Encompass vs. Mercury: Which Company is the Best Fit for You?

Quick Facts

• Based on national averages for auto insurance, Mercury offers significantly more affordable rates than Encompass
• Encompass has cheaper premiums for policyholders who haven't received any speeding tickets or been in a collision in the last few years
• Mercury offers more affordable average rates for drivers who have below-average credit

Encompass or Mercury: 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 might have narrowed it down to Encompass or Mercury as potential options, but which company has cheaper prices for car insurance?

As you can see, Encompass is quite a bit more expensive than Mercury, with rates averaging $466 a month compared to just $295 with Mercury when looking at the national average rates for insurance.

That being said, that doesn't necessarily mean Mercury will be the less expensive option for each driver. Car insurance carriers vary their prices depending on things like how old you are, how clean your driving record is, where you live, how good your credit score is, and all sorts of other factors. So, at the end of the day, premiums from every company will differ quite a bit from person to person.

Wanting to know if Encompass or Mercury is really the right carrier for you? Keep on reading to see how average prices can change based on all of the factors we've mentioned above.

Encompass vs. Mercury: Average Car Insurance Rates by State

Encompass and Mercury compete against each other in eight states, with Mercury offering cheaper premiums to the average driver in all of them. If you live in New York or Texas, Encompass is the less expensive of the two companies when looking at the overall average rates. Mercury is the more affordable option in Arizona, Georgia, Illinois, New Jersey, Nevada, and Virginia.

That being said, there's a lot more that goes into your auto insurance bill than just the state you live in. 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. Normally, that's because teen 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 insurance prices. As you can see above, teens who use Mercury save over 35% per month compared to those who use Encompass.

But both carriers will reduce rates by the time drivers turn 25. Mercury offers the steepest reduction, with 25-year-olds paying less than a third of what 18-year-old drivers are charged. Encompass's average premiums lower more than 65% during that same period.

Which is the Best Company for Retired Drivers?

When it comes to auto insurance, patience and experience pay off, with drivers around retirement age paying some of the cheapest rates you can find.

When looking at Encompass and Mercury specifically, which company is best for retired drivers? Mercury gets the edge here, with average prices coming in at around $219 monthly compared to Encompass's $335.

Which is the Best Company for Married Drivers?

Did you know that insurance premiums are usually less expensive for married policyholders than they are for single policyholders? That's because policies for married couples typically cover more than one vehicle, which lots of companies will give you a discount for.

For those who are single, the difference in average prices between these two carriers is significant, with Mercury rates coming in at a third less than Encompass's. The advantage for married drivers with Mercury is also obvious, where drivers save about $100 a month.

Encompass or Mercury: Average Rates by Gender

Did you know men tend to pay more for car insurance than women? This is because men are statistically more likely than women to get into collisions and get tickets, which leads to increased risk for insurers and, therefore, higher premiums.

Men normally pay around 5% more per month than women with Encompass, but with Mercury, the difference is closer to 5% a month.

When it comes to the most affordable rates for each gender, Mercury comes out on top for both men and women, with average premiums $175 less for men and $166 cheaper for women.

Encompass vs. Mercury: 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.

Auto insurance can be a complicated subject for most people. Everyone needs car insurance, but there are so many different coverages and terms that it can be hard to find the right policy for you.

Even so, most policies end up falling into two different types of coverage -- liability coverage (which covers the other party's injuries and property damage if you cause an accident) and full coverage (which includes two additional coverages -- collision and comprehensive -- alongside liability).

Looking specifically at state minimum limits for liability insurance, Mercury has the significant edge, with average monthly prices coming in at $184. If you want a full coverage policy with the same state minimum limits, Mercury again has the edge, with policies averaging about $406 per month to Encompass's $629.

Is Encompass or Mercury 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.

Speeding tickets and collisions will most likely raise your rates, but is Encompass or Mercury more affordable for drivers with less-than-perfect records?

Which Company is Best for Drivers with Speeding Tickets?

Policyholders who use Encompass for their insurance can typically expect their monthly bill to go up around 21% after getting a speeding ticket. Mercury policyholders can expect a less drastic increase of about 19%.

But Encompass is usually the cheaper option for drivers both with clean records and with a ticket -- their rates are around 4% less expensive for drivers with clean records and 2% cheaper for those with a ticket.

Which Company is Best for Drivers After an Accident?

After an accident, drivers who have their car insurance through Encompass can expect to see around an $101 -- or about 31% -- rise in their insurance prices. Drivers who use Mercury for their auto insurance will see a monthly bill around $109 (or 32%) more expensive after reporting a collision to their insurance carrier.

At the end of the day, the more affordable premiums come from Encompass, with average prices coming in at $328 compared to Mercury Insurance's $346.

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. On average, Encompass will increase your premiums about 78% after a DUI, while Mercury's average rates climb by more than 20%.

But if you end up with a DUI charge and are looking for more affordable prices, Mercury tends to be cheaper for the average driver, with monthly premiums coming in at around $303 to Encompass's 1020.

