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

Quick Facts

• In general, Farmers Mutual offers significantly more affordable premiums than Iowa Mutual
• Farmers Mutual offers less expensive average rates for residents of urban areas
• Iowa Mutual offers more discounts than Farmers Mutual

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

So, you're considering switching your auto insurance. After all, you've seen ads from all sorts of companies offering large discounts. But exactly how much can you save by switching?

You've maybe even narrowed your search down to Farmers Mutual or Iowa Mutual for your next policy, but which company has cheaper prices for insurance?

As you can see, Iowa Mutual has average rates that are about 55% per month more expensive than those from Farmers Mutual when looking at the national average rates for car insurance.

But Farmers Mutual may not be the lowest or best option for each driver out there. Insurance companies use tons of complex algorithms to calculate premiums, so depending on how good your credit score is or how old you are (among a lot of other factors), you could see wildly different rates from the ones above.

Wanting to know if Farmers Mutual or Iowa Mutual 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 Iowa Mutual: Average Car Insurance Rates by State

Farmers Mutual and Iowa Mutual only compete against each other in Nebraska, where Farmers Mutual offers the cheaper average prices. For Nebraska residents, Farmers Mutual offers auto insurance for $86 per month on average. Iowa Mutual's average rates come out to be over 70% more expensive, at $211 monthly.

That being said, there's a lot more that goes into your insurance payment than just your home state. Continue reading to see how other factors will affect your rates.

Which is the Best Company For Young Drivers?

You might already know that teen drivers typically pay a lot more for auto insurance than any group out there on the road. It's because young, inexperienced drivers are statistically much more likely to get into accidents since they have less experience on the roads.

However, that doesn't mean that teen drivers have to just accept sky-high car insurance premiums. As you can see above, teens who use Farmers Mutual save more than $300 a month compared to those who use Iowa Mutual.

Even so, with both carriers, you'll see your rates reduce significantly once you turn 25. For example, average prices for Farmers Mutual policyholders lower over 50% and Iowa Mutual's rates decrease nearly 65% over that time.

Which is the Best Company for Retired Drivers?

Drivers around retirement age normally enjoy some of the cheapest insurance prices out there. After all, they've likely been driving for quite some time, which usually reduces their chances of accidents and other infractions that can increase premiums.

When looking at Farmers Mutual and Iowa Mutual specifically, which company is best for retired drivers? Farmers Mutual gets the edge, with prices for drivers 65 and older $85 more affordable than the national average for Iowa Mutual.

Which is the Best Company for Married Drivers?

Single drivers tend to get offered slightly more expensive auto insurance premiums than married couples. This usually boils down to married drivers having more than one car on their policy -- something quite a few car insurance companies will reward with discounts.

When it comes to relationship status, Farmers Mutual is the clear winner for those who are single, with rates around $146 per month cheaper than Iowa Mutual, on average. The advantage is also clear for married policyholders - Farmers Mutual offers the most affordable average prices.

Farmers Mutual vs. Iowa Mutual: Average Rates by Gender

Did you know women generally pay less for auto insurance than men? This is because women are less likely to get into accidents and get speeding tickets, which lowers the chances of an insurance claim.

Men typically pay almost 10% more a month than women with Farmers Mutual, and nearly 15% with Iowa Mutual.

Looking at overall affordability, Farmers Mutual offers the cheapest average premiums for both men and women, with average rates 59% less for men and 56% cheaper for women.

Farmers Mutual or Iowa Mutual: 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.

Insurance can be a complicated subject for most people. Everyone needs car insurance, but there are so many different terms and limits that it can be hard to find the right policy.

The two most common policies that many drivers look at fall into two categories -- liability only (which provides property damage and bodily injury coverage 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 limits for liability insurance, Farmers Mutual normally offers significantly less expensive premiums of $32 compared to Iowa Mutual's $94. When it comes to full coverage policies with similar limits, Farmers Mutual again has the edge, with policies about $200 per month cheaper than Iowa Mutual, on average.

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

You've probably seen plenty of commercials from auto 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.

Collisions and tickets will most likely raise your prices, but is Farmers Mutual or Iowa Mutual less expensive for drivers with less-than-perfect 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 Iowa Mutual generally raises premiums around $11 per month, on average.

That being said, Farmers Mutual tends to offer the best prices for drivers both with a speeding ticket and with a clean record -- their rates are around 57% more affordable for drivers with clean records and 57% less expensive for those with a ticket.

Which Company is Best for Drivers After an Accident?

After an accident, drivers who have their car insurance through Farmers Mutual can expect to see about an $16 -- or around 19% -- increase in their insurance prices. Drivers who use Iowa Mutual for their car insurance will see a monthly bill about $27 (or 14%) more expensive after reporting a collision to their insurance carrier.

Overall, drivers who use Farmers Mutual end up with the cheaper prices after an accident, with monthly premiums averaging $86 compared to Iowa Mutual's $191.

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 ticket when it comes to your auto insurance bill. On average, Iowa Mutual will increase your rates around 48% after a DUI, while Farmers Mutual's average prices climb by over 45%.

If you have a DUI on your record and are looking for more affordable premiums, Farmers Mutual tends to be the much more affordable option with average rates of $128 a month compared to $315 from Iowa Mutual.

