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

Quick Facts

• Looking at the national averages for car insurance, Farmers offers significantly more affordable premiums than Esurance
• Farmers tends to be a much less expensive option for policyholders who drive fewer than 6,000 miles yearly
• Farmers has cheaper prices for policyholders who live in urban areas

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

Are you in the market for a new insurance policy? With so many ads from all sorts of companies offering large savings, you're probably wondering exactly how much you might be able to save.

You might have narrowed your search down to Esurance or Farmers as potential options, but which company has more affordable premiums for auto insurance?

Looking at the national average rates for both carriers, Esurance is quite a bit more expensive than Farmers, with prices averaging $299 a month compared to just $203 with Farmers.

Even so, that doesn't mean Farmers will necessarily be less expensive than Esurance for every single driver. After all, insurance companies can offer drastically different rates to every driver depending on rating factors like your credit score, your driving record, where you call home, or even your age (among other things). So, at the end of the day, rates from each carrier will differ quite a bit from person to person.

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

Esurance vs. Farmers: Average Car Insurance Rates by State

Esurance and Farmers compete against each other in four states, with Esurance offering cheaper prices to the average driver in all of them. Ohio has the most noticable difference, where Farmers rates are $63 less expensive than car insurance prices at Esurance.

That being said, there's a lot more that goes into your insurance cost than just where you call home. Continue reading to see how other variables will affect your rates.

Which is the Best Company For Young Drivers?

You might already know that teen drivers usually pay a lot more for car insurance than any other group of drivers. It's generally because teen drivers are statistically much more likely to get into accidents since they have less experience on the roads.

However, that doesn't mean that teen drivers have to just accept sky-high auto insurance rates. For example, 18-year-old drivers pay an average of almost 25% less per month by choosing Farmers over Esurance.

But both carriers will offer you dramatically lower premiums once you turn 25. For example, average prices for Esurance policyholders reduce around $500 and Farmers's premiums drop nearly $400 over that time.

Which is the Best Company for Retired Drivers?

Drivers around retirement age typically enjoy some of the lowest insurance rates you can find. After all, they've likely been driving for quite some time, which normally reduces their chances of collisions and other infractions that can raise prices.

But who has the best premiums for retired drivers between Esurance and Farmers? Farmers gets the edge, with rates for drivers 65 and older $89 cheaper than the national average for Esurance.

Which is the Best Company for Married Drivers?

Did you know that auto insurance prices are generally more affordable for married couples than they are for single policyholders? This usually boils down to married policyholders having multiple vehicles on their policy -- something many car insurance companies will reward with discounts.

For those who are single, the difference in average rates between these two carriers is significant, with Farmers premiums coming in at a third less than Esurance's. The advantage for married drivers with Farmers is also obvious, where drivers save over 30% a month.

Esurance or Farmers: Average Rates by Gender

You may not know, but insurance is normally cheaper for women than it is for men. This is because men are statistically more likely than women to get into a collision or get pulled over for speeding, which leads to increased risk for insurers and, therefore, higher rates.

On average, men see prices about 7% per month higher with Esurance, and around 3% with Farmers.

Looking at overall affordability, Farmers comes out as the cheapest option for both genders. On average, male drivers save about $102 a month and women save about $88 with Farmers compared to the average Esurance policyholder.

Esurance 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.

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

The two most common policies that drivers look at fall into two categories -- liability coverage (which provides property damage and bodily injury coverage for other drivers and passengers if you cause an accident) and full coverage (which includes collision and comprehensive coverages that protect your own car, in addition to liability).

Looking specifically at state minimum limits for liability insurance, Farmers has the significant edge, with average monthly premiums coming in at $126. If you want a full coverage policy with the same state minimum limits, Farmers again has the edge, with policies averaging around $281 per month to Esurance's $396.

Is Esurance or Farmers Better for Drivers with Spotty Records?

It's no secret -- drivers with good records end up getting the best deals on their 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 at-fault accidents and speeding tickets on your record, but which of these two companies offers the most affordable rates to drivers with less-than-perfect records?

Which Company is Best for Drivers with Speeding Tickets?

Policyholders who use Esurance for their car insurance can typically expect their monthly bill to go up about 16% after getting a speeding ticket. Farmers policyholders can expect a bit more drastic of an increase of around 21%.

That being said, Farmers is usually the less expensive option for both drivers who have clean records and those with a recent ticket, offering prices that are 33% and 28% more affordable, respectively, compared to Esurance.

Which Company is Best for Drivers After an Accident?

