Erie vs. Farmers: Which Company is the Best Fit for You?

Quick Facts

• Looking at the national averages for auto insurance, Erie offers significantly more affordable prices than Farmers
• Erie offers cheaper average rates for policyholders who are looking to purchase insurance with a spouse
• Farmers may help you save more money -- they offer more discounts than Erie Insurance

Erie or Farmers: Which Company has the Cheapest Car Insurance?

So, you're thinking about switching to a new insurance policy. You've probably seen commercials and billboards from companies offering hefty savings, but exactly how much money can you save by switching?

You've maybe even narrowed your search down to Erie or Farmers, but between the two, which carrier will save you the most?

As you can see, Farmers has average rates that are around 25% a month more expensive than those from Erie when looking at the national average rates for car insurance.

But Erie may not be the cheapest or best option for each driver out there. Insurance carriers vary their premiums depending on things like where you live, how clean your driving record is, how good your credit score is, how old you are, and tons of other factors, so rates will vary quite a bit from person to person.

Luckily, we've broken down average prices from both Erie and Farmers by a range of different rate factors, so read on to find out which carrier is the best for you.

Erie vs. Farmers: Average Car Insurance Rates by State

Erie and Farmers compete against each other in four states, with Erie offering less expensive rates to the average driver in all of them. Illinois has the most noticable difference, where Erie premiums are $110 cheaper than auto insurance prices at Farmers.

There are plenty of other factors that go into your car insurance payment than just the state you live in. Read on to learn more.

Which is the Best Company For Young Drivers?

Teen drivers will almost always have the most expensive auto insurance premiums of any group on the road. Usually, 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 teen drivers can't still save money on their insurance. Just look at the table above -- where 18-year-old drivers who have Erie for their auto insurance pay over 40% less than those who use Farmers.

That being said, both companies will offer you dramatically lower rates once you turn 25. For example, average prices for Erie policyholders lower about $150 and Farmers's rates decrease around $400 over that time.

Which is the Best Company for Retired Drivers?

Once you approach retirement age, you'll generally enjoy the most affordable insurance premiums you'll ever 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.

So, which company offers the best premiums to retired drivers? Erie gets the edge here, with average prices coming in at about $116 a month compared to Farmers's $143.

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 drivers. This usually boils down to married policyholders having multiple vehicles on their policy -- something several car insurance carriers will reward with discounts.

For those who are single, the difference in average premiums between these two companies is significant, with Erie rates coming in at a quarter less than Farmers's. The advantage is also clear for married couples - Erie offers the cheapest average prices.

Erie or Farmers: Average Rates by Gender

Women normally to pay less for insurance than men. This is because men are statistically more likely than women to get into accidents and get tickets, which leads to increased risk for insurers and, therefore, higher rates.

Normally, women see prices more than $10 per month more affordable with Erie, and around $7 less with Farmers.

When it comes to the lowest premiums for each gender, Erie comes out on top for both men and women. On average, male drivers save about $49 a month and women save about $53 with Erie compared to the average Farmers policyholder.

Erie vs. Farmers: 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 so many different coverages and terms that it can make it pretty confusing to find the right policy for you.

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

Looking specifically at state minimum liability insurance, Erie has the significant edge, with average monthly prices coming in at $91. If you want a full coverage policy with the same state minimum limits, Erie again has the edge, with policies averaging around $215 per month to Farmers's $281.

Is Erie or Farmers 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.

You'll probably end up paying more with collisions and speeding tickets on your record, but which of these two carriers offers the most affordable rates to drivers with spotty records?

Which Company is Best for Drivers with Speeding Tickets?

Policyholders who use Erie for their insurance can typically expect their monthly bill to go up about 13% after getting a speeding ticket. Farmers policyholders can expect a bit more drastic of an increase of around 21%.

That being said, Erie tends to offer the best prices for drivers both with a ticket and with a clean record -- their rates are around 27% less expensive for drivers with clean records and 33% more affordable for those with a ticket.

Which Company is Best for Drivers After an Accident?

After an accident, drivers who have their auto insurance through Erie can expect to see about an $38 -- or around 24% -- rise in their car insurance premiums. Drivers who use Farmers for their insurance will see a monthly bill about $62 (or 28%) more expensive after reporting an accident to their car insurance carrier.

At the end of the day, Erie offers the lowest rates for drivers with an at-fault collision on their records, with average prices coming in at $157 compared to Farmers Insurance's $224.

Which Company is Best for Drivers with a DUI?

On average, a DUI offense is going to cost you much more than a single accident or speeding ticket when it comes to your auto insurance bill. Erie drivers usually see a 40% raise in their insurance premiums after a DUI charge, while Farmers will usually climb rates by around 27%.

