Auto-owners vs. Farmers Automobile: Which Company is the Best Fit for You?

Quick Facts

• In general, Farmers Automobile offers significantly cheaper premiums than Auto-owners
• Auto-owners offers more discounts than Farmers Automobile Insurance Association
• Farmers Automobile has more affordable prices for policyholders who drive fewer than 12,000 miles annually

Auto-owners vs. Farmers Automobile: Which Company has the Cheapest Car Insurance?

Are you in the market for a new insurance policy? With so many ads from all sorts of companies offering huge discounts, you're probably wondering exactly how much you might be able to save.

You might have narrowed it down to Auto-owners or Farmers Automobile, but which company will offer you less expensive rates?

As you can see, Farmers Automobile has average rates that are about 30% per month more affordable than those from Auto-owners when looking at the national average rates for car insurance.

But Farmers Automobile may not be the cheapest or best option for every driver out there. Insurance companies use tons of complex algorithms to calculate prices, so depending on how clean your driving record is or where you live (among a lot of other factors), you could see wildly different premiums from the ones above.

So, if you want to find out which of Auto-owners or Farmers Automobile is really the best for you, keep reading to see average prices for each company broken down by a range of different rate factors.

Auto-owners or Farmers Automobile: Average Car Insurance Rates by State

Auto-owners and Farmers Automobile only compete against each other in three states, with Farmers Automobile offering cheaper premiums to the average driver in all of them. Iowa has the most noticable difference, where Farmers Automobile rates are over 30% less expensive than auto insurance prices at Auto-owners.

There's a lot more that goes into your car insurance cost than just the state you live in. Read on to learn more.

Which is the Best Company For Young Drivers?

Teen drivers will almost always have the most expensive auto insurance premiums of 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.

However, that doesn't mean that teen drivers have to just accept sky-high car insurance rates. Just look at the table above -- where 18-year-old drivers who have Farmers Automobile for their insurance pay more than $100 less than those who use Auto-owners. It's worth noting that Auto-owners offers car insurance in 23 different states compared to Farmers Automobile's three, which can skew the average premiums a bit, but the difference here is still considerable.

That being said, both carriers will decrease prices once you turn 25. Farmers Automobile offers the steepest reduction, with 25-year-olds paying less than a third of what 18-year-old drivers are charged. Auto-owners's average rates lower nearly 60% during that same period.

Which is the Best Company for Retired Drivers?

Once you approach retirement age, you'll usually enjoy the most affordable auto insurance prices you'll ever find. 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 Auto-owners and Farmers Automobile specifically, which carrier is best for retired drivers? Farmers Automobile gets the edge, with rates for drivers 65 and older $37 cheaper than the national average for Auto-owners.

Which is the Best Company for Married Drivers?

Married couples tend to get slightly more affordable auto insurance premiums than those who are single. That's normally because married drivers tend to own and insure multiple cars, which can often earn you a discount.

When it comes to relationship status, Farmers Automobile is the clear winner for single drivers, with rates around $67 a month less expensive than Auto-owners, on average. The advantage for married policyholders with Farmers Automobile is also obvious, where drivers save over 30% per month.

Auto-owners vs. Farmers Automobile: Average Rates by Gender

Men are statistically more likely than women to get tickets and get into collisions. That means when it comes to car insurance men will generally end up paying a little more.

Usually, women see prices about 6% a month less with Auto-owners, while with Farmers Automobile, the difference is closer to 1% per month.

Looking at the data for each company specifically, Farmers Automobile comes out on top for both men and women. On average, women save about $52 a month and men save around $62 with Farmers Automobile compared to the average Auto-owners policyholder.

Auto-owners or Farmers Automobile: 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 can be a complicated subject for most people. There are so many different terms and coverages 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 (which covers the other party's property damage and injuries if you cause an accident) and full coverage (which usually refers to having comprehensive and collision coverages in addition to liability).

If you're looking for state minimum liability limits, Farmers Automobile normally offers cheaper rates of $75 compared to Auto-owners's $99. When it comes to full coverage policies with similar limits, Farmers Automobile again has the edge, with policies about $90 per month more affordable than Auto-owners, on average.

Is Auto-owners or Farmers Automobile Better for Drivers with Spotty Records?

You've probably seen plenty of commercials from car insurance companies offering great premiums 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 accidents and tickets lead to higher prices, but which carrier -- Auto-owners or Farmers Automobile -- has the cheapest premiums for drivers with spotty records?

Which Company is Best for Drivers with Speeding Tickets?

Auto-owners policyholders can expect their rates to go up an average of $44 a month if they get a ticket, while Farmers Automobile typically raises prices around $22 per month, on average.

Even so, Farmers Automobile is generally the less expensive option for drivers both with a speeding ticket and with a clean record -- their rates are around 28% cheaper for drivers with clean records and 34% less expensive for those with a ticket.

Which Company is Best for Drivers After an Accident?

After an accident, drivers who have their auto insurance through Auto-owners can expect to see about an $47 -- or around 28% -- increase in their insurance rates. Drivers who use Farmers Automobile for their car insurance will see a monthly bill about $30 (or 26%) more expensive after reporting a collision to their auto insurance company.

Overall, Farmers Automobile offers the lowest premiums for drivers with an at-fault accident on their records, with monthly prices averaging $117 compared to Auto-Owners Insurance's $168.

Which Company is Best for Drivers with a DUI?

On average, a DUI offense is going to cost you much more than a single collision or ticket when it comes to your insurance bill. For example, Auto-owners increases average rates by just under $150 a month -- that's just under a 55% increase.

