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

Quick Facts

• Based on national averages for car insurance, Farmers offers significantly less expensive rates than Key
• Farmers has cheaper premiums for drivers who have received a ticket within the last few years
• Key offers more affordable prices for residents in Nevada

Farmers vs. Key: Which Company has the Cheapest Car Insurance?

Are you in the market for a new insurance policy? After all, you've seen ads from all sorts of companies offering substantial discounts. But exactly how much can you save by switching?

You might have narrowed it down to Farmers or Key as potential options, but between the two, which carrier has more affordable rates for insurance?

As you can see, Key is quite a bit more expensive than Farmers, with premiums averaging $285 per month compared to just $203 with Farmers when looking at the national average rates for auto insurance.

However, that doesn't necessarily mean Farmers will be the less expensive option for every single driver. Car insurance companies use a variety of complex algorithms to calculate rates, so depending on where you live or how clean your driving record is (among an array of other factors), you could see wildly different premiums from the ones above.

Luckily, we've broken down average prices from both Farmers and Key by multiple different rate factors, so read on to find out which company is the best for you.

Farmers or Key: Average Car Insurance Rates by State

Farmers and Key only compete against each other in Nevada, where Farmers offers the cheaper average premiums. For Nevada residents, Farmers offers insurance for $247 monthly on average. Key's average prices come out to be over 10% more expensive, at $285 a month.

But there's more to calculating auto insurance rates than just where you call home. Keep reading to learn more.

Which is the Best Company For Young Drivers?

Teen drivers will almost always have the most expensive car insurance prices of any group on the road. That's because young, inexperienced drivers are statistically much more likely to get into an accident that results in an insurance claim, making them much riskier to insure.

But that doesn't mean that teen drivers have to just accept sky-high insurance premiums. Just look at the table above -- where 18-year-old drivers who have Farmers for their car insurance pay nearly $150 less than those who use Key. It's worth noting that Farmers offers auto insurance in 25 different states compared to Key's one, which can skew the average rates a bit, but the difference here is still considerable.

That being said, both carriers will decrease prices by the time you turn 25. Key offers the steepest reduction, with 25-year-olds paying less than a third of what 18-year-old drivers are charged. That being said, Farmers still has the most affordable premiums at $155 per month.

Which is the Best Company for Retired Drivers?

When it comes to car insurance, patience and experience pay off, with drivers around retirement age paying some of the cheapest rates you can find.

But who has the best prices for retired drivers between Farmers and Key? Farmers gets the edge, with rates for drivers 65 and older $80 cheaper than the national average for Key.

Which is the Best Company for Married Drivers?

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

When it comes to relationship status, Farmers is the clear winner for those who are single, with rates about $100 a month cheaper than Key, on average. The advantage for married policyholders with Farmers is also obvious, where drivers save more than 25% per month.

Farmers vs. Key: Average Rates by Gender

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

On average, men see premiums around 3% a month higher with Farmers, and over 15% with Key.

Looking at overall affordability, Farmers comes out as the most affordable option for both genders. On average, male drivers save about $104 per month and women save about $58 with Farmers compared to the average Key policyholder.

Farmers or Key: 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 insurance, but there are so many different coverages and terms that it can be hard to find the right policy.

Even so, most policies that many drivers look at fall into two categories -- liability only (which provides bodily injury and property damage coverage for other drivers if you cause an accident) and full coverage (which generally refers to having comprehensive and collision coverages in addition to what you get with liability).

If you're looking for state minimum limits for liability insurance, Farmers normally offers significantly more affordable prices of $126 compared to Key's $196. When it comes to full coverage policies with similar limits, Farmers again has the edge, with policies around $90 a month less expensive than Key, on average.

Is Farmers or Key Better for Drivers with Spotty Records?

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

You'll probably end up paying more with accidents and tickets on your record, but which of these two companies offers the lowest prices to drivers with less-than-perfect records?

Which Company is Best for Drivers with Speeding Tickets?

Drivers with Key auto insurance policies don't report seeing their rates increase after getting a ticket, but Farmers policyholders can expect to see their monthly bill increase by about a quarter.

That being said, Farmers tends to offer the best prices for drivers both with clean records and with a ticket, offering premiums that are 23% and 2% more affordable, respectively, compared to Key Insurance Company.

Which Company is Best for Drivers After an Accident?

Farmers policyholders who get in a collision can expect to see their prices climb by over $60, while those who have insurance through Key will see around a $25 increase.

Overall, drivers who use Farmers end up with the cheaper prices after an accident, with monthly rates averaging $224 compared to Key Insurance Company's $235.

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 insurance bill. Key drivers usually see a 57% increase in their car insurance prices after a DUI charge, while Farmers will generally raise rates by about 27%.

