Farmers Mutual of Tennessee vs. Penn National: Which Company is the Best Fit for You?

Quick Facts

• Looking at the national averages for auto insurance, Farmers Mutual of Tennessee offers significantly less expensive premiums than Penn National
• Farmers Mutual of Tennessee tends to be a much more affordable option for policyholders who drive fewer than 6,000 miles yearly
• Penn National may help you save more money -- they offer more discounts than Farmers Mutual of Tennessee

Farmers Mutual of Tennessee or Penn National: Which Company has the Cheapest Car Insurance?

So, you're thinking about switching to a new insurance policy. After all, you've seen ads from all sorts of companies offering hefty savings. But exactly how much can you save by switching?

You've maybe even narrowed it down to Farmers Mutual of Tennessee or Penn National, but which company will offer you cheaper rates?

As you can see, Penn National is quite a bit more expensive than Farmers Mutual of Tennessee, with premiums averaging $218 a month compared to just $100 with Farmers Mutual of Tennessee when looking at the national average rates for insurance.

But that doesn't mean Farmers Mutual of Tennessee will necessarily be more affordable than Penn National for each driver. Auto insurance carriers use all sorts of complex algorithms to determine rates, so depending on where you live or how clean your driving record is (among quite a few other factors), you could see wildly different prices from the ones above.

Wanting to know if Farmers Mutual of Tennessee or Penn National is really the right carrier for you? Keep on reading to see how average rates can change based on all of the factors we've mentioned above.

Farmers Mutual of Tennessee vs. Penn National: Average Car Insurance Rates by State

Farmers Mutual of Tennessee and Penn National only compete against each other in Tennessee, where Farmers Mutual of Tennessee offers the cheaper average prices. Undefined drivers tend to pay about undefined per month less on average compared to drivers who use undefined for their car insurance.

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

Which is the Best Company For Young Drivers?

Young drivers -- especially teens -- generally pay a lot for car insurance compared to older 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.

That being said, that doesn't mean teen drivers can't still save money on their insurance. As you can see above, teens who use Farmers Mutual of Tennessee save almost 55% a month compared to those who use Penn National.

Even so, with both companies, you'll see your prices lower significantly 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, Farmers Mutual of Tennessee still has the lowest premiums at $96 a month.

Which is the Best Company for Retired Drivers?

Drivers around retirement age usually enjoy some of the cheapest car insurance rates out there. After all, they've likely been driving for quite some time, which typically decreases their chances of collisions and other infractions that can raise premiums.

But who has the best prices for retired drivers between Farmers Mutual of Tennessee and Penn National? Farmers Mutual of Tennessee gets the edge, with rates for drivers 65 and older nearly 60% cheaper than the national average for Penn National.

Which is the Best Company for Married Drivers?

Those who are single tend to get offered slightly more expensive insurance premiums than married policyholders. That's because policies for married couples normally cover more than one vehicle, which many carriers will give you a discount for.

For single drivers, the difference in average prices between these two companies is significant, with Farmers Mutual of Tennessee rates coming in at around half of Penn National's. The advantage is also clear for married drivers - Farmers Mutual of Tennessee offers the lowest average premiums.

Farmers Mutual of Tennessee or Penn National: Average Rates by Gender

Did you know women tend to pay less for auto insurance than men? That's because men are more likely to get into accidents and get tickets, which raises the chances of filing a claim with insurance.

Generally, men see rates over 15% per month higher with Farmers Mutual of Tennessee, and about 2% more with Penn National.

Looking at overall affordability, Farmers Mutual of Tennessee comes out as the most affordable option for both genders. On average, women save about $124 a month and men save around $112 with Farmers Mutual of Tennessee compared to the average Penn National policyholder.

Farmers Mutual of Tennessee 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, insurance can be pretty complicated. Everyone needs auto insurance, but there are so many different limits 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 bodily injury and property damage for other drivers and passengers if you cause a collision) and full coverage (which usually refers to having collision and comprehensive coverages in addition to liability coverage).

Looking specifically at state minimum limits for liability insurance, Farmers Mutual of Tennessee has the significant edge, with average monthly prices coming in at $44. If you want a full coverage policy with the same state minimum limits, Farmers Mutual of Tennessee again has the edge, with policies averaging about $155 per month to Penn National's $292.

Is Farmers Mutual of Tennessee or Penn National Better for Drivers with Spotty Records?

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

It's no secret secret that accidents and speeding tickets lead to higher prices, but which company -- Farmers Mutual of Tennessee or Penn National -- has the cheapest premiums for drivers with spotty records?

Which Company is Best for Drivers with Speeding Tickets?

Policyholders with Farmers Mutual of Tennessee auto insurance policies don't report seeing their prices increase after getting a ticket, but Penn National policyholders can expect to see their monthly bill increase by around 20%.

However, Farmers Mutual of Tennessee has less expensive rates for drivers in both categories -- their rates are around 38% cheaper for drivers with clean records and 52% less expensive for those with a ticket.

Which Company is Best for Drivers After an Accident?

Both companies will increase premiums pretty significantly if you get into an at-fault collision with Penn National raising by about 33%. Farmers Mutual of Tennessee has a less extreme rise, but you can still expect to pay 3% more than you were prior to your first accident.

At the end of the day, Farmers Mutual of Tennessee offers the lowest prices for drivers with an at-fault collision on their records, with average premiums coming in at $89 compared to Penn National Insurance's $206.

