Equity vs. Hanover: Which Company is the Best Fit for You?

Quick Facts

• In general, Equity offers significantly cheaper rates than Hanover
• Equity has more affordable prices for drivers with a DUI charge on their record
• Hanover offers more discounts than Equity Insurance Company

Equity vs. Hanover: Which Company has the Cheapest Car Insurance?

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

You've maybe even narrowed it down to Equity or Hanover for your next policy, but which company has less expensive rates for auto insurance?

As you can see, Hanover is quite a bit more expensive than Equity, with premiums averaging $853 per month compared to just $165 with Equity when looking at the national average rates for car insurance.

Even so, Equity may not be the lowest or best option for every driver out there. Auto insurance companies vary their prices depending on things like how old you are, where you live, how clean your driving record is, how good your credit score is, and tons of other factors, so premiums will vary quite a bit from person to person.

So, if you want to find out which of Equity or Hanover is really the best for you, keep reading to see average rates for each company broken down by a variety of different rate factors.

Equity or Hanover: Average Car Insurance Rates by State

Equity and Hanover only compete against each other in one states, with Equity offering cheaper prices to the average driver in all of them. Arkansas has the most noticable difference, where Equity rates are over 70% less expensive than insurance prices at Hanover.

But there's more to calculating car insurance premiums than just where you live. Continue reading to see how other factors will affect your rates.

Which is the Best Company For Young Drivers?

Teen drivers will almost always have the most expensive insurance rates of any group out there on the road. That's normally because young, inexperienced drivers are statistically much more likely to cause collisions and other accidents that will result in an insurance claim.

But still, even with seemingly sky-high premiums, teen drivers can still find ways to save money. Just look at the table above -- where 18-year-old drivers who have Equity for their auto insurance pay more than $500 less than those who use Hanover.

That being said, both carriers will offer you dramatically lower prices once you turn 25. For example, average rates for Equity policyholders reduce over $200 and Hanover's prices drop about $500 over that time.

Which is the Best Company for Retired Drivers?

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

So, which carrier offers the best rates to retired drivers? Equity gets the edge here, with average prices coming in at around $128 per month compared to Hanover's $613.

Which is the Best Company for Married Drivers?

Did you know that car insurance premiums are usually more affordable for married policyholders than they are for single drivers? That's because policies for married drivers typically cover more than one car, which several companies will offer you a discount for.

When it comes to relationship status, Equity is the clear winner for those who are single, with rates about $806 a month less expensive than Hanover, on average. For married couples, the advantage is clear again - Equity has the edge when it comes to average premiums.

Equity vs. Hanover: Average Rates by Gender

You may not know, but auto insurance is generally more expensive for men than for women. This is because men are statistically more likely than women to get into accidents and file an insurance claim, which leads to increased risk for insurers and, therefore, higher prices.

With Equity, men normally pay more than 10% more per month than women., and around 7% with Hanover.

Looking at overall affordability, Equity offers the lowest average rates for both men and women, with average prices 80% less for men and 81% cheaper for women.

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

But 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 a collision) 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 liability limits, Equity usually offers significantly cheaper premiums of $67 compared to Hanover's $509. When it comes to full coverage policies with similar limits, Equity again has the edge, with policies about $500 a month more affordable than Hanover, on average.

Is Equity or Hanover 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.

You'll probably end up paying more with at-fault collisions and tickets on your record, but which of these two carriers offers the cheapest prices to drivers with less-than-perfect records?

Which Company is Best for Drivers with Speeding Tickets?

Equity policyholders can expect their rates to go up an average of $6 per month if they get a ticket, while Hanover typically raises premiums around $221 a month, on average.

However, Equity is generally the less expensive option for drivers both with a speeding ticket and with a clean record, offering prices that are 75% and 81% more affordable, respectively, compared to Hanover Insurance.

Which Company is Best for Drivers After an Accident?

Both companies will increase premiums pretty significantly if you get into an at-fault accident with Hanover climbing by just under $350. Equity has a less extreme increase, but you can still expect to pay $25 more than you were prior to your first collision.

Overall, the cheaper rates come from Equity, with monthly premiums averaging $179 compared to Hanover Insurance's $943.

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 -- usually a lot more than an accident or ticket. Hanover drivers usually see a 39% increase in their auto insurance rates after a DUI charge, while Equity will generally climb prices by about 7%.

If you have a DUI on your record and are looking for more affordable rates, Equity tends to be the much more affordable option with average premiums of $166 a month compared to 1013 from Hanover.

How does Credit Score Impact Equity and Hanover Rates?

Often times, your credit score can be used as one of the variables to calculate your monthly car insurance prices. Certain states and carriers do not allow for credit score to be used as a rating factor, but it might come into play for quite a few drivers.

