and other companies tend to increase rates quite a bit in other states if you don't have excellent credit.

Which Company is Best for Drivers with Bad Credit?

If you have a below average credit score and live in Michigan, the good news is it won't cost you extra when it comes to insurance. As you can see, poor credit can really cost American Select drivers in other states, but no need to worry if you live in Michigan.

Is American Select or Great Northern 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 auto insurance carriers will charge for coverage? Normally, the more miles you put on your vehicle, the more you can expect to pay for insurance.

In this case, neither American Select or Great Northern report increasing prices for drivers with higher annual mileage figures. Even so, American Select comes out as the cheapest for drivers at both intervals, whether they put 6,000 or 12,000 miles on their car yearly, with average rates of $170 per month for both.

American Select vs. Great Northern: Compare Rates for Urban, Suburban, and Rural Drivers

Where you call home can have a 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 auto insurance, while the opposite is true for people in urban areas.

When comparing these two companies side-by-side, American Select typically comes out as the lowest option for drivers in all types of areas, no matter if they're urban, suburban, or rural.

If you live in a rural area, you can expect to save about 64% with American Select compared to Great Northern. Drivers in suburban ZIP codes pay around 69% less with American Select compared to Great Northern. In urban areas, American Select Insurance Company's average prices are about 64% less than Great Northern Insurance.

American Select vs. Great Northern 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, and the best way to do that is by utilizing as many auto insurance discounts as you can.

The challenging part is finding all of the discounts you're eligible for, since it can feel sometimes like every carrier has different discounts and each one is advertised differently.

Below, we've compared all of the different discounts offered by American Select and Great Northern so that you can easily see which company offers the most discounts and, therefore, the biggest savings.

American Select blows Great Northern away when it comes to the sheer amount of discounts available, offering 10 more discounts than Great Northern.

Both carriers offer many of the same discounts -- like discounts for being a defensive driver, discounts for getting driver training, and passive restraint discounts -- but American Select also offers account relationship discounts, advance quote discounts, agency transfer discounts, and more that Great Northern does not.

On the flip side, Great Northern has a couple unique discounts of its own -- occasional operator discounts and vehicle ownership discounts.

Final Thoughts: Is American Select or Great Northern Best for You?

So, we've broken down the average rates for many of the factors car insurance companies look at, and we've shown you all the discounts each company offers. That's all well and good, but at the end of the day, is American Select or Great Northern the right one for you, your vehicle, and your wallet?

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

• You want to save money on your insurance after a collision.
• You want to save extra money with discounts.
• You drive fewer than 12,000 miles each year.

Great Northern might be best for you if...

• Your credit score is high.

We hope this guide has ben a valuable resource as you compare American Select and Great Northern. We also hope we've given you the information you need to make the best decision about your car insurance.

At the end of the day, the best way to make sure you're getting the best deal on your auto insurance policy is to compare quotes from a handful of carriers, not just American Select and Great Northern. Luckily, Compare.com makes it easy for you to do just that. Just enter your ZIP code below and get multiple free quotes from some of the best insurance companies in your area, all in just a few minutes.

American Select vs. Great Northern FAQs

Is American Select or Great Northern cheaper?

Looking just at the national average prices, American Select is the less expensive of the two carriers, offering average rates of $170 a month compared to $496 for Great Northern. But American Select won't necessarily be the most affordable carrier for every policyholder, since there are multiple different variables that come into play when it comes to your car insurance payment.

Who is better, American Select or Great Northern?

Unfortunately, the only answer we can give you is "it depends.". No one company is necessarily "better" for each driver -- it all comes down to what your unique auto insurance profile looks like. For example, American Select offers more affordable premiums for drivers with a recent DUI, while Great Northern is less expensive for drivers with excellent credit.

Why do American Select and Great Northern offer me different rates?

Insurance companies take a look at lots of different factors when determining the prices they charge policyholders. Things like age, gender, where your home is, your driving record, and sometimes even things like your credit score can all be used. Both American Select and Great Northern use different formulas, so each one will most likely offer different rates. The only real way to see which carrier is the cheapest for you is by comparing personalized quotes from a bunch of different carriers.

How do I know if American Select or Great Northern is right for me?

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