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

How do Erie and Penn National compare when it comes to car insurance prices and discounts? If you want to find out which carrier has the best rates for your unique profile, check out our latest guide below.
Newly insured car driving down the road
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Quick Facts

  • Based on national averages for auto insurance, Erie offers significantly cheaper premiums than Penn National
  • Erie has less expensive prices for policyholders whose driving record contains an at-fault collision
  • Penn National has more affordable premiums in MD, NC, NJ, TN, and VA

Erie or Penn National: 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 Penn National as your top options, but between the two, which one will save you the most?

Erie Penn National

As you can see, Erie has average rates that are around 30% a month less expensive than those from Penn National when looking at the national average rates for car insurance.

However, that doesn't necessarily mean Erie will be the cheaper option for every driver. After all, insurance carriers can offer drastically different rates to every driver depending on rating factors like your credit score, your age, where you call home, or even your driving record (among other things), so rates could differ drastically from person to person.

So, if you want to find out which of Erie or Penn National is really the best for you, keep reading to see average prices for each company broken down by a range of different rate factors.

Erie vs. Penn National: Average Car Insurance Rates by State

State Erie Penn National

Erie and Penn National compete against each other in four states, with Erie offering more affordable premiums to the average driver in all of them. If you live in Tennessee, Penn National is the cheaper of the two companies when looking at the overall average rates. Erie is the less expensive option in Maryland, North Carolina, and Virginia.

But there's more to auto insurance than just the state you live in. As we mentioned above, there's a lot of things that go into how insurance carriers determine your prices. Continue reading to learn more about how other variables will affect your rates.

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Which is the Best Company For Young Drivers?

Erie Penn National
18-year-old drivers$315$473
25-year-old drivers$142$193

Young drivers -- especially teens -- normally pay a lot for car insurance compared to older drivers. That's because teen drivers are statistically much more likely to get into accidents since they have less experience on the roads.

Even so, that doesn't mean that teen drivers have to just accept sky-high auto insurance premiums. As you can see above, teens who use Erie save over 35% per month compared to those who use Penn National.

That being said, both companies will reduce rates once you turn 25. Penn National offers the steepest decrease, with 25-year-olds paying less than a third of what 18-year-old drivers are charged. That being said, Erie still has the cheapest prices at $142 per month.

Which is the Best Company for Retired Drivers?

Erie Penn National
65+-year-old drivers$116$163

Once you approach retirement age, you'll usually enjoy the most affordable car insurance rates you can find. You've been on the road for years, and all that experience pays off when it comes to your monthly premiums for insurance.

So, which carrier offers the best rates to retired drivers? Erie gets the edge, with premiums for drivers 65 and older $47 more affordable than the national average for Penn National.

Which is the Best Company for Married Drivers?

Erie Penn National

Did you know that auto insurance prices are generally more expensive for single policyholders than they are for married policyholders? This usually boils down to married couples having more than one vehicle on their policy -- something a lot of car insurance carriers will reward with discounts.

For single drivers, the difference in average premiums between these two companies is significant, with Erie prices coming in at about 30% less than Penn National's. The advantage for married drivers with Erie is also obvious, where drivers save around $50 a month.

Erie or Penn National: Average Rates by Gender

Erie Penn National

Men are statistically more likely than women to get tickets and get into accidents, which means they'll typically end up paying more for insurance than women.

With Erie, men normally pay about 7% more per month than women., and around 2% with Penn National.

When it comes to the lowest rates for each gender, Erie comes out on top for both men and women, with average prices 28% less for men and 32% cheaper for women.

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Erie vs. Penn National: Compare State Minimum vs. Full Coverage Rates

Erie Penn National
State Minimum*$91$144
Full Coverage**$215$292

*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.

It's no secret that auto insurance can be pretty complicated. Everyone needs insurance, but there are so many different coverages and limits that it can be hard to find the right policy for you.

But 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 coverage).

Looking specifically at state minimum limits for liability insurance, Erie has the significant edge, with average monthly rates 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 about $215 a month to Penn National's $292.

Is Erie or Penn National Better for Drivers with Spotty Records?

It's no secret -- drivers with good records end up getting the best deals on their car 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 premiums, but is Erie or Penn National cheaper for drivers with spotty records?

Which Company is Best for Drivers with Speeding Tickets?

Erie Penn National
Clean Record$119$139
1 Speeding Ticket$137$179

Policyholders who use Erie for their auto insurance can usually expect their monthly bill to go up around 13% after getting a speeding ticket. Penn National policyholders can expect a bit more drastic of an increase of about 22%.

However, Erie has less expensive rates for drivers in both categories -- their rates are around 14% more affordable for drivers with clean records and 23% less expensive for those with a ticket.

Which Company is Best for Drivers After an Accident?

Erie Penn National
Clean Record$119$139
1 At-Fault Accident$157$206

After an accident, drivers who have their insurance through Erie can expect to see around an $38 -- or about 24% -- rise in their auto insurance prices. Drivers who use Penn National for their car insurance will see a monthly bill around $67 (or 33%) more expensive after reporting an accident to their insurance company.

At the end of the day, the cheaper premiums come from Erie, with average prices coming in at $157 compared to Penn National Insurance's $206.

Which Company is Best for Drivers with a DUI?

Erie Penn National
Clean Record$119$139
1 DUI$198$346

If you get a DUI charge on your record, it's probably going to cost you more than a simple ticket or even a collision. Penn National drivers usually see a 60% climb in their auto insurance rates after a DUI charge, while Erie will generally raise premiums by about 40%.

But if you end up with a DUI charge and are looking for more affordable rates, Erie tends to be more affordable for the average driver, with monthly premiums coming in at around $198 to Penn National's $346.

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How does Credit Score Impact Erie and Penn National Rates?

