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

Quick Facts

• Looking at the national averages for insurance, Farmers Mutual offers significantly more affordable prices than GEICO
• Farmers Mutual offers cheaper average premiums for policyholders who may not have much of a commute
• GEICO offers more discounts than Farmers Mutual

Farmers Mutual vs. GEICO: 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 hefty discounts. But exactly how much can you save by switching?

You've maybe even narrowed your search down to Farmers Mutual or GEICO, but between the two, which carrier will offer you less expensive rates?

As you can see, Farmers Mutual has average rates that are about 50% per month cheaper than those from GEICO when looking at the national average rates for auto insurance.

Even so, Farmers Mutual may not be the cheapest or best option for every driver out there. Car insurance companies use all sorts of complex algorithms to calculate premiums, so depending on how clean your driving record is or where you live (among a range of other factors), you could see wildly different prices from the ones above.

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

Farmers Mutual or GEICO: Average Car Insurance Rates by State

Farmers Mutual and GEICO only compete against each other in two states, with Farmers Mutual offering less expensive prices to the average driver in all of them. Nebraska has the most noticable difference, where Farmers Mutual rates are over 70% more affordable than insurance prices at GEICO.

There are plenty of other factors that go into your auto insurance cost than just where you call home. Read on to find out more.

Which is the Best Company For Young Drivers?

You might already know that teen drivers generally pay a lot more for car insurance than any group out there on the road. It's because young, inexperienced drivers are statistically much more likely to cause collisions and other accidents that will result in an insurance claim.

But still, even with seemingly sky-high rates, teen drivers can still find ways to save money. For example, 18-year-old drivers pay an average of nearly $200 less a month by choosing Farmers Mutual over GEICO.

That being said, with both carriers, you'll see your premiums decrease significantly once you turn 25. For example, average rates for Farmers Mutual policyholders lower more than 50% and GEICO's prices reduce over 55% over that time.

Which is the Best Company for Retired Drivers?

When it comes to insurance, patience and experience pay off, with drivers around retirement age paying some of the lowest premiums you'll ever find.

So, which company offers the best prices to retired drivers? Farmers Mutual gets the edge, with rates for drivers 65 and older $87 cheaper than the national average for GEICO.

Which is the Best Company for Married Drivers?

You may not be aware, but auto insurance premiums tend to be more expensive for those who are single than they are for married drivers. This usually boils down to married policyholders having several cars on their policy -- something several insurance companies will reward with discounts.

When it comes to relationship status, Farmers Mutual is the clear winner for single drivers, with rates around $104 per month more affordable than GEICO, on average. The advantage for married couples with Farmers Mutual is also obvious, where drivers save almost 55% a month.

Farmers Mutual vs. GEICO: Average Rates by Gender

Men are statistically more likely than women to get into accidents and get speeding tickets. That means when it comes to car insurance men will normally end up paying a little more.

Generally, women see premiums nearly 10% per month less with Farmers Mutual, and about 4% less with GEICO.

Looking at the data for each carrier specifically, Farmers Mutual comes out on top for both men and women. On average, women save about $95 a month and men save around $95 with Farmers Mutual compared to the average GEICO policyholder.

Farmers Mutual or GEICO: 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, auto insurance can be pretty complicated. There are so many different coverages and limits that it can make it pretty confusing to find the right policy.

The two most common policies that many drivers look at fall into two categories -- liability only (that covers bodily injury and property damage for other drivers and passengers if you cause an accident) and full coverage (which includes comprehensive and collision coverages that protect your own vehicle, alongside what you get with a liability policy).

If you're looking for state minimum liability insurance, Farmers Mutual usually offers significantly less expensive prices of $32 compared to GEICO's $101. When it comes to full coverage policies with similar limits, Farmers Mutual again has the edge, with policies about $100 per month more affordable than GEICO, on average.

Is Farmers Mutual or GEICO Better for Drivers with Spotty Records?

It's no big secret that drivers who are accident-free get better deals on their car insurance. But even if you have a spotty record, you can still find plenty of ways to save some cash on your monthly bill.

You'll probably end up paying more with tickets and at-fault accidents on your record, but which of these two carriers offers the most affordable premiums to drivers with less-than-ideal driving records?

Which Company is Best for Drivers with Speeding Tickets?

Farmers Mutual policyholders can expect their rates to go up an average of $6 a month if they get a ticket, while GEICO typically raises prices around $35 per month, on average.

But Farmers Mutual tends to offer the best prices for drivers both with clean records and with a speeding ticket, offering premiums that are $45 and $74 less expensive, respectively, compared to GEICO.

Which Company is Best for Drivers After an Accident?

Both companies will increase rates pretty significantly if you get into an at-fault accident with GEICO increasing by $85. Farmers Mutual has a less extreme rise, but you can still expect to pay over $15 more than you were prior to your first collision.

