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

Quick Facts

• Based on national averages for insurance, Cig offers significantly less expensive rates than State Farm
• Cig offers more affordable premiums for residents of suburban areas
• Cig offers more affordable average prices for policyholders who drive a short distance to work everyday

Cig vs. State Farm: Which Company has the Cheapest Car Insurance?

Are you considering a new insurance policy? After all, you've seen ads from all sorts of companies offering considerable discounts. But exactly how much can you save by switching?

You might have narrowed your search down to Cig or State Farm for your next policy, but which carrier will save you the most?

Looking at the national average rates for both companies, State Farm has average rates that are about 25% per month more expensive than those from Cig.

But that doesn't mean Cig will necessarily be cheaper than State Farm for every driver. Car insurance carriers use tons of complex algorithms to calculate premiums, so depending on how old you are or how good your credit score is (among a lot of other factors), you could see wildly different rates from the ones above.

Luckily, we've broken down average premiums from both Cig and State Farm by several different rate factors, so read on to find out which carrier is the best for you.

Cig or State Farm: Average Car Insurance Rates by State

Cig and State Farm compete against each other in four states, with Cig offering less expensive prices to the average driver in all of them. Ohio has the most noticable difference, where State Farm rates are over 60% cheaper than auto insurance premiums at Cig.

That being said, there's a lot more that goes into your car insurance payment than just where you call home. Continue reading to learn more about how other factors will affect your rates.

Which is the Best Company For Young Drivers?

You might already know that teen drivers generally pay a lot more for insurance than any group on the road. That's typically because young, inexperienced drivers are statistically much more likely to get into an accident that results in a car insurance claim, making them much riskier to insure.

But still, even with seemingly sky-high rates, teen drivers can still find ways to save money. As you can see above, teens who use Cig save more than $100 a month compared to those who use State Farm.

That being said, both companies will offer you dramatically lower prices by the time drivers turn 25. For example, average rates for Cig policyholders decrease over 50% and State Farm's premiums lower nearly 60% over that time.

Which is the Best Company for Retired Drivers?

When it comes to car insurance, patience and experience pay off, with drivers around retirement age paying some of the lowest prices you'll ever see.

When looking at Cig and State Farm specifically, which company is best for retired drivers? Cig gets the edge, with premiums for drivers 65 and older $25 more affordable than the national average for State Farm.

Which is the Best Company for Married Drivers?

You may not be aware, but auto insurance rates tend to be more expensive for single drivers than they are for married policyholders. That's because policies for married couples usually cover more than one car, which many carriers will offer you a discount for.

When it comes to relationship status, Cig is the clear winner for those who are single, with prices around $44 per month less expensive than State Farm, on average. For married drivers, the advantage is clear again - Cig has the edge when it comes to average rates.

Cig vs. State Farm: Average Rates by Gender

Because men are more likely to get into accidents and get tickets, they raise the chances of filing a claim with insurance. Therefore, insurance companies will tend to offer men more expensive premiums.

Men normally pay about $4 a month more than women with Cig, while with State Farm, the difference is closer to $12 per month.

Looking at the data for each carrier specifically, Cig offers the cheapest average prices for both men and women. On average, male drivers save about $43 a month and women save around $35 with Cig compared to the average State Farm policyholder.

Cig or 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, insurance can be pretty complicated. There are so many different coverages and terms 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 includes comprehensive and collision coverages that protect your own vehicle, in addition to liability coverage).

If you're looking for state minimum limits for liability insurance, Cig typically offers significantly more affordable premiums of $71 compared to State Farm's $99. When it comes to full coverage policies with similar limits, Cig again has the edge, with policies about $50 per month cheaper than State Farm, on average.

Is Cig or State Farm 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 Cig or State Farm more affordable for drivers with less-than-ideal driving records?

Which Company is Best for Drivers with Speeding Tickets?

Cig policyholders can expect their prices to go up an average of $24 a month if they get a ticket, while State Farm normally raises premiums around $21 per month, on average.

However, Cig tends to offer the best prices for both drivers who have clean records and those with a recent speeding ticket. Drivers with a clean record can save about $46 a month and drivers with a ticket can save around $43 per month with CIG Insurance.

Which Company is Best for Drivers After an Accident?

Both carriers will increase rates pretty significantly if you get into an at-fault accident with Cig raising by $30. State Farm has a less extreme climb, but you can still expect to pay just under $30 more than you were prior to your first collision.