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. For example, Penn National increases average rates 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, Farmers Mutual of Tennessee tends to be more affordable for the average driver, with monthly premiums coming in at around $137 to Penn National's $346.

How does Credit Score Impact Farmers Mutual of Tennessee and Penn National Rates?

Often times, your credit score can be used as one of the variables to calculate your monthly car insurance rates. This isn't true for everyone (Michigan, for example, has banned the use of credit score as a car insurance factor) but it will come into play for several drivers.

Auto insurance carriers argue that someone with bad credit is less likely to pay their bills on time, which makes them riskier to insure. Because of that, policyholders with bad credit will often be forced to pay more.

So, which carrier offers the most affordable prices for drivers 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 Farmers Mutual of Tennessee or Penn National 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, those who drive fewer miles will end up with less expensive rates since there's less of a chance of causing an accident and filing an insurance claim.

In this case, neither Farmers Mutual of Tennessee or Penn National report increasing prices for drivers with higher annual mileage figures. Even so, Farmers Mutual of Tennessee comes out as the cheapest for drivers at both intervals, whether they put 6,000 or 12,000 miles on their car annually, with average premiums of $100 per month for both.

Farmers Mutual of Tennessee or Penn National: Compare Rates for Urban, Suburban, and Rural Drivers

Where you call home can play a substantial role in how much you pay for car insurance. Typically, policyholders who live in less densely populated rural areas will pay quite a bit less than urban drivers since there are a lot fewer vehicles on the roads where they live.

When comparing these two carriers side-by-side, Farmers Mutual of Tennessee generally comes out as the cheapest option for drivers in all types of areas, no matter if they're urban, suburban, or rural.

For policyholders in urban ZIP codes, Farmers Mutual of Tennessee's average rates are about 59% less than Penn National Insurance. People who live in suburban areas pay around 55% less with Farmers Mutual of Tennessee compared to Penn National. Those in rural areas can expect to save about 46% with Farmers Mutual of Tennessee compared to Penn National.

Farmers Mutual of Tennessee vs. Penn National Discounts

No matter why you might be in the market for a new auto 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 with what seems like a million different discounts out there, it can be difficult to nail down the carrier that has the most discounts for your unique driver profile and to find all the discounts you qualify for.

Luckily, we did the hard work for you and broke down all of the different discounts offered by both Farmers Mutual of Tennessee and Penn National so that you can easily see which company offers the most discounts and, therefore, the largest savings.

Penn National knocks Farmers Mutual of Tennessee out of the park when it comes to the sheer number of discounts available, offering 16 different discounts to Farmers Mutual of Tennessee's 16.

There are a couple discounts both companies offer, but Penn National also offers discounts for ABS, added pip option , advance quote, and more.

On the other hand, Farmers Mutual of Tennessee has a few proprietary discounts of their own for things like forgiveness discounts, good driving discounts, and multi-car discounts.

Final Thoughts: Is Farmers Mutual of Tennessee or Penn National Best for You?

You've seen the role certain factors have on your insurance and the different discounts carriers offer. But, when it comes down to it, which insurance company is the right one for you and your specific needs?

Farmers Mutual of Tennessee might be best for you if....

• You've been pulled over for speeding recently.
• You already have a great credit score.
• You drive fewer than 6,000 miles every year.

Penn National might be best for you if...

• You want to save extra money with discounts.

Hopefully, this guide has ben a valuable resource as you compare Farmers Mutual of Tennessee and Penn National and that it aids in making a more informed decision about your car insurance.

At the end of the day, the sure-fire way to make sure you're getting the best deal on your insurance policy is to compare quotes from several companies, not just Farmers Mutual of Tennessee and Penn National. Luckily, Compare.com makes it easy for you to do just that. Just enter your ZIP code below and get multiple free quotes from some of the best auto insurance carriers in your area, all in just a few minutes.

Farmers Mutual of Tennessee vs. Penn National FAQs

Is Farmers Mutual of Tennessee or Penn National cheaper?

Farmers Mutual of Tennessee is the more affordable of the two companies when looking at national average premiums, with policies averaging $100 a month with Farmers Mutual of Tennessee and $218 for Penn National. But that doesn't mean Farmers Mutual of Tennessee will be the most affordable carrier for each driver, since there are several different variables (things like age, gender, driving record, etc.) that play a role in how much you pay.

Who is better, Farmers Mutual of Tennessee or Penn National?

Sadly, the only answer we can give you is "it depends.". One company is not necessarily "better" for every policyholder -- it all boils down to your unique insurance profile.

Why do Farmers Mutual of Tennessee and Penn National offer me different rates?

Car insurance carriers use lots of different factors when determining the prices they charge. Things such as gender, age, where you live, your driving record, and sometimes even things like your credit score can all be used. Both Farmers Mutual of Tennessee and Penn National calculate rates using different formulas, so it's likely they'll offer different premiums. The best way to determine which carrier is the cheapest for you is by comparing personalized quotes from lots of different companies.

How do I know if Farmers Mutual of Tennessee 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 Compare.com make it easy for you to do just that. Just enter your area information and you'll get quotes from dozens of your local top insurance companies for free. That way, you can guarantee you're getting the most affordable premium. And maybe you'll find that the best carrier for you isn't Farmers Mutual of Tennessee 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.