The reasoning insurance companies use is that policyholders with bad credit will be less likely to pay their bills on time; so normally, they'll be asked to pay more, while those with good credit will be rewarded with cheaper premiums.

So, which company offers the most affordable rates for drivers with poor, average, or good credit?

Which Company is Best for Drivers with Good Credit?

If you have a solid credit score, you'll usually find a better deal with Equity. Policyholders with "excellent" credit can save 25% compared to Hanover, and those with "good" scores can also expect to see savings -- around $361 or 69% less expensive each month.

Which Company is Best for Drivers with Bad Credit?

Equity typically offers lower prices than Hanover when it comes to drivers with less-than-perfect credit. Drivers with "fair" credit pay about $691 per month less with Equity compared to Hanover, and those with "poor" scores typically save an average of around 1739 monthly.

Is Equity or Hanover Better for Drivers who Work from Home or Have Short Commutes?

How much you drive can have a considerable impact on your monthly car insurance bill. That's because the fewer miles you put on your car, the less likely you are to get into a collision 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 Equity charges. However, there's a small difference in monthly rates for Hanover, with policyholders who drive 6,000 miles annually paying about $1 less every month compared to those who drive 12,000 miles each year. Still, Equity is the cheaper option for drivers in both categories.

Equity vs. Hanover: Compare Rates for Urban, Suburban, and Rural Drivers

Where your home is can have a substantial impact on your monthly auto insurance payment. Generally, those who live in urban areas will pay more than drivers in rural areas because of the number of vehicles that are on the roads in those areas.

When comparing these two carriers side-by-side, Equity typically comes out as the cheapest option for drivers in every type of area, no matter if it's urban, suburban, or rural.

For policyholders in urban ZIP codes, Equity offers prices around $192 per month compared to Hanover's $966. People who live in suburban ZIP codes can expect to pay about $158 a month for Equity and $842 for Hanover. Lastly, those in rural areas tend to get the most affordable premiums from both companies, with average monthly rates coming in at $143 and $750 for Equity and Hanover respectively.

Equity vs. Hanover Discounts

Regardless of why you might be in the market for a new insurance policy, you're always going to want to save as much money as possible, and the best way to do that is by taking advantage of as many auto insurance discounts as you can.

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

In the table below, we've compared all of the different discounts offered by Equity and Hanover so that you can see which one can save you the most money each month.

Hanover blows Equity away when it comes to the sheer amount of discounts available, offering 11 more discounts than Equity.

There are a couple discounts both carriers offer, but Hanover also offers ABS discounts, advance quote discounts, annual mileage discounts, and more that Equity does not.

On the flip side, Equity has a couple unique discounts of its own -- agency transfer discounts and renewal discounts.

Final Thoughts: Is Equity or Hanover Best for You?

So, you've seen how different factors can affect your car insurance premiums. We've shown you all the discounts each company offers, too. But, at the end of the day, is Equity or Hanover the best fit for you?

Equity might be best for you if....

• You have a clean driving record, free of accidents, tickets, or DUIs.
• Your neighborhood is in a city.
• You're buying insurance for a teen and looking for a wallet-friendly option.

Hanover might be best for you if...

• You care about discounts (Hanover offers the most).

We hope this guide helps you get a better idea of the difference between Equity and Hanover and that it aids in making a more informed decision about your car insurance.

At the end of the day, the sure-fire way to make sure you're getting the best deal on your insurance policy is to compare quotes from several companies, not just Equity and Hanover. Luckily, sites like Compare.com do all the hard work for you. Simply enter your ZIP code below and get free quotes from dozens of the top auto insurance carriers in your area, all in just a few minutes.

Equity vs. Hanover FAQs

Is Equity or Hanover cheaper?

Looking just at the national average prices, Equity is the more affordable of the two companies, offering average rates of $165 per month compared to $853 for Hanover. That being said, Equity won't necessarily be the lowest carrier for everyone, since there are several different variables (things like age, gender, driving record, etc.) that play a role in how much you pay.

Who is better, Equity or Hanover?

Unfortunately, the real answer is "it depends.". No single company is "better" for every driver -- it all boils down to your unique car insurance profile.

Why do Equity and Hanover offer me different rates?

Auto insurance carriers take a look at a lot of different factors when calculating the rates they charge drivers. Variables like gender, age, where you park your car, your driving record, and sometimes even things like your credit score can all come into play. Both Equity and Hanover calculate prices using 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 range of different companies.

How do I know if Equity or Hanover is right for me?

The only way to find the insurance company 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, sites like Compare.com make it easy for you to do just that. Just enter your ZIP code and you'll get free quotes from dozens of the best car insurance companies in your area. With those, you can guarantee you're getting the lowest price. And who knows, the best carrier for you might not be Equity or Hanover 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.