Both carriers will increase premiums pretty significantly if you get into an at-fault collision with Esurance increasing by about 34%. Farmers has a less extreme raise, but you can still expect to pay nearly 30% more than you were prior to your first accident.

At the end of the day, drivers who use Farmers end up with the cheaper prices after an accident, with average prices coming in at $224 compared to Esurance's $364.

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 a collision. On average, Farmers will climb your rates around 27% after a DUI, while Esurance's average premiums increase by just under 20%.

How does Credit Score Impact Esurance and Farmers Rates?

Did you know many auto insurance companies take your credit score into account when determining prices? This isn't true for everyone (Massachusetts, for example, has banned the use of credit score as an insurance factor) but it might come into play for lots of drivers.

Car insurance carriers argue that those with poor credit scores are less likely to pay their bills on time every month, which raises the risk involved on their end, while the opposite is true for those with good credit.

So, which carrier offers the cheapest rates for policyholders with poor, average, or good credit?

Which Company is Best for Drivers with Good Credit?

Which Company is Best for Drivers with Bad Credit?

Is Esurance or Farmers 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 sizable impact on how much insurance companies will charge for coverage? Generally, the more milage you put on your vehicle each year, the more you can expect to pay for auto insurance.

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 premiums for Esurance, with policyholders who drive the least paying about $1 less each month compared to those who drive 12,000 miles every year. Still, for drivers in both categories, Farmers is the cheaper company.

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

Where your home is can have a considerable impact on your monthly car insurance bill. Normally, drivers who live in less densely populated rural areas will pay quite a bit less than urban policyholders since there are a lot fewer cars on the road where they live, which lowers the chances of an accident.

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

Those in rural areas can expect to save around $41 with Farmers compared to Esurance. People who live in suburban areas pay about $99 less with Farmers compared to Esurance. For drivers in urban ZIP codes, Farmers Insurance's average prices are around $145 less than Esurance.

Esurance vs. Farmers Discounts

You want to save as much money as you can, right? The best way to do that is by taking advantage of as many 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're eligible for.

Luckily, we did the hard work for you and compared all of the different discounts offered by Esurance and Farmers so that you can easily see which company offers the most discounts and, therefore, the largest savings.

Looking at the total number of discounts, Farmers has the advantage when it comes to total number of discounts. Esurance offers a grand total of 24 discounts, while Farmers has 28.

A couple of those are overlapping for things like advance quote discounts, discounts for being a defensive driver, discounts for being a good driver, and group discounts. Farmers also offers discounts for alternative fuel, distant student, driver training, and more.

On the other hand, Esurance has a few proprietary discounts of their own for things like agency transfer discounts, DRL discounts, education discounts, and more.

Final Thoughts: Is Esurance or Farmers Best for You?

So, we've broken down the average premiums for many of the factors auto insurance companies look at, and walked through the different discounts each company offers, too. That's all well and good, but at the end of the day, which carrier is the best fit for you?

Farmers might be best for you if....

• You already have plans to move to another state -- undefined only offers policies in.
• You have less-than-stellar credit.
• You're married and plan to have both of your names on the vehicle's insurance policy.

Esurance might be best for you if...

• You have a more unique driver profile than those we mentioned above.

Hopefully, this guide helps you get a better idea of the difference between Esurance and Farmers. 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 a handful of carriers, not just Esurance and Farmers. Luckily, Compare.com does all the hard work for you. Simply enter your ZIP codes below and get multiple quotes from some of the best insurance companies in your area, all for free.

Esurance vs. Farmers FAQs

Is Esurance or Farmers cheaper?

Farmers is the less expensive of the two carriers when looking at national average prices, with policies averaging $203 a month with Farmers and $299 for Esurance. However, that doesn't mean Farmers will be the most affordable company for each driver, since there are a bunch of different variables that are considered when it comes to your car insurance payment.

Who is better, Esurance or Farmers?

Unfortunately, the real answer is "it depends.". No single carrier is "better" for everyone -- it all depends on the makeup of your unique auto insurance profile.

Why do Esurance and Farmers offer me different rates?

Car insurance companies use a lot of different factors when calculating the rates they charge. Things like where you call home, gender, where you park your vehicle, age, and sometimes even things like your credit score can all be used. Both Esurance and Farmers calculate premiums using different formulas, so it's likely they'll offer different prices. The best way to determine which company is the lowest for you is by comparing personalized quotes from several different carriers.

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

The only way to find the auto insurance carrier 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 do all the hard work for you. Just enter your information once and you'll get quotes from dozens of your local top insurance carriers for free. That way, you can guarantee you're getting the cheapest price. And maybe you'll find that the best company for you isn't Esurance 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.