Auto-owners vs. North Star Mutual: Which Company is the Best Fit for You?

Quick Facts

• Looking at the national averages for car insurance, Auto-owners offers slightly more affordable rates than North Star Mutual
• Auto-owners has less expensive premiums for policyholders who drive fewer than 12,000 miles each year
• North Star Mutual offers more affordable prices for residents in Minnesota, North Dakota, Nebraska, and South Dakota

Auto-owners vs. North Star Mutual: Which Company has the Cheapest Car Insurance?

Are you considering a new insurance policy? You've probably seen commercials and billboards from companies offering hefty discounts, but exactly how much money can you save by switching?

You've maybe even narrowed your search down to Auto-owners or North Star Mutual as your top options, but which carrier will offer you cheaper premiums?

Looking at the national average rates for both companies, Auto-owners is about $1 per month more affordable than North Star Mutual.

Even so, that doesn't necessarily mean Auto-owners will be the cheaper option for each driver. After all, insurance carriers can offer drastically different rates to every driver depending on rating factors like where you call home, your driving record, your credit score, or even your age (among other things). So, at the end of the day, rates from each carrier will differ quite a bit from person to person.

Wanting to know if Auto-owners or North Star Mutual is really the right company for you? Keep on reading to see how average prices can change based on all of the factors we've mentioned above.

Auto-owners or North Star Mutual: Average Car Insurance Rates by State

Auto-owners and North Star Mutual compete against each other in four states, with Auto-owners offering less expensive premiums to the average driver in all of them. If you live in North Dakota, North Star Mutual is the more affordable of the two companies when looking at the overall average rates. Auto-owners is the cheaper option in Minnesota, Nebraska, and South Dakota.

That being said, there are plenty of other factors that go into your auto insurance payment than just your home state. Read on 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 get into accidents since they have less experience on the roads.

But still, even with seemingly sky-high prices, teen drivers can still find ways to save money. For example, 18-year-old drivers pay an average of $60 less a month by choosing North Star Mutual over Auto-owners.

That being said, both carriers will drop rates by the time drivers turn 25. For example, average premiums for Auto-owners policyholders decrease nearly 60% and North Star Mutual's prices lower more than 50% over that time.

Which is the Best Company for Retired Drivers?

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

When looking at Auto-owners and North Star Mutual specifically, which carrier is best for retired drivers? Auto-owners gets the slight edge here, with average rates coming in at around $133 a month compared to North Star Mutual's $144.

Which is the Best Company for Married Drivers?

Did you know that auto insurance prices are normally less expensive for married policyholders than they are for those who are single? That's because policies for married couples usually cover multiple cars, which quite a few companies will offer you a discount for.

When it comes to relationship status, the two carriers are comparable for single policyholders, with premiums only differing about $12 per month, on average. The advantage for married drivers is more obvious, where drivers who use Auto-owners save over 10% a month.

Auto-owners vs. North Star Mutual: Average Rates by Gender

Because men are more likely to get speeding tickets and get into accidents, they raise the chances of filing a claim with insurance. Therefore, insurance companies will tend to charge men more than women.

Women normally pay more than $10 per month less than men with Auto-owners, and around $4 with North Star Mutual.

Looking at overall affordability, North Star Mutual is the lowest company for men. Rates with North Star Mutual are $3 less for men, while women can save about $4 with Auto-owners.

Auto-owners or North Star Mutual: 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, insurance can be pretty complicated. There are so many different limits and terms that it can make it pretty confusing 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 their passengers if you cause an accident) and full coverage (which includes two additional coverages -- comprehensive and collision -- in addition to liability coverage).

In this case, North Star Mutual offers the cheapest average prices for state minimum limits for liability insurance, while Auto-owners has the edge for full coverage policies with similar coverage limits. Drivers looking for basic state minimum coverage can save around $35 with North Star Mutual, while full coverage comes out to be around $35 cheaper with Auto-Owners Insurance.

Is Auto-owners or North Star Mutual Better for Drivers with Spotty Records?

You've probably seen plenty of commercials from car insurance carriers 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 at-fault accidents and tickets lead to higher premiums, but which carrier -- Auto-owners or North Star Mutual -- has the most affordable prices for drivers with less-than-perfect records?

Which Company is Best for Drivers with Speeding Tickets?

Auto-owners policyholders can expect their premiums to go up an average of $44 a month if they get a ticket, while North Star Mutual usually raises rates about $44 per month, on average.

But North Star Mutual has less expensive premiums for drivers in both categories, offering prices that are $20 and $20 more affordable, respectively, compared to Auto-Owners Insurance.

Which Company is Best for Drivers After an Accident?

Both companies will increase rates pretty significantly if you get into an at-fault accident with North Star Mutual climbing by just under $75. Auto-owners has a less extreme increase, but you can still expect to pay over $45 more than you were prior to your first collision.

Overall, Auto-owners offers the lowest premiums for drivers with an at-fault accident on their records, with monthly rates averaging $168 compared to North Star Mutual's $174.

