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

Quick Facts

• Based on national averages for insurance, Indiana Farmers offers significantly cheaper premiums than American Select
• American Select may help you save more money -- they offer more discounts than Indiana Farmers Insurance
• Indiana Farmers offers more affordable prices for drivers with a DUI

American Select or Indiana Farmers: 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 your search down to American Select or Indiana Farmers as your top options, but between the two, which company has more affordable rates for car insurance?

Looking at nationwide averages, American Select is quite a bit more expensive than Indiana Farmers, with premiums averaging $170 a month compared to just $81 with Indiana Farmers.

That being said, that doesn't necessarily mean Indiana Farmers will be the less expensive option for every single driver. Insurance carriers use tons of complex algorithms to determine prices, so depending on how clean your driving record is or where you live (among a multitude of other factors), you could see wildly different rates from the ones above.

So, if you want to find out which of American Select or Indiana Farmers is really the best for you, keep reading to see average prices for each carrier broken down by several different rate factors.

American Select vs. Indiana Farmers: Average Car Insurance Rates by State

American Select and Indiana Farmers only compete against each other in Indiana, where Indiana Farmers offers the cheaper average premiums. Indiana Farmers drivers tend to pay about $41 per month less on average compared to drivers who use American Select for their auto insurance.

But there's more to insurance than just your home state. As we mentioned above, there's a lot of things that go into how auto insurance companies calculate your prices. Read on to find out more.

Which is the Best Company For Young Drivers?

Teen drivers will almost always have the most expensive car insurance premiums of any other group of drivers. It's typically because teen 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 insurance rates. For example, 18-year-old drivers pay an average of over 55% less a month by choosing Indiana Farmers over American Select.

Even so, both carriers will lower prices by the time drivers turn 25. Indiana Farmers offers the steepest reduction, with 25-year-olds paying less than half what 18-year-old drivers are charged. American Select's average rates decrease more than 45% during that same period.

Which is the Best Company for Retired Drivers?

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

So, which company offers the best rates to retired drivers? Indiana Farmers gets the edge, with premiums for drivers 65 and older over 50% cheaper than the national average for American Select.

Which is the Best Company for Married Drivers?

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

For single policyholders, the difference in average premiums between these two companies is significant, with Indiana Farmers prices coming in at around half of American Select's. The advantage for married couples with Indiana Farmers is also obvious, where drivers save about $75 per month.

American Select or Indiana Farmers: Average Rates by Gender

Because women are less likely to get tickets and get into accidents, they have a lower chance of filing a claim with insurance. So, insurance carriers will tend to charge women less than men.

With American Select, men generally pay around $1 a month more than women, but with Indiana Farmers, the difference is closer to $7 per month.

Looking at overall affordability, Indiana Farmers comes out as the cheapest option for both genders, with average premiums $87 less for men and $93 cheaper for women.

American Select vs. Indiana 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.

For most people, car insurance can be pretty complicated. Everyone needs auto insurance, but there are so many different coverages and limits that it can be hard to find the right policy for you.

The two most common policies end up falling into two different types of coverage -- liability coverage (which provides property damage and bodily injury coverage for other drivers and their passengers if you cause a collision) and full coverage (which includes two additional coverages -- collision and comprehensive -- in addition to what you get with liability).

Looking specifically at state minimum liability limits, Indiana Farmers has the significant edge, with average monthly prices coming in at $44. If you want a full coverage policy with the same state minimum limits, Indiana Farmers again has the edge, with policies averaging about $118 a month to American Select's $251.

Is American Select or Indiana Farmers Better for Drivers with Spotty Records?

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

Which Company is Best for Drivers with Speeding Tickets?

Policyholders who use American Select for their auto insurance can normally expect their monthly bill to go up around 21% after getting a speeding ticket. Indiana Farmers policyholders can expect a less drastic increase of about 17%.

But Indiana Farmers is generally the more affordable option for drivers both with clean records and with a ticket, offering prices that are $47 and $65 less expensive, respectively, compared to American Select Insurance Company.

Which Company is Best for Drivers After an Accident?

Both carriers will raise rates pretty significantly if you get into an at-fault collision with American Select increasing by around 26%. Indiana Farmers has a less extreme climb, but you can still expect to pay more than 15% more than you were prior to your first accident.

At the end of the day, Indiana Farmers offers the cheapest premiums for drivers with an at-fault collision on their records, with average prices coming in at $84 compared to American Select Insurance Company's $158.

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. American Select drivers usually see a 55% increase in their insurance rates after a DUI charge, while Indiana Farmers will usually raise premiums by about 17%.

But if you end up with a DUI charge and are looking for more affordable rates, Indiana Farmers tends to be more affordable for the average driver, with monthly premiums coming in at around $84 to American Select's $258.

How does Credit Score Impact American Select and Indiana Farmers Rates?

In many cases, your credit score can be used as one of the variables to determine your monthly auto insurance premiums. This isn't true for everyone (Michigan, for example, has banned the use of credit score as a car insurance factor) but it will come into play for many drivers.

