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

Quick Facts

• Based on national averages for car insurance, Penn National offers significantly less expensive premiums than Esurance
• Esurance may help you save more money -- they offer more discounts than Penn National Insurance
• Penn National offers more affordable prices for policyholders who drive a short distance to work everyday

Esurance or Penn National: Which Company has the Cheapest Car Insurance?

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

You've maybe even narrowed your search down to Esurance or Penn National for your next policy, but which carrier will offer you more affordable rates?

Looking at the national average rates for both carriers, Esurance has average rates that are around 25% a month more expensive than those from Penn National.

That being said, Penn National may not be the lowest or best option for every single driver out there. Insurance companies vary their premiums depending on things like how old you are, how good your credit score is, how clean your driving record is, where you live, and tons of other factors, so prices could change drastically from person to person.

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

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

Esurance and Penn National only compete against each other in two states, with Penn National offering cheaper premiums to the average driver in all of them. Maryland has the most noticable difference, where Penn National prices are $37 more affordable than auto insurance rates at Esurance.

That being said, there are plenty of other factors that go into your car insurance cost than just where you call home. Read on to learn more.

Which is the Best Company For Young Drivers?

You might already know that teen drivers normally pay a lot more for auto insurance than any other group of drivers. It's generally because teen drivers are statistically much more likely to get into an accident that results in an insurance claim, making them much riskier to insure.

But still, even with seemingly sky-high premiums, teen drivers can still find ways to save money. As you can see above, teens who use Penn National save almost 35% per month compared to those who use Esurance.

However, with both carriers, you'll see your prices lower significantly by the time drivers turn 25. For example, average premiums for Esurance policyholders drop over 65% and Penn National's rates reduce nearly 60% over that time.

Which is the Best Company for Retired Drivers?

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

But who has the best rates for retired drivers between Esurance and Penn National? Penn National gets the edge, with prices for drivers 65 and older $69 cheaper than the national average for Esurance.

Which is the Best Company for Married Drivers?

Married policyholders tend to get slightly less expensive auto insurance premiums than single policyholders. That's typically because married couples tend to own and insure more than one vehicle, which can often earn you a discount.

For those who are single, the difference in average rates between these two companies is significant, with Penn National premiums coming in at a third less than Esurance's. For married drivers, the advantage is clear again - Penn National has the edge when it comes to average rates.

Esurance or Penn National: Average Rates by Gender

Men are statistically more likely than women to get pulled over for speeding or get into a collision. That means when it comes to insurance men will normally end up paying a little more.

Usually, men see prices about $20 a month higher with Esurance, but with Penn National, the difference is closer to $5 per month.

Looking at the data for each carrier specifically, Penn National comes out as the most affordable option for both genders. On average, women save about $73 a month and men save around $89 with Penn National compared to the average Esurance policyholder.

Esurance vs. Penn National: 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 limits and terms that it can make it pretty confusing to find the right policy for you.

The two most common policies end up falling into two different types of coverage -- liability coverage (which provides bodily injury and property damage coverage for other drivers and passengers if you cause an accident) and full coverage (which includes two additional coverages -- collision and comprehensive -- alongside liability).

Looking specifically at state minimum liability insurance, Penn National has the significant edge, with average monthly premiums coming in at $144. If you want a full coverage policy with the same state minimum limits, Penn National again has the edge, with policies averaging about $292 per month to Esurance's $396.

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

You've probably seen plenty of commercials from auto insurance carriers offering great prices for good drivers, but that doesn't mean people with less-than-perfect driving records can't save money, too.

Collisions and speeding tickets will most likely raise your rates, but is Esurance or Penn National more affordable for 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 around 16% after getting a speeding ticket. Penn National policyholders can expect a bit more drastic of an increase of about 22%.

But Penn National tends to offer the best prices for drivers both with clean records and with a ticket. With Penn National Insurance, drivers with a clean record can save around $103 a month and drivers with a speeding ticket can save about $108 per month.

Which Company is Best for Drivers After an Accident?

After an accident, drivers who have their insurance through Esurance can expect to see around an $122 -- or about 34% -- rise in their auto insurance premiums. Drivers who use Penn National for their car insurance will see a monthly bill around $67 (or 33%) more expensive after reporting a collision to their insurance company.

At the end of the day, drivers who use Penn National end up with the cheaper prices after an accident, with average rates coming in at $206 compared to Esurance's $364.

Which Company is Best for Drivers with a DUI?

On average, a DUI offense is going to cost you much more than a single collision or ticket when it comes to your car insurance bill. For example, Penn National increases average prices by more than $200 a month -- that's nearly a 60% increase.