You may not have known, but your credit score can come into play when carriers calculate your monthly bill. This isn't true for everyone (Massachusetts, for example, has banned the use of credit score as a car insurance factor) but it will come into play for quite a few drivers.

Car insurance companies argue that those with good credit scores are more likely to pay their bills on time each month, which reduces the risk involved on their end, while the opposite is true for those with bad credit.

Looking specifically at Penn National and Erie, which carrier has the most affordable prices for policyholders at different credit levels?

Which Company is Best for Drivers with Good Credit?

Erie Penn National
Excellent Credit Score$91$161
Good Credit Score$111$182

If you have great credit, Erie will typically reward you the most. For drivers with "excellent" credit scores, Erie comes in nearly 43.48 less expensive. Drivers with "good" credit scores normally save about 39% with Erie compared to average premiums from Penn National.

Which Company is Best for Drivers with Bad Credit?

Erie Penn National
Fair Credit Score$150$208
Poor Credit Score$258$320

Erie typically offers lower rates than Penn National when it comes to drivers with less-than-stellar credit. Drivers with "fair" credit pay around 28% per month less with Erie compared to Penn National, and those with "poor" scores generally save an average of about 19% monthly.

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

Erie Penn National
6,000 Annual Miles$147$218
12,000 Annual Miles$158$218

How much you drive can have a big impact on your monthly prices. Typically, the more milage you drive, the more you can expect to pay for coverage.

As you can see in the table above, annual mileage doesn't have much of an impact on how much Penn National charges. However, there's a small difference in monthly premiums for Erie, with drivers who put 6,000 miles on their vehicle every year paying around $11 less each month compared to those who drive 12,000 miles yearly. Still, for drivers in both categories, Erie is the more affordable carrier.

Erie or Penn National: 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 large impact as well. Usually, if you live in an urban area with more cars on the road, you'll pay a little more for auto insurance, while the opposite is true for people in rural areas.

Erie Penn National
Urban Areas$194$275
Suburban Areas$145$212
Rural Areas$115$165

Erie boasts the lowest average premiums for drivers in all areas, regardless of if they're urban, suburban, or rural.

Those in rural areas can expect to save about 30% with Erie compared to Penn National. People who live in suburban areas pay around 32% less with Erie compared to Penn National. For policyholders in urban ZIP codes, Erie Insurance's average prices are about 29% less than Penn National Insurance.

Erie vs. Penn National Discounts

You want to save as much money as you can, right? The best way to do that is by utilizing as many car insurance discounts as possible.

But where do you even start? With what seems like a million different discounts out there, it may be challenging to find all the ones you can take advantage of.

Luckily, we did the hard work for you and compared all of the different discounts offered by Erie and Penn National so that you can see which company can save you the most money each month.

Erie Penn National
ABS Discount
Added PIP Option Discount 
Advance Quote Discount
Anti-Theft Discount
Covid-19 Relief Discount 
Defensive Driver Discount
Distant Student Discount
Driver Training Discount
DRL Discount
Farm Discount 
Good Driving Discount 
Good Student Discount 
Group Discount 
Mature Driver Discount
Multi-Car Discount 
Multi-Policy Discount
Paid In Full Discount
Passive Restraint Discount
Pay Plan Discount 
PennID Discount 

Looking at the total number of discounts, Erie has the advantage when it comes to total number of discounts. Penn National offers a grand total of 16 discounts, while Erie has 21.

A couple of those are overlapping for things like advance quote discounts, discounts for being a defensive driver, distant student discounts, and mature driver discounts. Erie also offers discounts for COVID-19 relief, farm, good driving, and more.

On the other hand, Penn National has a few proprietary discounts of their own for things like added pip option discounts, good student discounts, group discounts, and more.

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Final Thoughts: Is Erie or Penn National Best for You?

You've seen the effect certain factors have on your insurance and the different discounts carriers offer. But, when it comes down to it, which insurance carrier is the right one for you, your vehicle, and your wallet?

Erie might be best for you if....

  • You have a speeding ticket on your driving record.
  • Your credit score is high.
  • You live in a rural area.

Penn National might be best for you if...

  • You like the personalized touch of a small, regional company.

Hopefully, this guide helps you get a better idea of the difference between Erie and Penn National. We also hope we've given you the information you need to make the best decision when it comes to your car insurance.

At the end of the day, the best way to make sure you're getting the best deal on your auto insurance policy is to compare quotes from multiple companies, not just Erie and Penn National. Luckily, sites like make it easy for you to do just that. Simply enter your ZIP codes below and get free quotes from dozens of top car insurance carriers in your area, all in just a few minutes.

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Erie vs. Penn National FAQs

Is Erie or Penn National cheaper?

Erie is the cheaper of the two companies when looking at national average premiums, with policies averaging $153 a month with Erie and $218 for Penn National. That being said, that doesn't mean Erie will be the most affordable carrier for every policyholder, since there are several different variables (things like driving record, age, gender, etc.) that play a role in how much you pay.

Who is better, Erie or Penn National?

Unfortunately, the real answer is "it depends.". Neither company is necessarily "better" for each policyholder -- it all boils down to your unique auto insurance profile.

Why do Erie and Penn National offer me different rates?

Insurance carriers use several different factors when determining the rates they charge. Variables such as your driving record, where your home is, gender, age, and sometimes even things like your credit score can all be used. Both Erie and Penn National calculate prices using different factors, so it's likely they'll offer different premiums. The best way to determine which carrier is the lowest for you is by comparing personalized quotes from multiple different companies.

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

The only way to find the auto 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 do 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. With those, you can guarantee you're getting the cheapest price. And maybe you'll find that the best carrier for you isn't Erie or Penn National at all, but another you hadn't even thought of!


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.

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