Central Mutual vs. State Farm: Which Company is the Best Fit for You?

Quick Facts

• Based on national averages for car insurance, State Farm offers significantly cheaper rates than Central Mutual
• State Farm offers more affordable prices for policyholders who are looking to purchase insurance with a spouse
• State Farm has more affordable rates for policyholders who live in rural neighborhoods

Central Mutual or State Farm: Which Company has the Cheapest Car Insurance?

Are you considering a new insurance policy? With so many ads from all sorts of companies offering big savings, you're probably wondering exactly how much you might be able to save.

You've maybe even narrowed your search down to Central Mutual or State Farm, but between the two, which one will offer you less expensive premiums?

Looking at the national average rates for both carriers, State Farm has average rates that are around 55% a month cheaper than those from Central Mutual.

But State Farm may not be the most affordable or best option for every single driver out there. After all, insurance companies can offer drastically different rates to every driver depending on rating factors like your driving record, your credit score, your age, or even where you call home (among other things). So, at the end of the day, rates from each company will differ quite a bit from person to person.

Wanting to know if Central Mutual or State Farm is really the right carrier for you? Keep on reading to see how average premiums can change based on all of the factors we've mentioned above.

Central Mutual vs. State Farm: Average Car Insurance Rates by State

Central Mutual and State Farm compete against each other in four states, with State Farm offering less expensive prices to the average driver in all of them. Georgia has the most noticable difference, where State Farm rates are $206 more affordable than car insurance prices at Central Mutual.

There are plenty of other factors that go into your auto insurance bill than just where you live. Read on to learn more.

Which is the Best Company For Young Drivers?

Young drivers -- especially teens -- generally pay a lot for insurance compared to older drivers. Typically, that's because teen 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 premiums, teen drivers can still find ways to save money. For example, 18-year-old drivers pay an average of almost 40% less per month by choosing State Farm over Central Mutual.

However, both carriers will drop prices by the time drivers turn 25. For example, average premiums for Central Mutual policyholders decrease nearly 45% and State Farm's rates lower almost 60% over that time.

Which is the Best Company for Retired Drivers?

Once you approach retirement age, you'll normally enjoy the cheapest auto 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 prices for car insurance.

But who has the best rates for retired drivers between Central Mutual and State Farm? State Farm gets the edge here, with average prices coming in at about $111 per month compared to Central Mutual's $275.

Which is the Best Company for Married Drivers?

Did you know that insurance premiums are usually more expensive for single policyholders than they are for married couples? This usually boils down to married policyholders having more than one vehicle on their policy -- something several car insurance companies will reward with discounts.

For single drivers, the difference in average rates between these two carriers is significant, with State Farm prices coming in at around half of Central Mutual's. The advantage for married drivers with State Farm is also obvious, where drivers save about $150 a month.

Central Mutual or State Farm: Average Rates by Gender

Men are statistically more likely than women to get pulled over for speeding or get into a collision. That means when it comes to auto insurance men will normally end up paying a little more.

On average, women see premiums around 4% per month less with Central Mutual, and about 7% less with State Farm when compared to their male counterparts.

Looking at overall affordability, State Farm comes out as the lowest option for both genders, with average rates $183 less for men and $181 cheaper for women.

Central Mutual vs. State Farm: 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 isn't the easiest topic to understand. There are a bunch of different coverages that account for lots of different things. Some protect you and your car, while others only provide coverage for other people's property and health if you cause an accident.

The two most common policies that drivers look at fall into two categories -- liability coverage (that covers bodily injury and property damage for other drivers and their passengers if you cause a collision) and full coverage (which includes collision and comprehensive coverages that protect your own car, in addition to liability).

Looking specifically at state minimum liability limits, State Farm has the significant edge, with average monthly prices coming in at $99. If you want a full coverage policy with the same state minimum limits, State Farm again has the edge, with policies averaging around $216 a month to Central Mutual's $506.

Is Central Mutual or State Farm Better for Drivers with Spotty Records?

It's no secret -- drivers with good records end up getting the best deals on their auto insurance. But that's not to say you can't save money if you don't have the best driving record, either.

At-fault collisions and speeding tickets will most likely raise your rates, but is Central Mutual or State Farm less expensive for drivers with spotty records?

Which Company is Best for Drivers with Speeding Tickets?

Policyholders who use Central Mutual for their insurance can typically expect their monthly bill to go up about 26% after getting a speeding ticket. State Farm policyholders can expect a less drastic increase of around 14%.

Even so, State Farm tends to offer the best prices for drivers both with clean records and with a ticket -- their rates are around 45% more affordable for drivers with clean records and 52% cheaper for those with a ticket.

Which Company is Best for Drivers After an Accident?