But if you end up with a DUI charge and are looking for more affordable premiums, Esurance tends to be less expensive for the average driver, with monthly premiums coming in at about $301 to Penn National's $346.

How does Credit Score Impact Esurance and Penn National Rates?

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

Auto 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 Esurance and Penn National specifically, which one has the cheapest rates for drivers at different credit levels?

Which Company is Best for Drivers with Good Credit?

If you have a solid credit score, Penn National will generally reward you the most. For policyholders with "excellent" credit scores, Penn National comes in just under 24.77 more affordable. Drivers with "good" credit scores usually save around 32% with Penn National compared to average prices from Esurance.

Which Company is Best for Drivers with Bad Credit?

Penn National typically offers lower premiums than Esurance when it comes to drivers with less-than-perfect credit. Drivers with "fair" credit pay about 32% per month less with Penn National compared to Esurance, and those with "poor" scores normally save an average of around 25% a month.

Is Esurance or Penn National 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 insurance companies will charge for coverage. That's because the more milage you put on your car, the more likely you are to be in an accident 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 Penn National charges. However, there's a small difference in monthly prices for Esurance, with policyholders who drive 6,000 miles every year paying about $1 less each month compared to those who drive 12,000 miles annually. Still, for drivers in both categories, Penn National is the cheaper carrier.

Esurance 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 car insurance, but the type of area you live in can have a substantial 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.

When comparing these two carriers side-by-side, Penn National typically comes out as the most affordable option for drivers in all areas, regardless of if they're urban, suburban, or rural.

For drivers in urban ZIP codes, Penn National Insurance's average rates are around 31% less than Esurance. People who live in suburban areas pay about 26% less with Penn National compared to Esurance. Those in rural areas can expect to save around 22% with Penn National compared to Esurance.

Esurance vs. Penn National Discounts

No matter why you might be in the market for a new insurance policy, you're always going to want to save as much money as you can. That's where car insurance discounts comes into play.

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 qualify for.

Luckily, we did the hard work for you and broke down all of the different discounts offered by both Esurance and Penn National so that you can find the company that has the most discounts and, therefore, the largest savings.

Esurance knocks Penn National out of the park when it comes to the sheer number of discounts available, offering eight more discounts than Penn National.

A couple of those are overlapping for things like advance quote discounts, discounts for being a defensive driver, DRL discounts, and mature driver discounts. Esurance also offers discounts for agency transfer, education, 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, distant student discounts, driver training discounts, and more.

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

So, we've broken down the average premiums for many of the variables auto insurance companies look at, and walked through the different discounts each company offers, too. But, at the end of the day, which carrier is the best one for you, your vehicle, and your wallet?

Penn National might be best for you if....

• You will be the only person on the insurance policy.
• Your neighborhood is in a city.
• You don't spend much time in your car.

Esurance might be best for you if...

• You already have plans to move to another state -- Penn National Insurance is only available in five states.
• Your driving record includes a DUI charge.
• You want to save extra money with discounts.

Hopefully, this guide has ben a valuable resource as you compare Esurance 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 several carriers, not just Esurance and Penn National. 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 insurance companies in your area, all in just a few minutes.

Esurance vs. Penn National FAQs

Is Esurance or Penn National cheaper?

Penn National is the less expensive of the two carriers when looking at national average prices, with policies averaging $218 a month with Penn National and $299 for Esurance. Even so, that doesn't mean Penn National will be the lowest company for every policyholder, since there are a range of different factors (things like gender, age, driving record, etc.) that play a role in how much you pay.

Who is better, Esurance or Penn National?

Sadly, the only answer we can give you is "it depends.". One carrier is not necessarily "better" for everyone -- it all comes down to what your unique auto insurance profile looks like. For example, Penn National is more affordable for drivers with excellent credit, while Esurance offers cheaper rates for drivers with a recent DUI.

Why do Esurance and Penn National offer me different rates?

Car insurance companies use a lot of different variables when calculating the premiums they charge. Factors like age, gender, your driving record, where you park your vehicle, and sometimes even things like your credit score can all come into play. Both Esurance and Penn National use different formulas, so it's likely they'll offer different prices. The best way to determine which company is the most affordable for you is by comparing personalized quotes from many different carriers.

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

The only way to find the auto insurance carrier that's right for you is by getting quotes from a handful of companies and finding the one best suited for your individual budget. Luckily, Compare.com does all the hard work for you. Just enter your area information and you'll get quotes from dozens of your local top insurance carriers for free. With those, you can guarantee you're getting the cheapest rate. And maybe you'll find that the best company for you isn't Esurance or Penn National 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.