Farmers has the overall cheapest premiums for drivers with a DUI on their records at $221 monthly, but it's worth noting that Farmers's average rates come from 25 states compared to just one for Key, so the data may be skewed slightly.

How does Credit Score Impact Farmers and Key Rates?

Did you know that many insurance carriers take into account your credit score when calculating prices? This isn't always the case (for example, Michigan and Hawaii are two states that ban the practice entirely), but it might come into play for a lot of drivers.

The reasoning car insurance companies use is that policyholders with good credit will be more likely to pay their bills on time; so they'll reward them with cheaper rates, while those with poor credit will typically be forced to pay more.

So, which carrier offers the best premiums for drivers with good, average, or poor credit?

Which Company is Best for Drivers with Good Credit?

If you have a great credit score, you'll usually find a better deal with Farmers. Policyholders with "excellent" credit can save over 40% compared to Key, and those with "good" scores can also expect to see savings -- around $100 or 35% less expensive each month.

Which Company is Best for Drivers with Bad Credit?

Farmers typically offers lower rates than Key when it comes to drivers with less-than-stellar credit. Drivers with "fair" credit pay about $76 per month less with Farmers compared to Key, and those with "poor" scores usually save an average of around $29 per month.

Is Farmers or Key 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 your monthly auto insurance cost? Generally, those who drive less will end up with cheaper premiums since there's less of a chance of getting into an accident and causing an insurance claim.

In this case, neither Farmers or Key report increasing prices for drivers with higher annual mileage figures. That being said, Farmers comes out as the most affordable for drivers at both intervals, whether they put 6,000 or 12,000 miles on their vehicle annually, with average premiums of $203 a month for both.

Farmers vs. Key: Compare Rates for Urban, Suburban, and Rural Drivers

Where you live can play a big role in how much you pay for insurance. Usually, drivers who live in heavily-populated urban areas will pay quite a bit more than rural policyholders because there are a lot more cars on the road in those areas, which increases the chances of an accident.

Farmers tends to offer the cheapest rates for drivers in all types of areas, no matter if they're urban, suburban, or rural.

In urban areas, Farmers Insurance's average prices are about 35% less than Key Insurance Company. Drivers in suburban ZIP codes pay around 19% less with Farmers compared to Key. If you live in a rural area, you can expect to save about 27% with Farmers compared to Key.

Farmers vs. Key Discounts

Regardless of 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 possible, and the best way to do that is by utilizing as many auto insurance discounts as you can.

The hard part is finding all of the discounts you qualify for, since it can feel sometimes like every carrier has different discounts and each one is advertised differently.

In the table below, we've compared all of the different discounts offered by Farmers and Key so that you can find the one that has the most discounts and, therefore, the biggest savings.

Farmers knocks Key out of the park when it comes to the sheer number of discounts available, offering 24 more discounts than Key.

A couple of those are overlapping for things like discounts for being a defensive driver, discounts for insuring multiple cars with the same company, and passive restraint discounts. Farmers also offers ABS discounts, advance quote discounts, alternative fuel discounts, and more that Key does not.

Key's discounts come through just a few categories, including Defensive Driver, Good Driving, Multi-Car, and more.

Final Thoughts: Is Farmers or Key Best for You?

So, you've seen how different factors can affect your car insurance premiums. We've broken down the different discounts each company offers, too. That's all well and good, but at the end of the day, which insurance carrier is the best fit for you?

Farmers might be best for you if....

• You haven't received any speeding tickets or been in a collision in the last few years.
• You're worried about the impact your credit score will have on your rates.
• You're married and plan to have both of your names on the vehicle's auto insurance policy.

Key might be best for you if...

• You live in one of the following states: Nevada.

We hope this guide helps you get a good idea of the differences between Farmers and Key. 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 auto insurance policy is to compare quotes from multiple carriers, not just Farmers and Key. Luckily, sites like Compare.com do all the hard work for you. Simply enter your ZIP codes below and get free quotes from dozens of top insurance companies in your area, all in just a few minutes.

Farmers vs. Key FAQs

Is Farmers or Key cheaper?

Looking just at the national average prices, Farmers is the less expensive of the two carriers, offering average rates of $203 per month compared to $285 for Key. Even so, Farmers won't necessarily be the most affordable company for everyone, since there are a bunch of different variables that are considered when it comes to your car insurance payment.

Who is better, Farmers or Key?

Unfortunately, the real answer is "it depends.". No one carrier is necessarily "better" for every driver -- it all depends on what your unique insurance profile looks like.

Why do Farmers and Key offer me different rates?

Auto insurance companies take a look at several different factors when determining the premiums they charge drivers. Variables like gender, where you park your vehicle, age, your driving record, and sometimes even things like your credit score can all be taken into consideration. Both Farmers and Key use different formulas, so each one will most likely offer different rates. The only real way to see which company is the cheapest for you is by comparing personalized quotes from a range of different carriers.

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

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