The reasoning insurance companies use is that policyholders with bad credit will be less likely to pay their bills on time; so typically, they'll be asked to pay more, while those with good credit will be rewarded with cheaper prices.

So, which carrier offers the best rates for drivers with poor, average, or good credit?

Which Company is Best for Drivers with Good Credit?

If you have solid credit, Indiana Farmers will generally reward you the most. For policyholders with "excellent" credit scores, Indiana Farmers comes in nearly 43.93 less expensive. Drivers with "good" credit scores usually save about 49% with Indiana Farmers compared to average premiums from American Select.

Which Company is Best for Drivers with Bad Credit?

Indiana Farmers typically offers lower prices than American Select when it comes to drivers with less-than-stellar credit. Drivers with "fair" credit pay around 53% per month less with Indiana Farmers compared to American Select, and those with "poor" scores typically save an average of about 58% per month.

Is American Select or Indiana 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 considerable impact on your monthly car insurance cost? That's because the fewer miles you put on your car each year, the less likely you are to be in a collision and file an insurance claim.

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 rates for Indiana Farmers, with policyholders who drive 6,000 miles every year paying around $2 less each month compared to those who drive 12,000 miles yearly. Still, for drivers in both categories, Indiana Farmers is the cheaper company.

American Select or Indiana Farmers: Compare Rates for Urban, Suburban, and Rural Drivers

Where you live can have a big impact on your monthly insurance bill. Normally, those who live in rural areas will pay less than drivers in urban areas since there are a lot fewer vehicles on the road where they live, which reduces the chances of an accident.

Indiana Farmers tends to offer the lowest prices for drivers in all types of areas, no matter if they're urban, suburban, or rural.

For policyholders in urban ZIP codes, Indiana Farmers Insurance's average premiums are about $117 less than American Select Insurance Company. People who live in suburban areas pay around $67 less with Indiana Farmers compared to American Select. Those in rural areas can expect to save about $84 with Indiana Farmers compared to American Select.

American Select vs. Indiana Farmers Discounts

No matter why you might be in the market for a new car insurance policy, you're always going to want to save as much money as you can. That's where auto insurance discounts comes into play.

But with what seems like a million different discounts out there, it can be challenging to find all the ones you can take advantage of or to nail down the carrier that has the most discounts for your unique driver profile.

Luckily, we did the hard work for you and looked at all of the different discounts American Select and Indiana Farmers offer their customers so that you can see which carrier can save you the most money each month.

American Select knocks Indiana Farmers out of the park when it comes to the sheer number of discounts available, offering 20 different discounts to Indiana Farmers's eight.

There are a couple discounts both carriers offer, but American Select also offers discounts for ABS, account relationship, agency transfer, and more.

On the other hand, Indiana Farmers has a few proprietary discounts of their own for things like good driving discounts, mature driver discounts, and select market discounts.

Final Thoughts: Is American Select or Indiana Farmers Best for You?

You've seen the effect certain factors have on your insurance and the different discounts companies offer. That's all well and good, but at the end of the day, which company is the best one for you and your specific profile and needs?

Indiana Farmers might be best for you if....

• Your credit is below-average.
• You're looking for the best prices on liability only coverage.
• You're of retirement age and want to take advantage of lower premiums.

American Select might be best for you if...

• You're looking for the carrier with the most discounts.

Hopefully, this guide has ben a valuable resource as you compare American Select and Indiana Farmers. We also hope we've given you the information you need to make the best decision about your car 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 auto insurance -- comparing quotes from several carriers, not just American Select and Indiana Farmers. Luckily, sites like Compare.com do all the hard work for you. Just enter your ZIP code below and get multiple quotes from some of the best car insurance companies in your area, all for free.

American Select vs. Indiana Farmers FAQs

Is American Select or Indiana Farmers cheaper?

Indiana Farmers is the more affordable of the two carriers when looking at national average rates, with policies averaging $81 a month with Indiana Farmers and $170 for American Select. That being said, that doesn't mean Indiana Farmers will be the most affordable company for every policyholder, since there are a bunch of different variables (things like age, driving record, gender, etc.) that play a role in how much you pay.

Who is better, American Select or Indiana Farmers?

Unfortunately, the answer truly is "it depends.". No one carrier is "better" for each policyholder -- it all comes down to what your unique auto insurance profile looks like.

Why do American Select and Indiana Farmers offer me different rates?

Insurance companies use a lot of different factors when determining the prices they charge. Variables like gender, age, where you park your car, your driving record, and sometimes even things like your credit score can all be used. Both American Select and Indiana Farmers calculate rates using different factors, so it's likely they'll offer different premiums. The best way to determine which company is the cheapest for you is by comparing personalized quotes from many different carriers.

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

The only way to find the car 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, Compare.com does all the hard work for you. Just enter your area information and you'll get quotes from dozens of your local top auto insurance carriers for free. With those, you can guarantee you're getting the best rate. And maybe you'll find that the best company for you isn't American Select or Indiana Farmers 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.