Overall, drivers who use Farmers Mutual end up with the cheaper prices after an accident, with monthly prices averaging $86 compared to GEICO's $200.

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 insurance bill -- generally a lot more than a collision or ticket. For example, GEICO increases average premiums by more than $150 a month -- that's just under a 60% increase.

How does Credit Score Impact Farmers Mutual and GEICO Rates?

You may not realized it, but your credit score can be used as one of the factors to determine your monthly car insurance 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 lots of drivers.

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 rates.

Looking at Farmers Mutual and GEICO specifically, which company has the lowest premiums 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 Mutual or GEICO 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 substantial impact on your monthly auto insurance bill? Typically, the more miles you put on your car each year, the more you can expect to pay for car insurance.

As you can see in the table above, annual mileage doesn't have much of an impact on how much Farmers Mutual charges. However, there's a small difference in monthly rates for GEICO, with drivers who put 6,000 miles on their vehicle yearly paying about $8 less each month compared to those who drive 12,000 miles annually. Still, Farmers Mutual is the less expensive option for drivers in both categories.

Farmers Mutual vs. GEICO: 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 auto insurance, but the type of area you live in can have a large impact as well. Usually, policyholders who live in less densely populated rural areas will pay quite a bit less than urban drivers because there are a lot fewer cars on the roads in those areas.

Farmers Mutual boasts the most affordable average prices for drivers in all types of areas, no matter if they're urban, suburban, or rural.

For drivers in urban ZIP codes, Farmers Mutual's average premiums are around $93 while GEICO offers rates about $211. People in suburban areas pay around $87 with Farmers Mutual compared to GEICO's $185 a month. If you live in a rural area, you can expect to pay about $90 monthly with Farmers Mutual and $159 with GEICO.

Farmers Mutual vs. GEICO Discounts

Regardless of why you might be in the market for a new insurance policy, you're always going to want to save as much money as possible. That's where auto insurance discounts comes into play.

But with what seems like a million different discounts out there, it can be challenging to nail down the carrier that has the most discounts for your unique driver profile and to find all the discounts you qualify for.

In the section below, we've taken a look at all of the different discounts Farmers Mutual and GEICO offer their customers so that you can easily see which company offers the most discounts and see which ones you might be able to take advantage of.

GEICO knocks Farmers Mutual out of the park when it comes to the sheer number of discounts available, offering 21 more discounts than Farmers Mutual.

A couple of those are overlapping for things like discounts for getting driver training, discounts for being a good student, and multi-policy discounts. GEICO also offers ABS discounts, anti-theft discounts, commercial drivers license discounts, and more that Farmers Mutual does not.

On the flip side, Farmers Mutual has a unique discount of its own -- a secondary vehicle discounts.

Final Thoughts: Is Farmers Mutual or GEICO Best for You?

You've seen the role certain variables have on your insurance and the different discounts companies offer. But, when it comes down to it, which company is the best one for you, your vehicle, and your wallet?

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

• You have below-average credit.
• You want basic car insurance coverage at the state minimum limits.
• You don't spend much time in your car.

GEICO might be best for you if...

• You are considering moving to another state -- undefined only offers policies in.
• You care about discounts (GEICO offers the most).

We hope this guide helps you get a good idea of the differences between Farmers Mutual and GEICO and that it aids in making a more informed decision about 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 car insurance -- comparing quotes from multiple carriers, not just Farmers Mutual and GEICO. Luckily, Compare.com makes it easy for you to do just that. Simply enter your ZIP codes below and get multiple free quotes from some of the best auto insurance companies in your area, all in just a few minutes.

Farmers Mutual vs. GEICO FAQs

Is Farmers Mutual or GEICO cheaper?

Looking just at the national average premiums, Farmers Mutual is the cheaper of the two carriers, offering average rates of $90 per month compared to $185 for GEICO. However, Farmers Mutual won't necessarily be the lowest carrier for every driver, since there are many different factors that come into play when it comes to your car insurance payment.

Who is better, Farmers Mutual or GEICO?

Unfortunately, the answer truly is "it depends.". Neither company is necessarily "better" for everyone -- it all depends on what your unique insurance profile looks like.

Why do Farmers Mutual and GEICO offer me different rates?

Auto insurance companies take a look at a lot of different variables when calculating the prices they charge policyholders. Factors like gender, your driving record, age, where you park your vehicle, and sometimes even things like your credit score can all come into play. Both Farmers Mutual and GEICO calculate premiums differently, so each one will most likely offer different prices. The only real way to see which carrier is the cheapest for you is by comparing personalized quotes from several different carriers.

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

The only way to find the insurance company 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 do all the hard work for you. Just enter your information once and you'll get free quotes from dozens of the best car insurance carriers in your area. With those, you can guarantee you're getting the most affordable premium. And who knows, the best carrier for you might not be Farmers Mutual or GEICO 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.