Central Mutual drivers who get in an accident can expect to see their premiums climb by just under $70, while those who have insurance through State Farm will see about a $30 increase.

At the end of the day, drivers who use State Farm end up with the cheaper prices after an accident, with average prices coming in at $163 compared to Central Mutual Insurance's $311.

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, Central Mutual will climb your premiums around 50% after a DUI, while State Farm's average rates increase by more than 25%.

How does Credit Score Impact Central Mutual and State Farm Rates?

You may not have known, but your credit score can be used as one of the variables to determine your monthly car insurance prices. This isn't true for everyone (Hawaii, for example, has banned the use of credit score as an insurance factor) but it will come into play for quite a few policyholders.

Insurance companies argue that someone with bad credit is less likely to pay their bills on time, which makes them riskier to insure. Because of that, drivers with bad credit will often be forced to pay more.

Looking specifically at State Farm and Central Mutual, which carrier has the most affordable rates for policyholders at different credit levels?

Which Company is Best for Drivers with Good Credit?

Which Company is Best for Drivers with Bad Credit?

Is Central Mutual or State Farm 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 your monthly premiums? Generally, the more milage you drive, the more you can expect to pay for auto insurance.

State Farm tends to be the more affordable option for both remote workers and those taking short commutes. Central Mutual's average rates for drivers with 6,000 annual miles come in nearly $200 more expensive than State Farm. Those who drive 12,000 miles yearly can expect to pay just under $200 more with Central Mutual over State Farm.

Central Mutual or State Farm: 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 considerable impact as well. 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.

State Farm tends to offer the cheapest prices for drivers in all areas, regardless of if they're urban, suburban, or rural.

For drivers in urban ZIP codes, State Farm's average rates are about $344 less than Central Mutual Insurance. People who live in suburban areas pay around $102 less with State Farm compared to Central Mutual. Those in rural areas can expect to save about $101 with State Farm compared to Central Mutual.

Central Mutual vs. State Farm 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, and the best way to do that is by taking advantage of as many auto insurance discounts as possible.

But where do you even start? With so many discounts out there, it may seem hard to find all the of the ones you can take advantage of.

Luckily, we did the hard work for you and compared all of the different discounts offered by Central Mutual and State Farm so that you can easily see which company offers the most discounts and, therefore, the largest savings.

State Farm knocks Central Mutual out of the park when it comes to the sheer number of discounts available, offering eight more discounts than Central Mutual.

A couple of those are overlapping for things like anti-theft discounts, distant student discounts, discounts for getting driver training, and multi-policy discounts. State Farm also offers discounts for annual mileage, drive safe & save, farm, and more.

On the other hand, Central Mutual has a few proprietary discounts of their own for things like book transfer policy discounts, group discounts, paid in full discounts, and more.

Final Thoughts: Is Central Mutual or State Farm Best for You?

You've seen the effect certain factors have on your insurance and the different discounts carriers offer. But, at the end of the day, which insurance carrier is the right company for you and your specific needs?

State Farm might be best for you if....

• You have received a ticket within the last few years.
• Your home is in a busy urban area.
• You drive fewer than 12,000 miles annually.

Central Mutual might be best for you if...

• You have a more unique driver profile than those we mentioned above.

Hopefully, this guide has ben a valuable resource as you compare Central Mutual and State Farm. We also hope we've given you the information you need to make the best decision when it comes to 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 insurance -- comparing quotes from several companies, not just Central Mutual and State Farm. Luckily, sites like Compare.com make it easy for you to do just that. Just enter your ZIP code below and get free quotes from dozens of top auto insurance carriers in your area, all in just a few minutes.

Central Mutual vs. State Farm FAQs

Is Central Mutual or State Farm cheaper?

State Farm is the less expensive of the two companies when looking at national average prices, with policies averaging $158 per month with State Farm and $340 for Central Mutual. That being said, that doesn't mean State Farm will be the most affordable company for everyone, since there are a range of different variables (things like age, gender, driving record, etc.) that play a role in how much you pay.

Who is better, Central Mutual or State Farm?

Sadly, the real answer is "it depends.". No single carrier is necessarily "better" for everyone -- it all depends on the makeup of your unique car insurance profile.

Why do Central Mutual and State Farm offer me different rates?

Insurance carriers use a lot of different factors when determining the premiums they charge. Things like where you park your vehicle, gender, age, where you call home, and sometimes even things like your credit score can all come into play. Both Central Mutual and State Farm calculate prices using different variables, 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 a variety of different companies.

How do I know if Central Mutual or State Farm 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 carriers 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 car insurance companies for free. That way, you can guarantee you're getting the best rate. And maybe you'll find that the best company for you isn't Central Mutual or State Farm 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.