How does Credit Score Impact Erie and Farmers Rates?

Did you know many auto insurance companies take into account your credit score when determining premiums? This isn't true for everyone (for example, Massachusetts and Hawaii are two states that ban the practice entirely), but it might come into play for many drivers.

Insurance carriers argue that someone with good credit is more likely to pay their bills on time, which makes them less risky to insure. Because of that, policyholders with good credit will often be rewarded with cheaper prices.

Looking at Erie and Farmers specifically, which company has the best premiums for drivers at different credit levels?

Which Company is Best for Drivers with Good Credit?

Which Company is Best for Drivers with Bad Credit?

Is Erie or Farmers Better for Drivers who Work from Home or Have Short Commutes?

The amount of time you spend behind the wheel of your car plays a big role in how much car insurance companies will charge for coverage. That's because the more milage you put on your vehicle each year, 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 Farmers charges. However, there's a small difference in monthly prices for Erie, with policyholders who drive 6,000 miles every year paying about $11 less each month compared to those who drive 12,000 miles annually. Still, for drivers in both categories, Erie is the less expensive company.

Erie or Farmers: Compare Rates for Urban, Suburban, and Rural Drivers

Where your home is can have a considerable impact on your monthly auto insurance cost. Typically, policyholders who live in heavily-populated urban areas will pay quite a bit more than rural drivers since there are a lot more cars on the roads where they live.

Erie boasts the cheapest average rates for drivers in all types of areas, no matter if they're urban, suburban, or rural.

For policyholders in urban ZIP codes, Erie Insurance's average prices are around 23% less than Farmers Insurance. People who live in suburban areas pay about 23% less with Erie compared to Farmers. Those in rural areas can expect to save around 32% with Erie compared to Farmers.

Erie vs. Farmers 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. That's where insurance discounts comes into play.

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

Luckily, we did the hard work for you and looked at all of the different discounts Erie and Farmers offer their customers so that you can easily see which company offers the most discounts and see which ones you might be able to take advantage of.

Farmers blows Erie away when it comes to the sheer amount of discounts available, offering seven more discounts than Erie.

Both carriers offer several of the same discounts -- like advance quote discounts, discounts for being a defensive driver, distant student discounts, and mature driver discounts -- but Farmers also offers discounts for alternative fuel, EFT, ESC, and more.

On the other hand, Erie has a few proprietary discounts of their own for things like COVID-19 relief discount, DRL discounts, farm discounts, and more.

Final Thoughts: Is Erie or Farmers Best for You?

You've seen the effect certain variables have on your car insurance and the different discounts companies offer. That's all well and good, but when it comes down to it, which carrier is the right one for you and your specific needs?

Erie might be best for you if....

• You will be the only person on the insurance policy.
• You want to save money while purchasing auto insurance for a teenager.

Farmers might be best for you if...

• You are considering moving to another state -- undefined is only available in.
• You're looking for the company with the most discounts.

Hopefully, this guide helps you get a better idea of the difference between Erie and Farmers. 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 best way to make sure you're getting the best deal on your car insurance policy is to compare quotes from multiple carriers, not just Erie and Farmers. 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 companies in your area, all in just a few minutes.

Erie vs. Farmers FAQs

Is Erie or Farmers cheaper?

Erie is the cheaper of the two carriers when looking at national average rates, with policies averaging $153 a month with Erie and $203 for Farmers. But that doesn't mean Erie will be the lowest carrier for everyone, since there are a variety of different factors that come into play when it comes to your car insurance bill.

Who is better, Erie or Farmers?

Unfortunately, the answer truly is "it depends.". Neither company is necessarily "better" for everyone -- it all boils down to your unique insurance profile. For example, Farmers is more affordable for drivers who have less-than-stellar credit scores, while Erie offers less expensive premiums for drivers with an at-fault collision on their record.

Why do Erie and Farmers offer me different rates?

Auto insurance companies use quite a few different variables when calculating the prices they charge. Factors like gender, your driving record, where you live, age, and sometimes even things like your credit score can all come into play. Both Erie and Farmers calculate premiums using different formulas, so it's likely they'll offer different rates. The best way to determine which carrier is the cheapest for you is by comparing personalized quotes from many different carriers.

How do I know if Erie or Farmers is right for me?

The only way to find the car insurance company that's right for you is by getting quotes from several 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 information once and you'll get quotes from dozens of your local top auto insurance carriers for free. With those, you can guarantee you're getting the best premium. And maybe you'll find that the best carrier for you isn't Erie or Farmers 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.