Overall, drivers who use Cig end up with the cheaper prices after an accident, with monthly prices averaging $118 compared to State Farm's $163.

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 car insurance bill -- generally a lot more than a collision or speeding ticket. On average, Cig will increase your rates about 44% after a DUI, while State Farm's average prices rise by over 25%.

How does Credit Score Impact Cig and State Farm Rates?

You may not realized it, but your credit score can come into play when companies determine your monthly bill. This isn't always the case (for example, California and Michigan are two states that ban the practice entirely), but it will come into play for lots of 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 company offers the most affordable premiums for policyholders with good, average, or poor credit?

Which Company is Best for Drivers with Good Credit?

Which Company is Best for Drivers with Bad Credit?

Is Cig 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 big impact on your monthly car insurance bill? Usually, the more miles you put on your car each year, the more you can expect to pay for coverage.

For both drivers who put 6,000 miles on their vehicles every year, as well as those who average twice that figure, Cig offers less expensive prices than State Farm. State Farm's average rates for drivers with 6,000 annual miles come in around 25% more expensive than Cig. Those who drive 12,000 miles annually can expect to pay about 24% more with State Farm over Cig.

Cig vs. 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 auto insurance, but the type of area you live in can have a sizable impact as well. Generally, if you live in a rural area with fewer cars on the road, you'll pay a little less for insurance, while the opposite is true for people in urban areas.

When comparing these two companies side-by-side, Cig usually comes out as the lowest option for drivers in every type of area, no matter if it's urban, suburban, or rural.

For drivers in urban ZIP codes, Cig offers premiums around $128 monthly compared to State Farm's $185. People who live in suburban ZIP codes can expect to pay about $123 a month for Cig and $161 for State Farm. Lastly, those in rural areas tend to get the most affordable rates from both carriers, with average monthly prices coming in at $106 and $127 for Cig and State Farm respectively.

Cig vs. State Farm 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.

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

In the table below, we've taken a look at all of the different discounts Cig and State Farm offer their customers so that you can see which company offers the most discounts and see which ones you might be able to take advantage of.

Overall, Cig comes out ahead with 25 discounts to State Farm's 23.

There are a couple discounts both companies offer, but Cig also offers advance quote discounts, company car discounts, employee discounts, and more that State Farm does not.

On the flip side, State Farm has a couple unique discounts of its own -- annual mileage discounts, drive safe & save discounts, discounts for getting driver training, and more.

Final Thoughts: Is Cig or State Farm Best for You?

So, you've seen how different variables can affect your insurance rates. We've broken down the different discounts each carrier offers, too. But, when it comes down to it, which insurance company is the right one for you and your specific profile and needs?

Cig might be best for you if....

• Your driving record contains an at-fault accident.
• You're looking for more protection with "full coverage" auto insurance.
• You are purchasing your car insurance with a spouse.

State Farm might be best for you if...

• You're planning on moving to another state soon -- undefined only offers policies in.

We hope this guide has ben a valuable resource as you compare Cig and State Farm. We also hope we've given you the information you need to make the best decision when it comes to your insurance.

At the end of the day, the sure-fire way to make sure you're getting the best deal on your car insurance policy is to compare quotes from several carriers, not just Cig and State Farm. 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.

Cig vs. State Farm FAQs

Is Cig or State Farm cheaper?

Looking just at the national average premiums, Cig is the cheaper of the two carriers, offering average rates of $119 per month compared to $158 for State Farm. Even so, Cig won't necessarily be the lowest carrier for each driver, since there are a bunch of different factors that come into play when it comes to your auto insurance cost.

Who is better, Cig or State Farm?

Sadly, the real answer is "it depends.". No single company is "better" for everyone -- it all depends on what your unique insurance profile looks like.

Why do Cig and State Farm offer me different rates?

Car insurance companies take a look at quite a few different variables when calculating the prices they charge policyholders. Things such as where you park your vehicle, age, gender, where you call home, and sometimes even things like your credit score can all be used. Both Cig and State Farm calculate premiums using 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 multiple different carriers.

How do I know if Cig or State Farm is right for me?

The only way to find the auto insurance company 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 makes it easy for you to do just that. Just enter your information once and you'll get free quotes from dozens of the best insurance carriers in your area. That way, you can guarantee you're getting the best price. And who knows, the best carrier for you might not be Cig or State Farm 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.