Farmers Automobile has the overall most affordable premiums for drivers with a DUI on their records at $178 per month, but it's worth noting that Auto-owners's average rates come from 23 states compared to just three for Farmers Automobile, so the data may be skewed slightly.

How does Credit Score Impact Auto-owners and Farmers Automobile Rates?

Often times, your credit score can be used as one of the factors to determine your monthly car insurance prices. This isn't always the case (Hawaii, for example, has banned the use of credit score as a rating factor) but it might come into play for several drivers.

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

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

Which Company is Best for Drivers with Good Credit?

If you have a great credit score, you'll usually find a better deal with Farmers Automobile. Drivers with "excellent" credit can save over 15% compared to Auto-owners, and those with "good" scores can also expect to see savings -- around $30 or 23% more affordable every month.

Which Company is Best for Drivers with Bad Credit?

Farmers Automobile typically offers lower prices than Auto-owners when it comes to drivers with less-than-stellar credit. Drivers with "fair" credit pay about $53 per month less with Farmers Automobile compared to Auto-owners, and those with "poor" scores usually save an average of around $128 a month.

Is Auto-owners or Farmers Automobile Better for Drivers who Work from Home or Have Short Commutes?

The amount of time you spend behind the wheel of your car plays a big role in how much auto insurance companies will charge for coverage. That's because the more miles you put on your vehicle, the more likely you are to get into an accident and cause an insurance claim.

Farmers Automobile tends to be the less expensive option for both drivers who put 6,000 miles on their vehicles each year, as well as those who average twice that figure. Farmers Automobile's average premiums for drivers with 6,000 annual miles come in about $67 more affordable than Auto-owners. Those who drive 12,000 miles yearly can expect to pay around $47 less with Farmers Automobile over Auto-owners.

Auto-owners vs. Farmers Automobile: Compare Rates for Urban, Suburban, and Rural Drivers

We've already mentioned how your home state can play a role in how much you pay for insurance, but the type of area you live in can have a big impact as well. Normally, those who live in urban areas will pay more than policyholders in rural areas because there are a lot more cars on the roads in those areas.

When comparing these two carriers side-by-side, Farmers Automobile generally comes out as the cheapest option for drivers in all areas, regardless of if they're urban, suburban, or rural.

For drivers in urban ZIP codes, Farmers Automobile offers prices about $192 monthly compared to Auto-owners's $205. People who live in suburban ZIP codes can expect to pay around $92 a month for Farmers Automobile and $169 for Auto-owners. Lastly, those in rural areas tend to get the lowest premiums from both companies, with average monthly rates coming in at $84 and $164 for Farmers Automobile and Auto-owners respectively.

Auto-owners vs. Farmers Automobile 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 with what seems like a million different discounts out there, it can be hard to find all the ones you're eligible for or to nail down the company that has the most discounts for your unique driver profile.

In the section below, we've taken a look at all of the different discounts Auto-owners and Farmers Automobile 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.

Auto-owners blows Farmers Automobile away when it comes to the sheer amount of discounts available, offering 24 different discounts to Farmers Automobile's 11.

A couple of those are overlapping for things like discounts for being a defensive driver, discounts for being a good student, and multi-policy discounts. Auto-owners also offers ABS discounts, company car discounts, COVID-19 relief discount, and more that Farmers Automobile does not.

On the flip side, Farmers Automobile has a couple unique discounts of its own -- EFT discounts, hybrid vehicle discounts, and seat belt discounts.

Final Thoughts: Is Auto-owners or Farmers Automobile Best for You?

So, you've seen how different variables can affect your insurance prices. We've broken down the different discounts each carrier offers, too. But, at the end of the day, which company is the best carrier for you and your specific needs?

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

• You have an at-fault accident on your record.
• You want basic auto insurance coverage at the state minimum limits.
• You live in a rural neighborhood.

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

• You are considering moving to another state -- Farmers Automobile Insurance Association is only available in three states.
• You want to save extra money with discounts.

We hope this guide helps you get a good idea of the differences between Auto-owners and Farmers Automobile and that it aids in making a more informed 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 Auto-owners and Farmers Automobile. Luckily, Compare.com does all the hard work for you. Simply enter your ZIP code below and get free quotes from dozens of the top insurance companies in your area, all in just a few minutes.

Auto-owners vs. Farmers Automobile FAQs

Is Auto-owners or Farmers Automobile cheaper?

Looking just at the national average premiums, Farmers Automobile is the cheaper of the two carriers, offering average rates of $123 per month compared to $179 for Auto-owners. But Farmers Automobile won't necessarily be the most affordable carrier for every policyholder, since there are several different factors (things like gender, age, driving record, etc.) that play a role in how much you pay.

Who is better, Auto-owners or Farmers Automobile?

Unfortunately, the answer truly is "it depends.". No one company is necessarily "better" for everyone -- it all boils down to your unique car insurance profile.

Why do Auto-owners and Farmers Automobile offer me different rates?

Insurance companies take a look at a lot of different variables when calculating the rates they charge policyholders. Things such as age, where your home is, your driving record, gender, and sometimes even things like your credit score can all be taken into consideration. Both Auto-owners and Farmers Automobile use different formulas, so each one will most likely offer different premiums. The only real way to see which carrier is the cheapest for you is by comparing personalized quotes from a variety of different carriers.

How do I know if Auto-owners or Farmers Automobile is right for me?

The only way to find the auto insurance company that's right for you is by getting quotes from a handful of 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 information once 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 most affordable rate. And who knows, the best carrier for you might not be Auto-owners or Farmers Automobile 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.