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

Quick Facts

• Looking at the national averages for auto insurance, State Farm offers significantly cheaper prices than Farmers
• Farmers may help you save more money -- they offer more discounts than State Farm
• State Farm tends to be a much less expensive option for residents of suburban areas

Farmers or State Farm: Which Company has the Cheapest Car Insurance?

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

You might be considering Farmers or State Farm, but which company will offer you more affordable premiums?

As you can see, Farmers is around $45 more a month than State Farm when looking at the national average rates for car insurance.

But that doesn't mean State Farm will necessarily be cheaper than Farmers for every driver. Auto insurance carriers vary their rates depending on things like where you live, how good your credit score is, how clean your driving record is, how old you are, and all sorts of other factors. So, at the end of the day, premiums from every company will differ quite a bit from person to person.

So, if you want to find out which of Farmers or State Farm is really the best for you, keep reading to see average prices for each carrier broken down by several different rate factors.

Farmers vs. State Farm: Average Car Insurance Rates by State

Farmers and State Farm compete against each other in 25 states, with State Farm offering more affordable rates to the average driver in all of them. If you live in, undefined is the less expensive of the two companies when looking at the overall average prices, but State Farm is the cheaper option in most of the others.

But there's more to calculating insurance premiums than just where you live. Read on to find out more.

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 normally 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 State Farm for their auto insurance pay almost 35% less than those who use Farmers.

That being said, both carriers will offer you dramatically lower rates once you turn 25. For example, average premiums for Farmers policyholders reduce over 70% and State Farm's prices lower nearly 60% over that time.

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 premiums you can find.

So, which company offers the best rates to retired drivers? State Farm gets the edge here, with average prices coming in at about $111 per month compared to Farmers's $143.

Which is the Best Company for Married Drivers?

Single drivers tend to get offered slightly more expensive auto insurance premiums than married drivers. That's generally because married policyholders 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 prices between these two companies is significant, with State Farm rates coming in at a quarter less than Farmers's. For married couples, the advantage is clear again - State Farm has the edge when it comes to average prices.

Farmers or State Farm: Average Rates by Gender

Men typically pay more for insurance than women. This is because men are statistically more likely than women to get into collisions and file an insurance claim, which leads to increased risk for insurers and, therefore, higher premiums.

Men usually pay around $7 per month more than women with Farmers, but with State Farm, the difference is closer to $12 a month.

When it comes to the lowest rates for each gender, State Farm comes out as the most affordable option for both genders, with average premiums $43 less for men and $48 cheaper for women.

Farmers vs. State Farm: 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 can be pretty complicated. Everyone needs insurance, but there are so many different terms and coverages 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 (that covers property damage and bodily injury for other drivers if you cause a collision) and full coverage (which includes collision and comprehensive coverages that protect your own car, alongside what you get with a liability policy).

Looking specifically at state minimum liability limits, State Farm has the edge, with average monthly rates coming in at $99. If you want a full coverage policy with the same state minimum limits, State Farm again has the edge, with policies averaging about $216 per month to Farmers's $281.

Is Farmers or State Farm 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 speeding tickets and at-fault accidents on your record, but which of these two carriers offers the cheapest prices to drivers with less-than-ideal driving records?

Which Company is Best for Drivers with Speeding Tickets?

Policyholders who use Farmers for their car insurance can normally expect their monthly bill to go up around 21% after getting a speeding ticket. State Farm policyholders can expect a less drastic increase of about 14%.

Even so, State Farm tends to offer the best prices for drivers both with clean records and with a ticket -- their rates are around 17% cheaper for drivers with clean records and 25% less expensive for those with a ticket.

Which Company is Best for Drivers After an Accident?

Both companies will raise rates pretty significantly if you get into an at-fault collision with Farmers increasing by around 28%. State Farm has a less extreme raise, but you can still expect to pay nearly 20% more than you were prior to your first accident.

At the end of the day, drivers who use State Farm end up with the cheaper prices after an accident, with average prices coming in at $163 compared to Farmers Insurance's $224.

Which Company is Best for Drivers with a DUI?