How does Credit Score Impact Encompass and Mercury Rates?

In many cases, your credit score can be used as one of the variables to determine your monthly auto insurance rates. Certain states and companies do not allow for credit score to be used as an insurance factor, but it might come into play for a lot of drivers.

The reasoning car insurance carriers use is that policyholders with good credit will be more likely to pay their bills on time; so they'll reward them with cheaper premiums, while those with poor credit will generally be forced to pay more.

Looking at Encompass and Mercury specifically, which carrier has the best rates for drivers at different credit levels?

Which Company is Best for Drivers with Good Credit?

If you have a solid credit score, Mercury will usually reward you the most. For policyholders with "excellent" credit scores, Mercury comes in over 36.29 less expensive. Drivers with "good" credit scores normally save about 33% with Mercury compared to average prices from Encompass.

Which Company is Best for Drivers with Bad Credit?

Mercury typically offers lower premiums than Encompass when it comes to drivers with bad credit. Drivers with "fair" credit pay around 36% a month less with Mercury compared to Encompass, and those with "poor" scores typically save an average of about 37% a month.

Is Encompass or Mercury Better for Drivers who Work from Home or Have Short Commutes?

How much you drive can have a substantial impact on your monthly prices. That's because the more milage you put on your car, the more 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 Mercury charges. However, there's a small difference in monthly premiums for Encompass, with drivers who put 6,000 miles on their vehicle yearly paying around $2 less each month compared to those who drive 12,000 miles annually. Still, for drivers in both categories, Mercury is the more affordable company.

Encompass or Mercury: 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. Generally, those who live in urban areas will pay more than drivers in rural areas because of the number of cars that are on the roads where they live.

Mercury tends to offer the lowest rates for drivers in every type of area, no matter if it's urban, suburban, or rural.

Those in rural areas can expect to save about $195 with Mercury compared to Encompass. People who live in suburban areas pay around $159 less with Mercury compared to Encompass. For policyholders in urban ZIP codes, Mercury Insurance's average premiums are about $159 less than Encompass Insurance.

Encompass vs. Mercury 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.

The hard part is finding all of the discounts you can take advantage of, since it can feel sometimes like every carrier has different discounts and each one is advertised differently.

Luckily, we did the hard work for you and compared all of the different discounts offered by Encompass and Mercury so that you can see which company offers the most discounts and see which ones you might be able to take advantage of.

Overall, Mercury comes out ahead with 27 discounts to Encompass's 26.

A couple of those are overlapping for things like advance quote discounts, discounts for being a defensive driver, distant student discounts, and discounts for being a good driver. Mercury also offers discounts for continuous insurance, COVID-19 relief, e-signature, and more.

On the other hand, Encompass has a few proprietary discounts of their own for things like driver training discounts, EFT discounts, fire/fisher discounts, and more.

Final Thoughts: Is Encompass or Mercury Best for You?

So, you've seen how different factors can affect your car insurance rates. We've shown you all the discounts each company offers, too. But, at the end of the day, which carrier is the right one for you, your vehicle, and your wallet?

Mercury might be best for you if....

• You will be the only person on the insurance policy.
• Your neighborhood is in a rural area.
• You are purchasing your auto insurance with a spouse.

Encompass might be best for you if...

• You have a clean record.
• You have received a ticket within the last few years.
• You want to save money on your insurance after an accident.

Hopefully, this guide helps you get a better idea of the difference between Encompass and Mercury and that you can now make a more informed decision when it comes to your auto 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 car insurance -- comparing quotes from several companies, not just Encompass and Mercury. Luckily, sites like Compare.com do all the hard work for you. Simply enter your ZIP codes below and get multiple free quotes from some of the best auto insurance carriers in your area, all in just a few minutes.

Encompass vs. Mercury FAQs

Is Encompass or Mercury cheaper?

Mercury is the less expensive of the two companies when looking at national average prices, with policies averaging $295 per month with Mercury and $466 for Encompass. However, that doesn't mean Mercury will be the most affordable company for everyone, 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, Encompass or Mercury?

Unfortunately, the real answer is "it depends.". No single carrier is "better" for every policyholder -- it all comes down to what your unique car insurance profile looks like. For example, Mercury is cheaper for drivers who have less-than-stellar credit scores, while Encompass offers more affordable rates for drivers with an at-fault collision on their record.

Why do Encompass and Mercury offer me different rates?

Insurance carriers use quite a few different factors when determining the prices they charge. Things like your driving record, age, gender, where you park your vehicle, and sometimes even things like your credit score can all be used. Both Encompass and Mercury use different formulas, so it's likely they'll offer different premiums. The best way to determine which company is the lowest for you is by comparing personalized quotes from lots of different companies.

How do I know if Encompass or Mercury is right for me?

The only way to find the car 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 information once and you'll get quotes from dozens of your local top 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 Encompass or Mercury 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.