How does Credit Score Impact Farmers Mutual and Iowa Mutual Rates?

Did you know that many insurance companies take your credit score into account when calculating prices? This isn't always the case (Hawaii, for example, has banned the use of credit score as a rating factor) but it will come into play for several drivers.

Auto insurance carriers argue that those with poor credit scores are less likely to pay their bills on time each month, which increases the risk involved on their end, while the opposite is true for those with good credit.

So, which company offers the best rates for policyholders with poor, average, or good credit?

Which Company is Best for Drivers with Good Credit?

If you have solid credit, you'll usually find a better deal with Farmers Mutual. Drivers with "excellent" credit can save more than 50% compared to Iowa Mutual, and those with "good" scores can also expect to see savings -- about $89 or 51% cheaper every month.

Which Company is Best for Drivers with Bad Credit?

Farmers Mutual typically offers lower prices than Iowa Mutual when it comes to drivers with a below average credit score. Drivers with "fair" credit pay around $127 a month less with Farmers Mutual compared to Iowa Mutual, and those with "poor" scores usually save an average of about $188 monthly.

Is Farmers Mutual or Iowa Mutual Better for Drivers who Work from Home or Have Short Commutes?

How much you drive can have a sizable impact on your monthly premiums. That's because the fewer miles you drive, the less likely you are to get into an accident and cause an insurance claim.

In this case, neither Farmers Mutual or Iowa Mutual report increasing prices for drivers with higher annual mileage figures. Still, Farmers Mutual comes out as the most affordable for drivers at both intervals, whether they put 6,000 or 12,000 miles on their car yearly, with average premiums of $90 per month for both.

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

Where your home is can have a pretty big impact on your monthly car insurance bill. Typically, those who live in urban areas will pay more than policyholders in rural areas due to the number of vehicles that are on the roads in those areas.

Farmers Mutual tends to offer the most affordable prices for drivers in all areas, regardless of if they're urban, suburban, or rural.

If you live in a rural area, you can expect to save around $97 with Farmers Mutual compared to Iowa Mutual. Drivers in suburban ZIP codes pay about $112 less with Farmers Mutual compared to Iowa Mutual. In urban areas, Farmers Mutual's average premiums are around $155 less than Iowa Mutual.

Farmers Mutual vs. Iowa Mutual 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, and the best way to do that is by taking advantage of as many auto insurance discounts as you can.

But with what seems like a million different discounts out there, it can be challenging to find all the ones you can take advantage of or to nail down the company that has the most discounts for your unique driver profile.

In the section below, we've compared all of the different discounts offered by Farmers Mutual and Iowa Mutual so that you can see which one offers the most discounts and see which ones you might be able to take advantage of.

Looking at the total number of discounts, Iowa Mutual has the advantage when it comes to total number of discounts. Farmers Mutual offers a grand total of seven discounts, while Iowa Mutual has 12.

A couple of those are overlapping for things like discounts for getting driver training, discounts for insuring multiple cars with the same company, and passive restraint discounts. Iowa Mutual also offers ABS discounts, anti-theft discounts, claim free discounts, and more that Farmers Mutual does not.

On the flip side, Farmers Mutual has a couple unique discounts of its own -- paid in full discounts and secondary vehicle discounts.

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

So, we've broken down the average rates for many of the variables car insurance companies look at, and we've shown you all the discounts each carrier offers. But, when it comes down to it, which company is the right fit for you?

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

• You've been pulled over for speeding recently.
• Your neighborhood is in the suburbs.
• You don't spend much time in your car.

Iowa Mutual might be best for you if...

• You want to save extra money with discounts.

We hope this guide has ben a valuable resource as you compare Farmers Mutual and Iowa Mutual and that it aids in making a more informed decision about your auto insurance.

At the end of the day, the best way to make sure you're getting the best deal on your car insurance policy is to compare quotes from multiple carriers, not just Farmers Mutual and Iowa Mutual. 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 Mutual vs. Iowa Mutual FAQs

Is Farmers Mutual or Iowa Mutual cheaper?

Looking just at the national average premiums, Farmers Mutual is the less expensive of the two carriers, offering average rates of $90 a month compared to $211 for Iowa Mutual. But Farmers Mutual won't necessarily be the lowest carrier for each driver, since there are lots of different factors that come into play when it comes to your car insurance cost.

Who is better, Farmers Mutual or Iowa Mutual?

Unfortunately, the real answer is "it depends.". One company is not "better" for everyone -- it all boils down to your unique auto insurance profile.

Why do Farmers Mutual and Iowa Mutual offer me different rates?

Insurance companies take a look at many different variables when determining the prices they charge drivers. Factors such as age, where you call home, gender, your driving record, and sometimes even things like your credit score can all come into play. Both Farmers Mutual and Iowa Mutual calculate rates differently, so each one will most likely offer different premiums. The only real way to see which carrier is the cheapest for you is by comparing personalized quotes from multiple different carriers.

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

The only way to find the auto insurance company that's right for you is by getting quotes from several companies and finding the one best suited for your individual budget. Luckily, Compare.com does all the hard work for you. Just enter your ZIP code 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 best price. And who knows, the best carrier for you might not be Farmers Mutual or Iowa Mutual 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.