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 a collision. On average, North Star Mutual will raise your prices around 66% after a DUI, while Auto-owners's average premiums climb by just under 55%.

If you have a DUI on your record and are looking for more affordable rates, Auto-owners tends to be the much less expensive option with average prices of $264 per month compared to $299 from North Star Mutual.

How does Credit Score Impact Auto-owners and North Star Mutual Rates?

You may not realized it, but your credit score can come into play when carriers calculate your monthly bill. This isn't always the case (Massachusetts, for example, has banned the use of credit score as a rating factor) but it will come into play for a lot of policyholders.

The reasoning auto insurance companies use is that drivers 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 rates.

Looking at Auto-owners and North Star Mutual specifically, which company has the best prices for policyholders at different credit levels?

Which Company is Best for Drivers with Good Credit?

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

Which Company is Best for Drivers with Bad Credit?

If you have less-than-perfect credit, it can be somewhat of a toss-up as far as which company offers you the best premiums. Drivers with "fair" credit pay around $3 less with Auto-owners than North Star Mutual, but those whose credit is considered "poor" have it flipped -- saving about $65 a month with North Star Mutual.

Is Auto-owners or North Star Mutual 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 pretty big impact on how much car insurance carriers will charge for coverage? That's because the fewer miles you put on your vehicle each year, the less likely you are to get into an accident and cause an insurance claim.

As you can see in the table above, annual mileage doesn't have much of an impact on how much North Star Mutual charges. However, there's a small difference in monthly prices for Auto-owners, with policyholders who drive the least paying around $1 less each month compared to those who drive 12,000 miles annually.

Auto-owners vs. North Star Mutual: 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 substantial impact as well. Generally, those who live in rural areas will pay less than policyholders in urban areas because of the small number of cars that are on the roads in those areas.

Looking at these companies side-by-side, Auto-owners tends to offer the most affordable option for drivers in rural and urban areas, while North Star Mutual wins in suburban areas.

If you live in a rural area, you can expect to save about $2 with Auto-owners compared to North Star Mutual. Drivers in suburban ZIP codes pay around $4 less with North Star Mutual compared to Auto-owners. In urban areas, Auto-Owners Insurance's average premiums are about $3 less than North Star Mutual.

Auto-owners vs. North Star Mutual 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, and the best way to do that is by utilizing as many insurance discounts as you can.

But with what seems like a million different discounts out there, it can be difficult to nail down the carrier that has the most discounts for your unique driver profile and to find all the discounts you qualify for.

Below, we've compared all of the different discounts offered by Auto-owners and North Star Mutual 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 knocks North Star Mutual out of the park when it comes to the sheer number of discounts available, offering 18 more discounts than North Star Mutual.

A couple of those are overlapping for things like anti-theft discounts, multi-policy discounts, and passive restraint discounts. Auto-owners also offers ABS discounts, advance quote discounts, company car discounts, and more that North Star Mutual does not.

On the flip side, North Star Mutual has a unique discount of its own -- a family discounts.

Final Thoughts: Is Auto-owners or North Star Mutual Best for You?

So, you've seen how different factors can affect your car insurance prices. We've shown you all the discounts each company offers, too. That's all well and good, but at the end of the day, which insurance carrier is the right fit for you?

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

• Your credit score is high.
• Your neighborhood is in a rural area.
• You drive often but have a short commute.

North Star Mutual might be best for you if...

• You have a clean record.
• You want basic auto insurance coverage at the state minimum limits.
• Your neighborhood is in the suburbs.

We hope this guide has ben a valuable resource as you compare Auto-owners and North Star Mutual and that it aids in making a more informed decision about your 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 North Star Mutual. Luckily, sites like Compare.com do all the hard work for you. Simply enter your ZIP codes below and get free quotes from dozens of top car insurance companies in your area, all in just a few minutes.

Auto-owners vs. North Star Mutual FAQs

Is Auto-owners or North Star Mutual cheaper?

Looking just at the national average premiums, Auto-owners is the less expensive of the two carriers, offering average rates of $179 per month compared to $180 for North Star Mutual. However, Auto-owners won't necessarily be the cheapest company for every policyholder, since there are a bunch of different variables that come into play when it comes to your auto insurance cost.

Who is better, Auto-owners or North Star Mutual?

Unfortunately, the real answer is "it depends.". No one carrier is necessarily "better" for each driver -- it all depends on what your unique insurance profile looks like. For example, North Star Mutual offers more affordable rates for single drivers, while Auto-owners is cheaper for drivers who have already retired.

Why do Auto-owners and North Star Mutual offer me different rates?

Car insurance companies take a look at several different factors when calculating the prices they charge policyholders. Variables like where you call home, age, gender, where you live, and sometimes even things like your credit score can all be used. Both Auto-owners and North Star Mutual use different formulas, 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 multiple different carriers.

How do I know if Auto-owners or North Star Mutual is right for me?

The only way to find the auto insurance carrier 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 area information and you'll get free quotes from dozens of the best car insurance carriers in your area. That way, you can guarantee you're getting the most affordable rate. And who knows, the best company for you might not be Auto-owners or North Star Mutual 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.