If you get a DUI charge, you can expect some pretty significant increases in your monthly auto insurance bill -- typically a lot more than an accident or speeding ticket. Farmers drivers usually see a 27% climb in their insurance premiums after a DUI charge, while State Farm will generally increase rates by about 25%.

How does Credit Score Impact Farmers and State Farm Rates?

In many cases, your credit score can come into play when carriers determine your monthly bill. Certain states and companies do not allow for credit score to be used as a car insurance factor, but it might come into play for quite a few 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 more affordable premiums.

Looking at Farmers and State Farm specifically, which one has the most affordable prices 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 Farmers or State Farm Better for Drivers who Work from Home or Have Short Commutes?

How much you drive can have a pretty big impact on your monthly car insurance bill. That's because the fewer miles you put on your vehicle each year, the less 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 rates for State Farm, with policyholders who drive the least paying around $13 less each month compared to those who drive 12,000 miles annually. Still, for drivers in both categories, State Farm is the cheaper carrier.

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

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

State Farm boasts the cheapest average premiums for drivers in every type of area, no matter if it's urban, suburban, or rural.

Those in rural areas can expect to save about 25% with State Farm compared to Farmers. People who live in suburban areas pay around 15% less with State Farm compared to Farmers. For policyholders in urban ZIP codes, State Farm's average rates are about 26% less than Farmers Insurance.

Farmers vs. State Farm Discounts

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

But where do you even start? With so many discounts out there, it may seem hard to find all the of the ones you're eligible for.

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

Overall, Farmers comes out ahead with 28 discounts to State Farm's 23.

Both companies offer quite a few of the same discounts -- like anti-theft discounts, distant student discounts, discounts for getting driver training, and discounts for being a homeowner -- but Farmers also offers discounts for advance quote, alternative fuel, EFT, and more.

On the other hand, State Farm has a few proprietary discounts of their own for things like annual mileage discounts, drive safe & save discounts, DRL discounts, and more.

Final Thoughts: Is Farmers or State Farm Best for You?

So, you've seen how different variables can affect your insurance premiums. We've shown you all the discounts each carrier offers, too. But, at the end of the day, is Farmers or State Farm the right company for you and your specific driver profile?

State Farm might be best for you if....

• Your driving record includes a DUI charge.
• You live in an urban area.
• You are purchasing your car insurance with a spouse.

Farmers might be best for you if...

• You're looking for the company with the most discounts.

Hopefully, this guide helps you get a better idea of the difference between Farmers and State Farm and that you can now make a more informed decision when it comes to your insurance.

But, at the end of the day, there's only one way to know for sure that you're getting the best possible deal on auto insurance -- comparing quotes from a handful of carriers, not just Farmers and State Farm. Luckily, Compare.com does all the hard work for you. Simply enter your ZIP code below and get free quotes from dozens of the top car insurance companies in your area, all in just a few minutes.

Farmers vs. State Farm FAQs

Is Farmers or State Farm cheaper?

State Farm is the more affordable of the two carriers when looking at national average prices, with policies averaging $158 a month with State Farm and $203 for Farmers. But that doesn't mean State Farm will be the lowest carrier for everyone, since there are lots of different factors that come into play when it comes to your auto insurance cost.

Who is better, Farmers or State Farm?

Sadly, the only answer we can give you is "it depends.". One company is not necessarily "better" for everyone -- it all depends on the makeup of your unique car insurance profile. For example, Farmers is less expensive for drivers who have less-than-stellar credit scores, while State Farm offers more affordable rates for drivers with an at-fault collision on their record.

Why do Farmers and State Farm offer me different rates?

Insurance companies use many different variables when determining the prices they charge. Things like your driving record, age, where you live, gender, and sometimes even things like your credit score can all come into play. Both Farmers and State Farm use different formulas, so it's likely they'll offer different premiums. The best way to determine which carrier is the most affordable for you is by comparing personalized quotes from a range of different carriers.

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

The only way to find the car insurance company that's right for you is by getting quotes from multiple companies and finding the one best suited for your individual budget. Luckily, Compare.com makes it easy for you to do just that. Just enter your ZIP code and you'll get quotes from dozens of your local top insurance carriers for free. With those, you can guarantee you're getting the lowest premium. And maybe you'll find that the best carrier for you isn't Farmers or State Farm 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.